Charter Announces Third Quarter 2026 Results and Launches New Operating Model
New operating model designed to return Charter to growth and transform organization for speed and efficiency.
Will strengthen core Internet offerings and leverage differentiated mobile and video products to drive customer growth and maximize revenue per passing.
Announces new $2 billion in annualized expense savings plan, in addition to the over $1 billion in planned Cox Transactions synergies.
- November 6, 2026 - Charter Communications, Inc. (along with its subsidiaries, the “Company” or “Charter”) today reported financial and operating results for the three and nine months ended September 30, 2026, and announced a new operating model designed to return the Company to growth, unlock the full potential of its expanded scale following its acquisition of Cox Communications and capitalize on the market growth in demand for data.
"With the combination of Charter and Cox, we have the scale and network capabilities to connect more Americans than ever before," said Chris Winfrey, President and CEO of Charter. "We are America’s Internet Company ® and our purpose is Connecting Gigabit America . Today, we are announcing decisive steps to unlock our full potential."
Winfrey continued, "We are fundamentally rethinking how we operate and compete, with a renewed focus on delivering the best products and services. We will return Charter to Internet customer growth and transform Charter into a simpler, faster, more agile organization – and reignite our culture to win. We have the assets and competitive advantages to succeed and are moving with urgency to deliver more value for our customers and stronger results for our investors."
Charter is reformulating its go-to-market approach for its core Internet offering, marketing and distribution, and will further leverage its differentiated mobile and video products to drive growth and provide greater value for customers. This new operating model is focused on accelerating new customer connects as well as improving retention and customer satisfaction with improved execution of its service delivery. By delivering added value and improving its service reputation, Charter will deepen customer relationships and maximize revenue per passing over the long term.
In parallel, Charter is undertaking a fundamental redesign of how it operates, reducing complexity, accelerating decision-making and focusing resources on the activities that contribute most directly to growth and stronger performance. As part of this transformation, the Company is targeting $2 billion in annualized run-rate operating expense savings over the next 18 months, in addition to more than $1 billion in anticipated Cox Transactions synergies.
The savings program will focus on eliminating nonessential activities, simplifying organizational structures and driving greater efficiencies through vendor partnerships. Together, these initiatives are expected to strengthen Charter's competitive position, drive improved financial performance and support significantly higher free cash flow generation over time. 1 Cox Transactions Completed, Adding Significant Opportunity for Charter’s Growth On August 19, 2026, Charter completed its transactions between the Company and Cox Communications, Inc. ("Cox Communications") (the "Cox Transactions"). The Cox Transactions added more than 11 million passings and over 5 million customer relationships, making Charter the nation's leading Internet and video provider. The acquisition expands Charter's presence in attractive, high-growth markets, including Phoenix and Las Vegas, and complementary markets across the country, creating significant opportunities to increase residential and small business customer penetration.
In this release, actual results reflect the operations of Charter for the three and nine months ended September 30, 2026 and Cox Communications for the period from August 20, 2026 through September 30, 2026.
Pro forma results present the Cox Transactions as if they had closed on January 1, 2024 and include the operations of Charter and Cox Communications for the full three and nine months ended September 30, 2026.
On September 16, 2026, Charter launched Spectrum's products, pricing and packaging across the legacy Cox footprint, bringing its Internet, mobile and video offerings to more than 11 million homes and businesses. Since launch, Charter has seen strong demand from consumers and an improvement in customer trends across the legacy Cox footprint.
On a pro forma basis, third quarter Spectrum Mobile TM lines 1 increased by 508,000 and by 1.8 million over the last twelve months. Legacy Charter added 440,000 mobile lines during the quarter. As of September 30, 2026, Charter served 13.5 million mobile lines.
Spectrum Internet ® customers declined by 233,000 on a pro forma basis during the third quarter, including a decline of 156,000 Internet customers at legacy Charter and 77,000 at legacy Cox. As of September 30, 2026, Charter served 34.3 million Internet customers.
On a pro forma basis, video customers decreased by 77,000 in the third quarter compared to a decline of 121,000 in the prior-year period, and declined by 256,000, or 1.8%, over the last twelve months. During the third quarter, legacy Charter lost 38,000 video customers. As of September 30, 2026, Charter served 13.8 million video customers.
As of September 30, 2026, Spectrum customer relationships totaled 36.7 million and connectivity customers totaled 35.4 million.
Pro forma third quarter revenue of $16.5 billion declined 1.5% year-over-year, primarily driven by lower residential revenue. On an actual basis, third quarter revenue of $14.9 billion increased 9.1% year-over-year, primarily driven by the Cox Transactions.
Pro forma third quarter net loss attributable to Charter shareholders totaled $2.1 billion, while on an actual basis, net loss attributable to Charter shareholders totaled $2.4 billion, with both results primarily driven by a $6.3 billion franchise impairment charge.
Pro forma third quarter Adjusted EBITDA 2 of $6.6 billion declined 4.0% year- over-year and 3.0% excluding transition expenses. On an actual basis, third quarter Adjusted EBITDA of $5.9 billion grew 6.9% year-over-year, primarily driven by the Cox Transactions. 2
On a pro forma basis, third quarter capital expenditures declined to $3.2 billion from $3.6 billion in the prior-year period. On an actual basis, capital expenditures totaled $3.0 billion.
Third quarter actual net cash flows from operating activities of $4.0 billion versus $4.5 billion in the prior year driven by timing of cash tax payments year-over-year and one-time cash costs related to the Cox Transactions.
Third quarter actual free cash flow 2 of $674 million declined $947 million versus the prior year, primarily due to lower net cash flows from operating activities and an unfavorable change in accrued expenses related to capital expenditures.
During the quarter, Charter exchanged $5.5 billion in aggregate principal amount of secured notes for a combination of approximately $4.0 billion in cash and new secured notes, resulting in approximately $1.5 billion in deleveraging, and repaid $1.0 billion of legacy Cox notes at maturity.
1. Unless otherwise specified, customer data represents residential and small business customers for legacy Charter and residential customers only for legacy Cox.
2. Adjusted EBITDA and free cash flow are non-GAAP measures defined in the “Use of Adjusted EBITDA and Free Cash Flow Information” section and are reconciled to net income attributable to Charter shareholders and net cash flows from operating activities, respectively, in the addendum of this news release. 3 Key Operating Results
In thousands, except per customer and penetration data. See footnotes to unaudited summary of operating statistics on page 11 of the addendum of this news release. The footnotes contain important disclosures regarding the definitions used for these operating statistics. All percentages are calculated using whole numbers. Minor differences may exist due to rounding. 4
On September 16, 2026, Charter launched Spectrum Day across the legacy Cox footprint, introducing Spectrum’s products, pricing and packaging to more than 11 million homes and businesses. Customers in legacy Cox markets now have access to Internet with no data caps, a year of free Spectrum Mobile for eligible customers, a $1,000 Savings Guarantee for customers who bundle Internet and two Mobile lines and TV plans with up to $132 per month in streaming app value. Customers will also benefit from Spectrum’s Customer Commitment, supported by 100% U.S.-based employees, with Spectrum fully returning legacy Cox’s customer service function to the U.S. over the next 18 months. Since launch, Charter has seen strong demand from consumers and an improvement in customer trends across the legacy Cox footprint.
On a pro forma basis, third quarter Internet customers decreased by 233,000, compared to a decline of 171,000 during the third quarter of 2025. Legacy Charter lost 156,000 Internet customers versus a loss of 109,000 during the third quarter of 2025. Spectrum increasingly offers symmetrical and multi- gigabit Internet speeds across its entire footprint and has launched symmetrical Internet service in several markets. In February 2026, Spectrum launched its Invincible WiFi TM product, a tri-band advanced WiFi 7 router that integrates 5G cellular and battery backup to keep customers seamlessly and fully connected during a power outage or network disruption. In the first quarter of 2026, Spectrum launched its $1,000 savings guarantee; new or existing Spectrum Internet customers switching two or more mobile lines from Verizon, AT&T or T-Mobile are guaranteed $1,000 of savings in their first year, or Spectrum will cover the difference.
During the third quarter of 2026, Charter added 508,000 mobile lines on a pro forma basis, compared to an increase of 514,000 during the third quarter of 2025. Legacy Charter added 440,000 mobile lines versus an increase of 482,000 during the third quarter of 2025. Spectrum Mobile has faster wireless speeds than the competition (AT&T, T-Mobile, Verizon). 1
Video customers decreased by 77,000 in the third quarter of 2026 on a pro forma basis, compared to a decline of 121,000 in the third quarter of 2025. Legacy Charter lost 38,000 video customers versus a loss of 70,000 during the third quarter of 2025, with the improvement driven by benefits from the inclusion of programmers' streaming applications in Spectrum's expanded basic video packages and simplified pricing and packaging.
