NYSE$TDS

Telephone And Data Systems Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

TDS reported Q2 2020 results, with revenue slightly increasing and earnings per share significantly increasing compared to the same period last year.

TDS reported total operating revenues of $1,263 million for the second quarter of 2020, compared to $1,261 million for the same period one year ago. Net income attributable to TDS shareholders was $65 million, and diluted earnings per share were $0.56 for the second quarter of 2020, compared to $33 million and $0.28, respectively, in the same period one year ago.

  • TDS Enterprise remained strong despite COVID-19 challenges.
  • U.S. Cellular and TDS Telecom provided essential communication and data services.
  • U.S. Cellular increased smartphone connections due to low churn.
  • TDS Telecom successfully met demand for higher data speeds and increased network capacity.

Headline financials

Total Revenue

$1.26B

Previous: $1.26B+0.2%
EPS (adj)

$0.56

Previous: $0.28+100.0%
TDS Telecom Broadband Connections

255.1K

No prior period
Residential Revenue per Connection

$49.73

No prior period
Free Cash Flow

$207M

No prior period
Net Income

$65M

Previous: $33M+97.0%
Operating Income

$78M

Previous: $48M+62.5%
Gross Profit

$1.26B

Previous: $1.26B+0.2%
Cash & Equivalents

$565M

Previous: $834M-32.3%
Total Assets

$11.2B

Previous: $10.8B+3.4%
Stock-Based Comp

$14M

Previous: $20M-30.0%

Revenue & EPS history

TDS · Revenue · Quarterly

$1.26B

Q2 2020+0.2%vs Q2 2019
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

TDS · $290M total across 2 segments · Q2 2020

  • TDS Telecom
    $241M+3.4%
  • All Other
    $49M-10.9%

Forward guidance

TDS provided its current estimates of full-year 2020 results for U.S. Cellular and TDS Telecom, representing management's view as of August 6, 2020.

Tailwinds

  • U.S. Cellular service revenues are expected to be between $3,000 million and $3,100 million.
  • U.S. Cellular adjusted OIBDA is expected to be between $725 million and $850 million.
  • U.S. Cellular adjusted EBITDA is expected to be between $900 million and $1,025 million.
  • U.S. Cellular capital expenditures are expected to be between $850 million and $950 million.
  • TDS Telecom total operating revenues are expected to be between $950 million and $1,000 million.

Headwinds

  • TDS Telecom adjusted OIBDA is expected to be between $280 million and $310 million.
  • TDS Telecom adjusted EBITDA is expected to be between $290 million and $320 million.
  • TDS Telecom capital expenditures are expected to be between $300 million and $350 million.
  • Final results could differ materially from estimated results due to the uncertainty created by the COVID-19 pandemic.
  • TDS undertakes no duty to update such estimates as a result of new information or future events.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+0.0%

Avg return

Earnings day

-0.5%

Avg return

5 days after

+1.5%

Avg return

30 days after

38%

15 / 39 earnings

Positive

+67.1%

Q2 2023

Best reaction

-22.0%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.2%-7.2%-14.0%
Q4 2025-0.7%-0.4%-9.9%
Q3 2025-2.2%+3.2%+2.4%
Q1 2025-8.6%-8.4%-8.7%
Q4 2024-4.2%-9.6%-7.1%
Q3 2024-6.0%+9.4%+14.9%
Q2 2024-9.9%-3.3%+11.9%
Q1 2024-3.1%-5.6%+22.7%
Q4 2023-22.0%-20.6%-16.3%
Q3 2023-4.1%-4.3%+10.9%
Q2 2023+67.1%+111.5%+171.0%
Q1 2023-15.9%-23.8%-26.3%
Q4 2022+17.6%+12.6%-14.7%
Q3 2022-1.7%-33.2%-38.2%
Q2 2022-3.0%+8.6%+2.5%
Q1 2022-2.0%-8.9%-13.1%
Q4 2021-1.9%-17.6%-11.1%
Q3 2021-1.2%-1.0%-9.5%
Q2 2021+0.9%+4.2%+6.4%
Q1 2021+3.6%+5.1%+8.7%
Q4 2020-1.0%-11.5%+11.0%
Q3 2020+2.5%+7.9%+11.1%
Q2 2020-0.7%+18.7%+15.5%
Q1 2020-4.2%-12.0%+0.1%
Q4 2019+0.2%-17.9%-35.6%
Q3 2019-2.2%-8.9%-11.1%
Q2 2019-3.4%-17.1%-22.1%
Q1 2019+0.7%-0.5%-10.7%
Q4 2018-10.8%-12.7%-14.4%
Q3 2018+14.6%+17.8%+19.3%
Q2 2018+4.0%+15.8%+16.4%
Q1 2018-8.0%-2.7%-6.5%
Q4 2017+10.8%+12.0%+10.9%
Q3 2017-6.7%-7.1%-2.0%
Q2 2017+1.2%+1.4%+4.8%
Q1 2017+4.9%+4.3%+11.2%
Q4 2016-8.7%-17.5%-22.6%
Q3 2016+1.1%+3.7%+10.4%
Q2 2016+1.4%-2.5%-8.9%
Q1 2016
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q2 2012
Q4 2012
Q3 2012
Q1 2012
Q4 2011
Q2 2011
Q3 2011
Q1 2010
Q1 2011
Q4 2008
Q3 2009
Q3 2010
Q2 2009
Q2 2010
Q4 2009

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