Overview

* Cogent Q2 service revenue falls 0.3% sequentially, 5.5% yr/yr

* Net loss per share of $1.21 misses analyst expectations

* The multinational internet service providerincreases quarterly dividend, expands stock buyback by $100 mln

Outlook

* Cogent did not provide specific future revenue or EPS guidance

* Company increased quarterly dividend to $1.015 per share for Q3 2025

* Cogent expanded stock buyback program by $100 mln through 2026

Result Drivers

* WAVELENGTH GROWTH - Wavelength revenue increased by 27.2% sequentially and 149.8% yr/yr, driven by expanded service offerings

* IPV4 LEASING - Revenue from leasing IPv4 addresses rose by 6.3% sequentially and 40.1% yr/yr, contributing to overall revenue

* OFF-NET DECLINE - Off-net revenue decreased by 4.8% sequentially and 8.3% yr/yr, impacting total service revenue

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Net -$57.81

Income mln

Q2 Gross 13.6%

Margin

Q2 Basic Miss -$1.21 -$0.93

EPS (11

Analysts

)

Q2 EBIT Miss -$31.46 -$27.40

mln mln (9

Analysts

)

Q2 44.4%

Adjusted

Gross

Margin

Q2 $109.26

Adjusted mln

Gross

Profit

Q2 $48.50

EBITDA mln

Q2 Gross $33.46

Profit mln

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 3 "hold" and 2 "sell" or "strong sell"

* The average consensus recommendation for the integrated telecommunications services peer group is "buy"

* Wall Street's median 12-month price target for Cogent Communications Holdings Inc ( CCOI ) is $74.50, about 41.1% above its August 6 closing price of $43.88

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)