Spectrum Stream TV video customers now receive up to approximately $132 per month of programmers' streaming application retail value at no extra cost, including the ad-supported versions of Disney+, Hulu, ESPN Unlimited, HBO Max, Paramount+, Peacock, AMC+, ViX, Tennis Channel, Fox One and Discovery+. Beginning in June 2026, Spectrum customers can purchase ad-supported and ad-free versions of Netflix through Spectrum App Central. Spectrum App Central is an innovative digital marketplace where Spectrum TV customers can activate, manage and upgrade the streaming apps included with their video plans. Spectrum App Central also allows Spectrum customers without a traditional TV package to purchase and manage streaming apps à la carte.
Charter continues to work with federal, state and local governments to bring Spectrum Internet to unserved and underserved communities. During the third quarter of 2026, legacy Charter activated 116,000 subsidized rural passings. Within legacy Charter's subsidized rural footprint, total customer relationships increased by 48,000 in the third quarter of 2026.
1. Based on Download Speeds among top 5 national providers in Opensignal USA, Converged Experience, April 2026. 5
All percentages are calculated using whole numbers. Minor differences may exist due to rounding.
1. Adjusted EBITDA and free cash flow are non-GAAP measures defined in the “Use of Adjusted EBITDA and Free Cash Flow Information” section and are reconciled to net income attributable to Charter shareholders and net cash flows from operating activities, respectively, in the addendum of this news release.
On a pro forma basis, third quarter revenue decreased by 1.5% year-over-year to $16.5 billion, driven by lower residential video revenue mostly due to higher costs allocated to programmer streaming applications and netted within video revenue and lower residential Internet revenue, partly offset by higher mobile device revenue, an increase in residential mobile service revenue and higher advertising sales revenue. Excluding advertising sales revenue and costs allocated to programmer streaming applications and netted within video revenue, third quarter total revenue declined by 1.0% year-over-year on a pro forma basis. On an actual basis, third quarter revenue increased by 9.1% year-over- year to $14.9 billion, driven by the Cox Transactions.
Pro forma residential revenue totaled $12.2 billion in the third quarter, a decrease of 4.1% year-over-year, driven by a year-over-year decline in residential customers of 2.7% and a decrease in monthly residential revenue per residential customer of 1.6%. Excluding costs allocated to programmer streaming applications and netted within video revenue, residential revenue declined by 2.6% on a pro forma basis. On an actual basis, residential revenue totaled $11.2 billion in the third quarter, an increase of 4.8% year-over-year, driven by the Cox Transactions.
Third quarter pro forma 2026 monthly residential revenue per residential customer totaled $117.85, a decrease of 1.6% compared to the prior year period. The decline was driven by pricing and packaging mix within Charter's customer base, $286 million of costs allocated to programmer streaming applications 6 and netted within video revenue versus $106 million in the prior year period and a decline in video customers during the last year, partly offset by the growth of Spectrum Mobile. Excluding costs allocated to programmer streaming applications and netted within video revenue, monthly residential revenue per residential customer decreased 0.1% compared to the prior year period on a pro forma basis.
On a pro forma basis, Internet revenue declined 3.7% year-over-year to $7.1 billion, driven by a decline in Internet customers year-over-year and pricing and packaging mix within Charter's customer base, partly offset by more favorable bundled revenue allocation year-over-year, promotional rate step-ups and rate adjustments. On an actual basis, Internet revenue increased 7.1% year- over-year to $6.4 billion, driven by the Cox Transactions.
Pro forma third quarter mobile service revenue totaled $1.2 billion, an increase of 17.3% year-over-year, driven by mobile line growth and rate adjustments. On an actual basis, third quarter mobile service revenue totaled $1.1 billion, an increase of 18.9% year-over-year, driven by the Cox Transactions.
Pro forma video revenue totaled $3.6 billion in the third quarter, a decrease of 9.8% compared to the prior year period, driven by $286 million of costs allocated to programmer streaming applications and netted within video revenue versus $106 million in the prior year period, more unfavorable bundled revenue allocation year-over-year, a higher mix of lower priced video packages within Charter's video customer base and a decline in video customers during the last year, partly offset by promotional rate step-ups and video rate adjustments that pass through programmer rate increases. Excluding costs allocated to programmer streaming applications and netted within video revenue, video revenue declined 5.2% year-over-year. On an actual basis, video revenue totaled $3.3 billion in the third quarter, a decrease of 2.9% compared to the prior year period, with the Cox Transactions partly offsetting the decrease.
On a pro forma basis, voice revenue decreased by 6.8% year-over-year to $366 million, driven by a decline in wireline voice customers, partly offset by voice rate adjustments. On an actual basis, voice revenue increased by 2.6% year-over- year to $340 million, driven by the Cox Transactions.
On a pro forma basis, commercial revenue increased by 0.3% year-over-year to $2.7 billion, driven by legacy Charter mid-market and large business revenue growth of 2.1% year-over-year, partly offset by a decline in legacy Cox business revenue of 1.1%. On an actual basis, commercial revenue increased by 22.6% year- over-year to $2.2 billion, driven by the Cox Transactions.
Pro forma third quarter advertising sales revenue of $487 million increased by 21.0% compared to the year - ago quarter, primarily driven by higher political advertising revenue. On a pro forma basis, excluding political advertising revenue in both periods, advertising sales revenue decreased by 5.2% year-over- year driven by lower linear advertising revenue, partly offset by higher streaming advertising revenue. On an actual basis, third quarter advertising sales revenue of $460 million increased by 29.2% compared to the year - ago quarter, primarily driven by higher political advertising revenue and the Cox Transactions.
On a pro forma basis, other revenue totaled $1.1 billion in the third quarter, an increase of 18.1% compared to the third quarter of 2025, primarily driven by higher mobile device sales. On an actual basis, other revenue totaled $1.1 billion in the third quarter, an increase of 26.0% compared to the third quarter of 2025, primarily driven by higher mobile device sales and the Cox Transactions.
On a pro forma basis, third quarter total operating costs and expenses increased 0.2% year-over-year to $9.9 billion, primarily driven by higher other costs of revenue, offset by lower programming costs. On an actual basis, third quarter total operating costs and expenses increased by 10.7% year-over-year, primarily driven by the Cox Transactions. 7 On a pro forma basis, third quarter programming costs decreased by $271 million, or 10.3% as compared to the third quarter of 2025, reflecting $286 million of costs allocated to programmer streaming applications and netted within video revenue versus $106 million in the prior year period, fewer video customers and a higher mix of lower cost packages within Charter's video customer base, partly offset by contractual programming rate increases and renewals.
Other costs of revenue increased by $295 million, or 15.0% year-over-year, on a pro forma basis, primarily driven by higher mobile device sales, higher mobile service direct costs and higher advertising sales costs given higher political revenue.
On a pro forma basis, field and technology operations expenses increased by $62 million, or 3.8% year-over-year, primarily driven by higher vehicle fuel costs, higher labor expense and higher pole rent.
Customer operations expenses decreased by $18 million, or 1.9% year-over-year, on a pro forma basis, driven by lower labor expense.
Marketing and residential sales expenses decreased by $21 million or 1.8% year- over-year, on a pro forma basis, due to lower marketing expenses from cost savings, despite higher marketing activity.
Transition expenses, which represent incremental costs incurred for the integration of the Cox Transactions, totaled $76 million.
On a pro forma basis, other expenses decreased by $103 million, or 6.3% as compared to the third quarter of 2025, primarily driven by lower labor expense.
Pro forma net loss attributable to Charter shareholders totaled $2.1 billion in the third quarter of 2026 compared to net income of $1.0 billion in the third quarter of 2025. The year-over-year decline in pro forma net income was primarily driven by an impairment of franchises of $6.3 billion, partly offset by a gain on extinguishment of debt related to debt exchanges of $1.4 billion, lower net income attributable to noncontrolling interest and lower income tax expense. On an actual basis, net loss attributable to Charter shareholders totaled $2.4 billion in the third quarter of 2026 compared to net income of $1.1 billion in the third quarter of 2025, primarily driven by the aforementioned factors.
Actual net loss per basic common share attributable to Charter shareholders totaled $20.50 in the third quarter of 2026 compared to income of $8.50 during the same period last year. The change was primarily the result of the factors described above as well as a 12.6% decrease in basic weighted average common shares outstanding versus the prior year period.
Third quarter pro forma Adjusted EBITDA of $6.6 billion declined by 4.0% year- over-year, reflecting a decline in revenue of 1.5% and an increase in operating costs and expenses of 0.2%. Excluding transition expenses, pro forma Adjusted EBITDA declined 3.0% year-over-year. On an actual basis, third quarter Adjusted EBITDA of $5.9 billion increased by 6.9% year-over-year due to the Cox Transactions.
Pro forma capital expenditures totaled $3.2 billion in the third quarter of 2026, compared to $3.6 billion in the prior year period, given lower line extension spend and lower scalable infrastructure spend, partly offset by higher upgrade/rebuild (primarily network evolution). On an actual basis, capital 8 expenditures totaled $3.0 billion in the third quarter of 2026, compared to $3.1 billion in the third quarter of 2025.
Charter expects pro forma full year 2026 capital expenditures, excluding transition capital expenditures, to total approximately $13.0 billion. The actual amount of capital expenditures in 2026 will depend on a number of factors including, but not limited to, the pace of Charter's network evolution and expansion initiatives, supply chain timing and growth rates in Charter's residential and commercial businesses.
During the third quarter of 2026, actual net cash flows from operating activities totaled $4.0 billion, a decrease from $4.5 billion in the prior year. The year-over-year decrease was driven by timing of cash tax payments and one- time cash costs related to the Cox Transactions.
Actual free cash flow in the third quarter of 2026 totaled $674 million, a decrease of $947 million compared to the third quarter of 2025. The year-over- year decrease in free cash flow was driven by lower net cash flows from operating activities and an unfavorable change in accrued expenses related to capital expenditures.
As of September 30, 2026, total principal amount of debt was $108.6 billion and Charter's credit facilities provided approximately $2.4 billion of additional liquidity in excess of Charter's $573 million cash position.
During the three months ended September 30, 2026, Charter Communications Operating, LLC ("Charter Operating") and Charter Communications Operating Capital Corp. jointly issued $1.75 billion of 6.050% senior secured notes due February 2032 at a price of 99.839% of the aggregate principal amount, $1.0 billion of 6.600% senior secured notes due February 2034 at a price of 99.896% of the aggregate principal amount, $1.0 billion of 6.950% senior secured notes due August 2036 at a price of 99.937% of the aggregate principal amount and $1.0 billion of 7.850% senior secured notes due August 2056 at a price of 99.921% of the aggregate principal amount. The net proceeds were used to pay the cash consideration for the Cox Transactions and for general corporate purposes, including to repay certain indebtedness and to pay related fees and expenses.
During the three months ended September 30, 2026, Charter Operating, Charter Communications Operating Capital Corp. and Time Warner Cable, LLC exchanged approximately $5.5 billion in aggregate principal amount of various series of senior secured notes for a combination of $622 million in cash and approximately $1.7 billion of 7.087% senior secured notes due September 2038 issued at par and approximately $1.7 billion of 7.337% senior secured notes due September 2041 issued at par.
During the third quarter, Charter purchased 139,807 shares of Charter Class A common stock for $19 million. 9
Charter will host a webcast on Friday, November 6, 2026 at 8:30 a.m. Eastern Time (ET) related to the contents of this release.
The webcast can be accessed live via the Company's investor relations website at ir.charter.com . Participants should go to the webcast link no later than 10 minutes prior to the start time to register. The webcast will be archived at ir.charter.com two hours after completion of the webcast.
The information in this press release should be read in conjunction with the financial statements and footnotes contained in the Company's Quarterly Report on Form 10-Q for the three and nine months ended September 30, 2026, which will be posted on the “Results & SEC Filings” section of the Company's investor relations website at ir.charter.com , when it is filed with the Securities and Exchange Commission (the "SEC"). A slide presentation to accompany the conference call and a trending schedule containing historical customer and financial data will also be available in the “Results & SEC Filings” section.
The Company uses certain measures that are not defined by U.S. generally accepted accounting principles ("GAAP") to evaluate various aspects of its business. Adjusted EBITDA and free cash flow are non-GAAP financial measures and should be considered in addition to, not as a substitute for, net income attributable to Charter shareholders and net cash flows from operating activities reported in accordance with GAAP. These terms, as defined by Charter, may not be comparable to similarly titled measures used by other companies. Adjusted EBITDA and free cash flow are reconciled to net income attributable to Charter shareholders and net cash flows from operating activities, respectively, in the Addendum to this release.
Adjusted EBITDA is defined as net income (loss) attributable to Charter shareholders plus net income (loss) attributable to noncontrolling interest, net interest expense, income taxes, depreciation and amortization, impairment of franchises, stock compensation expense, other income (expenses), net and other operating (income) expenses, net, such as restructuring costs, special charges, merger and acquisition costs and (gain) loss on sale or retirement of assets. As such, it eliminates the significant non-cash depreciation and amortization expense that results from the capital-intensive nature of the Company's businesses as well as other non-cash or special items, and is unaffected by the Company's capital structure or investment activities. However, this measure is limited in that it does not reflect the periodic costs of certain capitalized tangible and intangible assets used in generating revenues and the cash cost of financing. These costs are evaluated through other financial measures.
Free cash flow is defined as net cash flows from operating activities, less capital expenditures and changes in accrued expenses related to capital expenditures.
Management and Charter's board of directors use Adjusted EBITDA and free cash flow to assess Charter's performance and its ability to service its debt, fund operations and make additional investments with internally generated funds. In addition, Adjusted EBITDA generally correlates to the leverage ratio calculation under the Company's credit facilities or outstanding notes to determine compliance with the covenants contained in the facilities and notes (all such documents have been previously filed with the SEC). For the purpose of calculating compliance with leverage covenants, the Company uses Adjusted EBITDA, as presented, excluding certain expenses paid by its operating subsidiaries to other Charter entities. The Company's debt covenants refer to these expenses as management fees, which were $377 million and $1.1 billion for the three and nine months ended September 30, 2026, respectively, and $350 million and $1.1 billion for the three and nine months ended September 30, 2025, respectively. 10
Charter Communications, Inc. (NASDAQ: CHTR, CHTRP), through its Spectrum brand, is the leading internet and video provider in the nation and the fastest growing mobile company in our footprint, with services available to more than 70 million homes and businesses across 45 states. Supported by our 100% U.S.-based employees,* we are America's Internet Company ® .
More information about Charter can be found at corporate.charter.com. *At close of the Cox acquisition, Spectrum announced that over the next 18 months, it will fully return legacy Cox's customer service function to the U.S. # # # Contact:
This communication includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, among other things, our plans, strategies and prospects, both business and financial. Although we believe that our plans, intentions and expectations as reflected in or suggested by these forward-looking statements are reasonable, we cannot assure you that we will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and assumptions including, without limitation, the factors described under “Risk Factors” from time to time in our filings with the SEC. Many of the forward-looking statements contained in this communication may be identified by the use of forward-looking words such as “believe,” "future," “expect,” “anticipate,” “should,” “planned,” “will,” “may,” “intend,” “estimated,” “aim,” “on track,” “target,” “opportunity,” “tentative,” “positioning,” “designed,” “create,” “predict,” “project,” "initiatives," “seek,” “would,” “could,” “continue,” “ongoing,” “upside,” “increases,” "grow," "focused on" and “potential,” among others. Important factors that could cause actual results to differ materially from the forward-looking statements we make in this communication are set forth in our annual report on Form 10-K, and in other reports or documents that we file from time to time with the SEC, and include, but are not limited to:
• our ability to sustain and grow revenues and cash flow from operations by offering Internet, mobile, video, voice, advertising and other services to residential and commercial customers, to adequately meet the customer experience demands in our service areas and to maintain and grow our customer base, particularly in the face of increasingly aggressive competition, the need for innovation and the related capital expenditures;
• the impact of competition from other market participants, including but not limited to incumbent telephone companies, direct broadcast satellite ("DBS") operators, wireless and satellite broadband and telephone providers, digital subscriber line (“DSL”) providers, fiber to the home providers and providers of video content over broadband Internet connections;
• general business conditions, unemployment levels and the level of activity in the housing sector and economic uncertainty or downturn;
• our ability to develop and deploy new products and technologies including consumer services and service platforms;
• any events that disrupt our networks, information systems or properties and impair our operating activities or our reputation;
• the effects of governmental regulation on our business including subsidies to consumers, subsidies and incentives for competitors, costs, disruptions and possible limitations on operating flexibility related to, and our ability to comply with, regulatory conditions applicable to us;
• our ability to procure necessary services and equipment from our vendors in a timely manner and at reasonable costs including in connection with our network evolution and rural construction initiatives;
• our ability to obtain programming at reasonable prices or to raise prices to offset, in whole or in part, the effects of higher programming costs (including retransmission consents and distribution requirements);
• the availability and access, in general, of funds to meet our debt obligations prior to or when they become due and to fund our operations and necessary capital expenditures, either through (i) cash on hand, (ii) free cash flow, or (iii) access to the capital or credit markets;
• our ability to comply with all covenants in our indentures and credit facilities, any violation of which, if not cured in a timely manner, could trigger a default of our other obligations under cross-default provisions;
• our ability to achieve the cost synergies and growth opportunities contemplated by the Cox Transactions;
• our ability to promptly, efficiently and effectively integrate acquired operations;
• changes in our or legacy Cox Communications operations' businesses, future cash requirements, capital requirements, results of operations, revenues, financial condition and/or cash flows;
• disruption in our business relationships as a result of the Cox Transactions; and 12 • the increase in indebtedness as a result of the Cox Transactions and the Liberty Broadband Transaction, which will increase interest expense and may decrease our operating flexibility.
All forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by this cautionary statement. We are under no duty or obligation to update any of the forward-looking statements after the date of this communication. 13
The above schedules are presented in order to reconcile Adjusted EBITDA and free cash flow, non-GAAP measures, to the most directly comparable GAAP measures in accordance with Section 401(b) of the Sarbanes-Oxley Act.
All percentages are calculated using whole numbers. Minor differences may exist due to rounding. See footnotes on page 11. Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
All percentages are calculated using whole numbers. Minor differences may exist due to rounding. See footnotes on page 11. Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
September 30, ASSETS 2026 December 31 CURRENT ASSETS: (unaudited) 2025 ────────────────────────────────────────────────────────────────────────────── Cash and cash equivalents $ 573 $ 477 Accounts receivable, net 4,396 3,680 Prepaid expenses and other current 1,249 987 assets Total current assets 6,218 5,144 INVESTMENT IN CABLE PROPERTIES: Property, plant and 62,786 46,444 equipment, net Customer relationships, 6,091 440 net Franchises 67,915 67,471 Goodwill 29,748 29,710 Total investment in cable properties, 166,540 144,065 net OTHER NONCURRENT ASSETS 5,707 5,004 Total assets $ 178,465 $ 154,213 LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES: Accounts payable, accrued and other $ 14,644 $ 12,556 current liabilities Current portion of 1,990 750 long-term debt Total current liabilities 16,634 13,306 LONG-TERM DEBT 105,062 94,006 EQUIPMENT INSTALLMENT PLAN FINANCING 1,696 1,447 FACILITY DEFERRED INCOME TAXES 18,819 19,841 OTHER LONG-TERM 6,434 5,094 LIABILITIES SHAREHOLDERS' EQUITY: Controlling interest 10,983 16,054 Noncontrolling interests 18,837 4,465 Total shareholders' equity 29,820 20,519 Total liabilities and shareholders' $ 178,465 $ 154,213 equity
As of September 30, 2026, June 30, 2026, December 31, 2025, September 30, 2025, June 30, 2025 and December 31, 2024, cash, cash equivalents and restricted cash includes $43 million, $90 million, $121 million, $57 million, $43 million and $47 million of restricted cash included in prepaid expenses and other current assets in the consolidated balance sheets, respectively. Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
(a) Adjusted EBITDA is defined as net income attributable to Charter shareholders plus net (income) loss attributable to noncontrolling interest, net interest expense, income taxes, depreciation and amortization, impairment of franchises, stock compensation expense, other (income) expenses, net and other operating (income) expenses, net such as restructuring costs, special charges, merger and acquisition costs and (gain) loss on sale or retirement of assets. As such, it eliminates the significant non-cash depreciation and amortization expense that results from the capital-intensive nature of our businesses as well as other non-cash or special items, and is unaffected by our capital structure or investment activities. Free cash flow is defined as net cash flows from operating activities, less capital expenditures and changes in accrued expenses related to capital expenditures.
(b) Pro forma results reflect the acquisition of Cox Communications as if it occurred as of the earliest period presented.
(c) Transition represents incremental costs incurred to prepare for the integration of Cox Communications’ operations and to bring systems and processes into a uniform operating structure.
(d) Other expense excludes stock compensation expense. Total operating costs and expenses excludes stock compensation expense, depreciation and amortization and other operating (income) expenses, net.
(e) We calculate the aging of customer accounts based on the monthly billing cycle for each account in accordance with our collection policies. On that basis, at September 30, 2026, June 30, 2026, December 31, 2025 and September 30, 2025, customers included approximately 101,800, 84,000, 82,300 and 87,100 customers, respectively, whose accounts were over 60 days past due, approximately 11,700, 10,100, 9,700 and 10,500 customers, respectively, whose accounts were over 90 days past due and approximately 17,700, 13,400, 13,600 and 13,200 customers, respectively, whose accounts were over 120 days past due. Past due accounts for periods prior to September 30, 2026 are for legacy Charter only.
(f) Legacy Charter passings represent an estimate of the number of units passed by legacy Charter’s cable distribution network in areas where the indicated service is offered, such as single-family homes, apartment and condominium units, as well as small business and mid-market & large business sites. Legacy Cox Communications passings are residential only and represent an estimate of the number of units passed by legacy Cox Communications’ cable distribution network in areas where the indicated service is offered, including single-family homes and apartment and condominium units. These estimates are based on the information currently available and are updated for all periods presented as new information becomes available.
(g) Customer relationships include the number of customers that receive one or more levels of service, encompassing Internet, mobile, video and voice services, without regard to which service(s) such customers receive. Customers who reside in residential multiple dwelling units ("MDUs") and that are billed under bulk contracts are counted based on the number of billed units within each bulk MDU. Total customer relationships exclude legacy Charter mid-market & large business customer relationships and legacy Cox Communications business customers.
(h) Small business and mid-market & large customer statistics reflect data for legacy Charter customers only.
(i) Penetration represents customer relationships as a percentage of the applicable estimated passings.
(j) Monthly residential revenue per residential customer is calculated as total residential quarterly revenue divided by three divided by average residential customer relationships during the respective quarter.
(k) Monthly small business revenue per small business customer is calculated as total small business quarterly revenue divided by three divided by average small business customer relationships during the respective quarter.
(l) One product, two product and three or more product penetration represents the number of residential customers that subscribe to one product, two products or three or more products, respectively, as a percentage of residential customer relationships.
(m) Connectivity customers represent all customers receiving our Internet and/or mobile connectivity services.
(n) Mobile lines include phones and tablets which require one of our standard rate plans (e.g., "Unlimited" or "By the Gig"). Mobile lines exclude wearables and other devices that do not require standard phone rate plans.
(o) Video customers only include customers that purchase traditional or streaming linear video packages and exclude customers that only purchase streaming applications.
(p) Customer premise equipment includes equipment and devices located at the customer's premise used to deliver our Internet, video and voice services (e.g., modems, routers and set-top boxes), as well as installation costs.
(q) Scalable infrastructure includes costs, not related to customer premise equipment or our network, to secure growth of new customers or provide service enhancements (e.g., headend equipment).
(r) Upgrade/rebuild includes costs to modify or replace existing fiber/coaxial cable networks, including our network evolution initiative.
(s) Support capital includes costs associated with the replacement or enhancement of non-network assets (e.g., back-office systems, non-network equipment, land and buildings, vehicles, tools and test equipment).
(t) Line extensions include network costs associated with entering new service areas (e.g., fiber/coaxial cable, amplifiers, electronic equipment, make-ready and design engineering).
(u) The subsidized rural construction initiative subcategory includes projects for which we are receiving subsidies from federal, state and local governments, excluding customer premise equipment and installation. Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Full text with the tables
Charter Announces Third Quarter 2026 Results and Launches New Operating Model
New operating model designed to return Charter to growth and transform
organization for speed and efficiency.
Will strengthen core Internet offerings and leverage differentiated mobile and
video products to drive customer growth and maximize revenue per passing.
Announces new $2 billion in annualized expense savings plan, in addition to the
over $1 billion in planned Cox Transactions synergies.
STAMFORD, Connecticut
- November 6, 2026 - Charter Communications, Inc. (along with its subsidiaries,
the “Company” or “Charter”) today reported financial and operating results for
the three and nine months ended September 30, 2026, and announced a new
operating model designed to return the Company to growth, unlock the full
potential of its expanded scale following its acquisition of Cox Communications
and capitalize on the market growth in demand for data.
"With the combination of Charter and Cox, we have the scale and network
capabilities to connect more Americans than ever before," said Chris Winfrey,
President and CEO of Charter. "We are America’s Internet Company ® and our
purpose is Connecting Gigabit America . Today, we are announcing decisive steps
to unlock our full potential."
Winfrey continued, "We are fundamentally rethinking how we operate and compete,
with a renewed focus on delivering the best products and services. We will
return Charter to Internet customer growth and transform Charter into a simpler,
faster, more agile organization – and reignite our culture to win. We have the
assets and competitive advantages to succeed and are moving with urgency to
deliver more value for our customers and stronger results for our investors."
New Operating Model Centered on Growth and Efficiency
Charter is reformulating its go-to-market approach for its core Internet
offering, marketing and distribution, and will further leverage its
differentiated mobile and video products to drive growth and provide greater
value for customers. This new operating model is focused on accelerating new
customer connects as well as improving retention and customer satisfaction with
improved execution of its service delivery. By delivering added value and
improving its service reputation, Charter will deepen customer relationships and
maximize revenue per passing over the long term.
In parallel, Charter is undertaking a fundamental redesign of how it operates,
reducing complexity, accelerating decision-making and focusing resources on the
activities that contribute most directly to growth and stronger performance. As
part of this transformation, the Company is targeting $2 billion in annualized
run-rate operating expense savings over the next 18 months, in addition to more
than $1 billion in anticipated Cox Transactions synergies.
The savings program will focus on eliminating nonessential activities,
simplifying organizational structures and driving greater efficiencies through
vendor partnerships. Together, these initiatives are expected to strengthen
Charter's competitive position, drive improved financial performance and support
significantly higher free cash flow generation over time.
1
Cox Transactions Completed, Adding Significant Opportunity for Charter’s Growth
On August 19, 2026, Charter completed its transactions between the Company and
Cox Communications, Inc. ("Cox Communications") (the "Cox Transactions"). The
Cox Transactions added more than 11 million passings and over 5 million customer
relationships, making Charter the nation's leading Internet and video provider.
The acquisition expands Charter's presence in attractive, high-growth markets,
including Phoenix and Las Vegas, and complementary markets across the country,
creating significant opportunities to increase residential and small business
customer penetration.
•
In this release, actual results reflect the operations of Charter for the three
and nine months ended September 30, 2026 and Cox Communications for the period
from August 20, 2026 through September 30, 2026.
•
Pro forma results present the Cox Transactions as if they had closed on January
1, 2024 and include the operations of Charter and Cox Communications for the
full three and nine months ended September 30, 2026.
On September 16, 2026, Charter launched Spectrum's products, pricing and
packaging across the legacy Cox footprint, bringing its Internet, mobile and
video offerings to more than 11 million homes and businesses. Since launch,
Charter has seen strong demand from consumers and an improvement in customer
trends across the legacy Cox footprint.
Third Quarter 2026 Results and Highlights
•
On a pro forma basis, third quarter Spectrum Mobile TM lines 1 increased by
508,000 and by 1.8 million over the last twelve months. Legacy Charter added
440,000 mobile lines during the quarter. As of September 30, 2026, Charter
served 13.5 million mobile lines.
•
Spectrum Internet ® customers declined by 233,000 on a pro forma basis during
the third quarter, including a decline of 156,000 Internet customers at legacy
Charter and 77,000 at legacy Cox. As of September 30, 2026, Charter served 34.3
million Internet customers.
•
On a pro forma basis, video customers decreased by 77,000 in the third quarter
compared to a decline of 121,000 in the prior-year period, and declined by
256,000, or 1.8%, over the last twelve months. During the third quarter, legacy
Charter lost 38,000 video customers. As of September 30, 2026, Charter served
13.8 million video customers.
•
As of September 30, 2026, Spectrum customer relationships totaled 36.7 million
and connectivity customers totaled 35.4 million.
•
Pro forma third quarter revenue of $16.5 billion declined 1.5% year-over-year,
primarily driven by lower residential revenue. On an actual basis, third quarter
revenue of $14.9 billion increased 9.1% year-over-year, primarily driven by the
Cox Transactions.
•
Pro forma third quarter net loss attributable to Charter shareholders totaled
$2.1 billion, while on an actual basis, net loss attributable to Charter
shareholders totaled $2.4 billion, with both results primarily driven by a $6.3
billion franchise impairment charge.
•
Pro forma third quarter Adjusted EBITDA 2 of $6.6 billion declined 4.0% year-
over-year and 3.0% excluding transition expenses. On an actual basis, third
quarter Adjusted EBITDA of $5.9 billion grew 6.9% year-over-year, primarily
driven by the Cox Transactions.
2
•
On a pro forma basis, third quarter capital expenditures declined to $3.2
billion from $3.6 billion in the prior-year period. On an actual basis, capital
expenditures totaled $3.0 billion.
•
Third quarter actual net cash flows from operating activities of $4.0 billion
versus $4.5 billion in the prior year driven by timing of cash tax payments
year-over-year and one-time cash costs related to the Cox Transactions.
•
Third quarter actual free cash flow 2 of $674 million declined $947 million
versus the prior year, primarily due to lower net cash flows from operating
activities and an unfavorable change in accrued expenses related to capital
expenditures.
•
During the quarter, Charter exchanged $5.5 billion in aggregate principal amount
of secured notes for a combination of approximately $4.0 billion in cash and new
secured notes, resulting in approximately $1.5 billion in deleveraging, and
repaid $1.0 billion of legacy Cox notes at maturity.
1. Unless otherwise specified, customer data represents residential and small
business customers for legacy Charter and residential customers only for legacy
Cox.
2. Adjusted EBITDA and free cash flow are non-GAAP measures defined in the “Use
of Adjusted EBITDA and Free Cash Flow Information” section and are reconciled to
net income attributable to Charter shareholders and net cash flows from
operating activities, respectively, in the addendum of this news release.
3
Key Operating Results
Approx… Septem… Septemb…
as of 30, Pro 30, Y/Y
Actual 2026(e) Forma 2025(e) Change
──────────────────────────────────────────────────────────────────────────────
Footp…
Estim… 70,706 69,156 2.2 %
Passi…
Custo…
Relat…
Resid… 34,476 35,419 -2.7 %
Small 2,215 2,239 -1.1 %
Busin…
Total
Custo… 36,691 37,658 -2.6 %
Relat…
Resid… -230 -152 -78
Small -8 -2 -6
Busin…
Pro
forma…
Custo…
Relat… -238 -154 -84
Quart…
Net
Addit…
Total
Custo…
Relat… (2.6)
Penet… 51.9 % 54.5 % ppts
of
Estim…
Passi…
Pro
forma…
Resid…
Reven… $ 117.85 $ 119.71 -1.6 %
per
Resid…
Custo…
Month…
Small
Busin…
Reven… $ 163.74 $ 161.97 1.1 %
per
Small
Busin…
Custo…
Resid…
Custo…
Relat…
Penet…
One (1.2)
Produ… 50.8 % 52.0 % ppts
Penet…
Two
Produ… 33.1 % 31.9 % 1.2 ppts
Penet…
Three
or
More 16.2 % 16.0 % 0.2 ppts
Produ…
Penet…
Conne…
Resid… 33,294 34,084 -2.3 %
Small 2,064 2,077 -0.6 %
Busin…
Total
Conne… 35,358 36,161 -2.2 %
Custo…
Resid… -190 -107 -83
Small -5 1 -6
Busin…
Pro
forma
total
Conne… -195 -106 -89
Quart…
Net
Addit…
Inter…
Resid… 32,289 33,173 -2.7 %
Small 2,025 2,039 -0.7 %
Busin…
Total
Inter… 34,314 35,212 -2.5 %
Custo…
Resid… -228 -170 -58
Small -5 -1 -4
Busin…
Pro
forma…
Inter… -233 -171 -62
Quart…
Net
Addit…
Mobile
Lines…
Resid… 12,992 11,282 15.2 %
Small 460 374 22.8 %
Busin…
Total
Mobile 13,452 11,656 15.4 %
Lines
Resid… 489 494 -5
Small 19 20 -1
Busin…
Pro
forma…
Mobile
Lines 508 514 -6
Quart…
Net
Addit…
Video…
Resid… 13,298 13,519 -1.6 %
Small 503 538 -6.5 %
Busin…
Total
Video 13,801 14,057 -1.8 %
Custo…
Resid… -66 -115 49
Small -11 -6 -5
Busin…
Pro
forma…
Video -77 -121 44
Quart…
Net
Addit…
Voice
Resid… 4,952 5,730 -13.6 %
Small 1,191 1,219 -2.3 %
Busin…
Total
Voice 6,143 6,949 -11.6 %
Custo…
In thousands, except per customer and penetration data. See footnotes to
unaudited summary of operating statistics on page 11 of the addendum of this
news release. The footnotes contain important disclosures regarding the
definitions used for these operating statistics. All percentages are calculated
using whole numbers. Minor differences may exist due to rounding.
4
Third Quarter Performance Highlights
On September 16, 2026, Charter launched Spectrum Day across the legacy Cox
footprint, introducing Spectrum’s products, pricing and packaging to more than
11 million homes and businesses. Customers in legacy Cox markets now have access
to Internet with no data caps, a year of free Spectrum Mobile for eligible
customers, a $1,000 Savings Guarantee for customers who bundle Internet and two
Mobile lines and TV plans with up to $132 per month in streaming app value.
Customers will also benefit from Spectrum’s Customer Commitment, supported by
100% U.S.-based employees, with Spectrum fully returning legacy Cox’s customer
service function to the U.S. over the next 18 months. Since launch, Charter has
seen strong demand from consumers and an improvement in customer trends across
the legacy Cox footprint.
On a pro forma basis, third quarter Internet customers decreased by 233,000,
compared to a decline of 171,000 during the third quarter of 2025. Legacy
Charter lost 156,000 Internet customers versus a loss of 109,000 during the
third quarter of 2025. Spectrum increasingly offers symmetrical and multi-
gigabit Internet speeds across its entire footprint and has launched symmetrical
Internet service in several markets. In February 2026, Spectrum launched its
Invincible WiFi TM product, a tri-band advanced WiFi 7 router that integrates 5G
cellular and battery backup to keep customers seamlessly and fully connected
during a power outage or network disruption. In the first quarter of 2026,
Spectrum launched its $1,000 savings guarantee; new or existing Spectrum
Internet customers switching two or more mobile lines from Verizon, AT&T or
T-Mobile are guaranteed $1,000 of savings in their first year, or Spectrum will
cover the difference.
During the third quarter of 2026, Charter added 508,000 mobile lines on a pro
forma basis, compared to an increase of 514,000 during the third quarter of
2025. Legacy Charter added 440,000 mobile lines versus an increase of 482,000
during the third quarter of 2025. Spectrum Mobile has faster wireless speeds
than the competition (AT&T, T-Mobile, Verizon). 1
Video customers decreased by 77,000 in the third quarter of 2026 on a pro forma
basis, compared to a decline of 121,000 in the third quarter of 2025. Legacy
Charter lost 38,000 video customers versus a loss of 70,000 during the third
quarter of 2025, with the improvement driven by benefits from the inclusion of
programmers' streaming applications in Spectrum's expanded basic video packages
and simplified pricing and packaging.
Spectrum Stream TV video customers now receive up to approximately $132 per
month of programmers' streaming application retail value at no extra cost,
including the ad-supported versions of Disney+, Hulu, ESPN Unlimited, HBO Max,
Paramount+, Peacock, AMC+, ViX, Tennis Channel, Fox One and Discovery+.
Beginning in June 2026, Spectrum customers can purchase ad-supported and ad-free
versions of Netflix through Spectrum App Central. Spectrum App Central is an
innovative digital marketplace where Spectrum TV customers can activate, manage
and upgrade the streaming apps included with their video plans. Spectrum App
Central also allows Spectrum customers without a traditional TV package to
purchase and manage streaming apps à la carte.
Charter continues to work with federal, state and local governments to bring
Spectrum Internet to unserved and underserved communities. During the third
quarter of 2026, legacy Charter activated 116,000 subsidized rural passings.
Within legacy Charter's subsidized rural footprint, total customer relationships
increased by 48,000 in the third quarter of 2026.
1. Based on Download Speeds among top 5 national providers in Opensignal USA,
Converged Experience, April 2026.
5
Third Quarter Financial Results
(in millions)
T…
M…
E…
S…
3…
2… 2…
P… P… % 2… 2… %
… F… F… C… A… A… C…
──────────────────────────────────────────────────────────────────────────────
… $ 7… $ 7… … % $ … $ … … %
… 1… 9… … % … … … %
…
… 8… 8… … % … … … %
… 3… 4… … % … … … %
… 3… 3… … % … … … %
… 1… 1… … % … … … %
…
…
… 1… 1… … % … … … %
…
…
…
…
… 7… 7… … % … … … %
&
…
…
…
… 8… 8… … % … — n…
…
…
… 2… 2… … % … … … %
…
… 4… 4… … % … … … %
…
… 1… 9… … % … … … %
… $ 1… $ 1… … % $ … $ … … %
…
…
…
…
… $ -… $ 9… … % $ … $ … … %
…
…
…
…
…
…
… -… % 5… % … % … %
…
…
…
…
… $ 6… $ 6… … % $ … $ … … %
…
…
… 3… % 4… % … % … %
…
… $ 3… $ 3… … % $ … $ … … %
…
…
…
… $ … $ … … %
…
…
…
…
… $ … $ … … %
…
All percentages are calculated using whole numbers. Minor differences may exist
due to rounding.
1. Adjusted EBITDA and free cash flow are non-GAAP measures defined in the “Use
of Adjusted EBITDA and Free Cash Flow Information” section and are reconciled to
net income attributable to Charter shareholders and net cash flows from
operating activities, respectively, in the addendum of this news release.
Revenues
On a pro forma basis, third quarter revenue decreased by 1.5% year-over-year to
$16.5 billion, driven by lower residential video revenue mostly due to higher
costs allocated to programmer streaming applications and netted within video
revenue and lower residential Internet revenue, partly offset by higher mobile
device revenue, an increase in residential mobile service revenue and higher
advertising sales revenue. Excluding advertising sales revenue and costs
allocated to programmer streaming applications and netted within video revenue,
third quarter total revenue declined by 1.0% year-over-year on a pro forma
basis. On an actual basis, third quarter revenue increased by 9.1% year-over-
year to $14.9 billion, driven by the Cox Transactions.
Pro forma residential revenue totaled $12.2 billion in the third quarter, a
decrease of 4.1% year-over-year, driven by a year-over-year decline in
residential customers of 2.7% and a decrease in monthly residential revenue per
residential customer of 1.6%. Excluding costs allocated to programmer streaming
applications and netted within video revenue, residential revenue declined by
2.6% on a pro forma basis. On an actual basis, residential revenue totaled $11.2
billion in the third quarter, an increase of 4.8% year-over-year, driven by the
Cox Transactions.
Third quarter pro forma 2026 monthly residential revenue per residential
customer totaled $117.85, a decrease of 1.6% compared to the prior year period.
The decline was driven by pricing and packaging mix within Charter's customer
base, $286 million of costs allocated to programmer streaming applications
6
and netted within video revenue versus $106 million in the prior year period and
a decline in video customers during the last year, partly offset by the growth
of Spectrum Mobile. Excluding costs allocated to programmer streaming
applications and netted within video revenue, monthly residential revenue per
residential customer decreased 0.1% compared to the prior year period on a pro
forma basis.
On a pro forma basis, Internet revenue declined 3.7% year-over-year to $7.1
billion, driven by a decline in Internet customers year-over-year and pricing
and packaging mix within Charter's customer base, partly offset by more
favorable bundled revenue allocation year-over-year, promotional rate step-ups
and rate adjustments. On an actual basis, Internet revenue increased 7.1% year-
over-year to $6.4 billion, driven by the Cox Transactions.
Pro forma third quarter mobile service revenue totaled $1.2 billion, an increase
of 17.3% year-over-year, driven by mobile line growth and rate adjustments. On
an actual basis, third quarter mobile service revenue totaled $1.1 billion, an
increase of 18.9% year-over-year, driven by the Cox Transactions.
Pro forma video revenue totaled $3.6 billion in the third quarter, a decrease of
9.8% compared to the prior year period, driven by $286 million of costs
allocated to programmer streaming applications and netted within video revenue
versus $106 million in the prior year period, more unfavorable bundled revenue
allocation year-over-year, a higher mix of lower priced video packages within
Charter's video customer base and a decline in video customers during the last
year, partly offset by promotional rate step-ups and video rate adjustments that
pass through programmer rate increases. Excluding costs allocated to programmer
streaming applications and netted within video revenue, video revenue declined
5.2% year-over-year. On an actual basis, video revenue totaled $3.3 billion in
the third quarter, a decrease of 2.9% compared to the prior year period, with
the Cox Transactions partly offsetting the decrease.
On a pro forma basis, voice revenue decreased by 6.8% year-over-year to $366
million, driven by a decline in wireline voice customers, partly offset by voice
rate adjustments. On an actual basis, voice revenue increased by 2.6% year-over-
year to $340 million, driven by the Cox Transactions.
On a pro forma basis, commercial revenue increased by 0.3% year-over-year to
$2.7 billion, driven by legacy Charter mid-market and large business revenue
growth of 2.1% year-over-year, partly offset by a decline in legacy Cox business
revenue of 1.1%. On an actual basis, commercial revenue increased by 22.6% year-
over-year to $2.2 billion, driven by the Cox Transactions.
Pro forma third quarter advertising sales revenue of $487 million increased by
21.0% compared to the year - ago quarter, primarily driven by higher political
advertising revenue. On a pro forma basis, excluding political advertising
revenue in both periods, advertising sales revenue decreased by 5.2% year-over-
year driven by lower linear advertising revenue, partly offset by higher
streaming advertising revenue. On an actual basis, third quarter advertising
sales revenue of $460 million increased by 29.2% compared to the year - ago
quarter, primarily driven by higher political advertising revenue and the Cox
Transactions.
On a pro forma basis, other revenue totaled $1.1 billion in the third quarter,
an increase of 18.1% compared to the third quarter of 2025, primarily driven by
higher mobile device sales. On an actual basis, other revenue totaled $1.1
billion in the third quarter, an increase of 26.0% compared to the third quarter
of 2025, primarily driven by higher mobile device sales and the Cox
Transactions.
Operating Costs and Expenses
On a pro forma basis, third quarter total operating costs and expenses increased
0.2% year-over-year to $9.9 billion, primarily driven by higher other costs of
revenue, offset by lower programming costs. On an actual basis, third quarter
total operating costs and expenses increased by 10.7% year-over-year, primarily
driven by the Cox Transactions.
7
On a pro forma basis, third quarter programming costs decreased by $271 million,
or 10.3% as compared to the third quarter of 2025, reflecting $286 million of
costs allocated to programmer streaming applications and netted within video
revenue versus $106 million in the prior year period, fewer video customers and
a higher mix of lower cost packages within Charter's video customer base, partly
offset by contractual programming rate increases and renewals.
Other costs of revenue increased by $295 million, or 15.0% year-over-year, on a
pro forma basis, primarily driven by higher mobile device sales, higher mobile
service direct costs and higher advertising sales costs given higher political
revenue.
On a pro forma basis, field and technology operations expenses increased by $62
million, or 3.8% year-over-year, primarily driven by higher vehicle fuel costs,
higher labor expense and higher pole rent.
Customer operations expenses decreased by $18 million, or 1.9% year-over-year,
on a pro forma basis, driven by lower labor expense.
Marketing and residential sales expenses decreased by $21 million or 1.8% year-
over-year, on a pro forma basis, due to lower marketing expenses from cost
savings, despite higher marketing activity.
Transition expenses, which represent incremental costs incurred for the
integration of the Cox Transactions, totaled $76 million.
On a pro forma basis, other expenses decreased by $103 million, or 6.3% as
compared to the third quarter of 2025, primarily driven by lower labor expense.
Net Income (Loss) Attributable to Charter Shareholders
Pro forma net loss attributable to Charter shareholders totaled $2.1 billion in
the third quarter of 2026 compared to net income of $1.0 billion in the third
quarter of 2025. The year-over-year decline in pro forma net income was
primarily driven by an impairment of franchises of $6.3 billion, partly offset
by a gain on extinguishment of debt related to debt exchanges of $1.4 billion,
lower net income attributable to noncontrolling interest and lower income tax
expense. On an actual basis, net loss attributable to Charter shareholders
totaled $2.4 billion in the third quarter of 2026 compared to net income of $1.1
billion in the third quarter of 2025, primarily driven by the aforementioned
factors.
Actual net loss per basic common share attributable to Charter shareholders
totaled $20.50 in the third quarter of 2026 compared to income of $8.50 during
the same period last year. The change was primarily the result of the factors
described above as well as a 12.6% decrease in basic weighted average common
shares outstanding versus the prior year period.
Adjusted EBITDA
Third quarter pro forma Adjusted EBITDA of $6.6 billion declined by 4.0% year-
over-year, reflecting a decline in revenue of 1.5% and an increase in operating
costs and expenses of 0.2%. Excluding transition expenses, pro forma Adjusted
EBITDA declined 3.0% year-over-year. On an actual basis, third quarter Adjusted
EBITDA of $5.9 billion increased by 6.9% year-over-year due to the Cox
Transactions.
Capital Expenditures
Pro forma capital expenditures totaled $3.2 billion in the third quarter of
2026, compared to $3.6 billion in the prior year period, given lower line
extension spend and lower scalable infrastructure spend, partly offset by higher
upgrade/rebuild (primarily network evolution). On an actual basis, capital
8
expenditures totaled $3.0 billion in the third quarter of 2026, compared to $3.1
billion in the third quarter of 2025.
Charter expects pro forma full year 2026 capital expenditures, excluding
transition capital expenditures, to total approximately $13.0 billion. The
actual amount of capital expenditures in 2026 will depend on a number of factors
including, but not limited to, the pace of Charter's network evolution and
expansion initiatives, supply chain timing and growth rates in Charter's
residential and commercial businesses.
Cash Flow and Free Cash Flow
During the third quarter of 2026, actual net cash flows from operating
activities totaled $4.0 billion, a decrease from $4.5 billion in the prior year.
The year-over-year decrease was driven by timing of cash tax payments and one-
time cash costs related to the Cox Transactions.
Actual free cash flow in the third quarter of 2026 totaled $674 million, a
decrease of $947 million compared to the third quarter of 2025. The year-over-
year decrease in free cash flow was driven by lower net cash flows from
operating activities and an unfavorable change in accrued expenses related to
capital expenditures.
Liquidity & Financing
As of September 30, 2026, total principal amount of debt was $108.6 billion and
Charter's credit facilities provided approximately $2.4 billion of additional
liquidity in excess of Charter's $573 million cash position.
During the three months ended September 30, 2026, Charter Communications
Operating, LLC ("Charter Operating") and Charter Communications Operating
Capital Corp. jointly issued $1.75 billion of 6.050% senior secured notes due
February 2032 at a price of 99.839% of the aggregate principal amount, $1.0
billion of 6.600% senior secured notes due February 2034 at a price of 99.896%
of the aggregate principal amount, $1.0 billion of 6.950% senior secured notes
due August 2036 at a price of 99.937% of the aggregate principal amount and $1.0
billion of 7.850% senior secured notes due August 2056 at a price of 99.921% of
the aggregate principal amount. The net proceeds were used to pay the cash
consideration for the Cox Transactions and for general corporate purposes,
including to repay certain indebtedness and to pay related fees and expenses.
During the three months ended September 30, 2026, Charter Operating, Charter
Communications Operating Capital Corp. and Time Warner Cable, LLC exchanged
approximately $5.5 billion in aggregate principal amount of various series of
senior secured notes for a combination of $622 million in cash and approximately
$1.7 billion of 7.087% senior secured notes due September 2038 issued at par and
approximately $1.7 billion of 7.337% senior secured notes due September 2041
issued at par.
Share Repurchases
During the third quarter, Charter purchased 139,807 shares of Charter Class A
common stock for $19 million.
9
Webcast
Charter will host a webcast on Friday, November 6, 2026 at 8:30 a.m. Eastern
Time (ET) related to the contents of this release.
The webcast can be accessed live via the Company's investor relations website at
ir.charter.com . Participants should go to the webcast link no later than 10
minutes prior to the start time to register. The webcast will be archived at
ir.charter.com two hours after completion of the webcast.
Additional Information Available on Website
The information in this press release should be read in conjunction with the
financial statements and footnotes contained in the Company's Quarterly Report
on Form 10-Q for the three and nine months ended September 30, 2026, which will
be posted on the “Results & SEC Filings” section of the Company's investor
relations website at ir.charter.com , when it is filed with the Securities and
Exchange Commission (the "SEC"). A slide presentation to accompany the
conference call and a trending schedule containing historical customer and
financial data will also be available in the “Results & SEC Filings” section.
Use of Adjusted EBITDA and
Free Cash Flow Information
The Company uses certain measures that are not defined by U.S. generally
accepted accounting principles ("GAAP") to evaluate various aspects of its
business. Adjusted EBITDA and free cash flow are non-GAAP financial measures and
should be considered in addition to, not as a substitute for, net income
attributable to Charter shareholders and net cash flows from operating
activities reported in accordance with GAAP. These terms, as defined by Charter,
may not be comparable to similarly titled measures used by other companies.
Adjusted EBITDA and free cash flow are reconciled to net income attributable to
Charter shareholders and net cash flows from operating activities, respectively,
in the Addendum to this release.
Adjusted EBITDA is defined as net income (loss) attributable to Charter
shareholders plus net income (loss) attributable to noncontrolling interest, net
interest expense, income taxes, depreciation and amortization, impairment of
franchises, stock compensation expense, other income (expenses), net and other
operating (income) expenses, net, such as restructuring costs, special charges,
merger and acquisition costs and (gain) loss on sale or retirement of assets. As
such, it eliminates the significant non-cash depreciation and amortization
expense that results from the capital-intensive nature of the Company's
businesses as well as other non-cash or special items, and is unaffected by the
Company's capital structure or investment activities. However, this measure is
limited in that it does not reflect the periodic costs of certain capitalized
tangible and intangible assets used in generating revenues and the cash cost of
financing. These costs are evaluated through other financial measures.
Free cash flow is defined as net cash flows from operating activities, less
capital expenditures and changes in accrued expenses related to capital
expenditures.
Management and Charter's board of directors use Adjusted EBITDA and free cash
flow to assess Charter's performance and its ability to service its debt, fund
operations and make additional investments with internally generated funds. In
addition, Adjusted EBITDA generally correlates to the leverage ratio calculation
under the Company's credit facilities or outstanding notes to determine
compliance with the covenants contained in the facilities and notes (all such
documents have been previously filed with the SEC). For the purpose of
calculating compliance with leverage covenants, the Company uses Adjusted
EBITDA, as presented, excluding certain expenses paid by its operating
subsidiaries to other Charter entities. The Company's debt covenants refer to
these expenses as management fees, which were $377 million and $1.1 billion for
the three and nine months ended September 30, 2026, respectively, and $350
million and $1.1 billion for the three and nine months ended September 30, 2025,
respectively.
10
About Charter
Charter Communications, Inc. (NASDAQ: CHTR, CHTRP), through its Spectrum brand,
is the leading internet and video provider in the nation and the fastest growing
mobile company in our footprint, with services available to more than 70 million
homes and businesses across 45 states. Supported by our 100% U.S.-based
employees,* we are America's Internet Company ® .
More information about Charter can be found at corporate.charter.com.
*At close of the Cox acquisition, Spectrum announced that over the next 18
months, it will fully return legacy Cox's customer service function to the U.S.
# # #
Contact:
Media: Analysts:
Justin Venech Stefan Anninger
203-905-7818 203-905-7955
11
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
This communication includes forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended, regarding, among other things, our
plans, strategies and prospects, both business and financial. Although we
believe that our plans, intentions and expectations as reflected in or suggested
by these forward-looking statements are reasonable, we cannot assure you that we
will achieve or realize these plans, intentions or expectations. Forward-looking
statements are inherently subject to risks, uncertainties and assumptions
including, without limitation, the factors described under “Risk Factors” from
time to time in our filings with the SEC. Many of the forward-looking statements
contained in this communication may be identified by the use of forward-looking
words such as “believe,” "future," “expect,” “anticipate,” “should,” “planned,”
“will,” “may,” “intend,” “estimated,” “aim,” “on track,” “target,”
“opportunity,” “tentative,” “positioning,” “designed,” “create,” “predict,”
“project,” "initiatives," “seek,” “would,” “could,” “continue,” “ongoing,”
“upside,” “increases,” "grow," "focused on" and “potential,” among others.
Important factors that could cause actual results to differ materially from the
forward-looking statements we make in this communication are set forth in our
annual report on Form 10-K, and in other reports or documents that we file from
time to time with the SEC, and include, but are not limited to:
• our ability to sustain and grow revenues and cash flow from operations by
offering Internet, mobile, video, voice, advertising and other services to
residential and commercial customers, to adequately meet the customer experience
demands in our service areas and to maintain and grow our customer base,
particularly in the face of increasingly aggressive competition, the need for
innovation and the related capital expenditures;
• the impact of competition from other market participants, including but not
limited to incumbent telephone companies, direct broadcast satellite ("DBS")
operators, wireless and satellite broadband and telephone providers, digital
subscriber line (“DSL”) providers, fiber to the home providers and providers of
video content over broadband Internet connections;
• general business conditions, unemployment levels and the level of activity in
the housing sector and economic uncertainty or downturn;
• our ability to develop and deploy new products and technologies including
consumer services and service platforms;
• any events that disrupt our networks, information systems or properties and
impair our operating activities or our reputation;
• the effects of governmental regulation on our business including subsidies to
consumers, subsidies and incentives for competitors, costs, disruptions and
possible limitations on operating flexibility related to, and our ability to
comply with, regulatory conditions applicable to us;
• our ability to procure necessary services and equipment from our vendors in a
timely manner and at reasonable costs including in connection with our network
evolution and rural construction initiatives;
• our ability to obtain programming at reasonable prices or to raise prices to
offset, in whole or in part, the effects of higher programming costs (including
retransmission consents and distribution requirements);
• the ability to hire and retain key personnel;
• the availability and access, in general, of funds to meet our debt obligations
prior to or when they become due and to fund our operations and necessary
capital expenditures, either through (i) cash on hand, (ii) free cash flow, or
(iii) access to the capital or credit markets;
• our ability to comply with all covenants in our indentures and credit
facilities, any violation of which, if not cured in a timely manner, could
trigger a default of our other obligations under cross-default provisions;
• our ability to achieve the cost synergies and growth opportunities
contemplated by the Cox Transactions;
• our ability to promptly, efficiently and effectively integrate acquired
operations;
• changes in our or legacy Cox Communications operations' businesses, future
cash requirements, capital requirements, results of operations, revenues,
financial condition and/or cash flows;
• disruption in our business relationships as a result of the Cox Transactions;
and
12
• the increase in indebtedness as a result of the Cox Transactions and the
Liberty Broadband Transaction, which will increase interest expense and may
decrease our operating flexibility.
All forward-looking statements attributable to us or any person acting on our
behalf are expressly qualified in their entirety by this cautionary statement.
We are under no duty or obligation to update any of the forward-looking
statements after the date of this communication.
13
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
UNAUDITED RECONCILIATION OF NON-GAAP MEASURES TO GAAP MEASURES
(dollars in millions)
Last
Th… Ni… Twe…
Mo… Mo… Mon…
En… En… End…
Se… Se… Sep…
30, 30, 30,
20… 20… 20… 20… 2026 2025
Ac… Ac… Ac… Ac… Act… Act…
──────────────────────────────────────────────────────────────────────────────
N…
i…
(…
a… $ -2… $ 1,… $ 58 $ 3,… $ 1,… $ 5,…
to
C…
s…
P…
N…
i…
(… -3… 179 130 565 344 775
a…
to
n…
i…
I…
e… 1,… 1,… 3,… 3,… 5,… 5,…
n…
I…
t… -8… 418 137 1,… 552 1,…
(…
e…
D…
a… 2,… 2,… 7,… 6,… 9,… 8,…
a…
I…
of 6,… — 6,… — 6,… —
f…
(…
l…
on -1… 28 -1… 28 -1… 36
e…
of
d…
S…
c… 177 151 518 530 661 668
e…
O… 371 220 588 673 711 799
n…
A… $ 5,… $ 5,… $ 17… $ 17… $ 22… $ 22…
E…
N…
c…
f… $ 4,… $ 4,… $ 12… $ 12… $ 16… $ 15…
f…
o…
a…
L…
P…
of
p… -3… -3… -8… -8… -1… -1…
p…
a…
e…
C…
in
a…
e… -3… 192 -4… 239 -1… 825
r…
to
c…
e…
F…
c… $ 674 $ 1,… $ 3,… $ 4,… $ 3,… $ 5,…
f…
La…
Th… Ni… Tw…
Mo… Mo… Mo…
En… En… En…
Se… Se… Se…
30, 30, 30,
20… 20… 20… 20… 20… 20…
Pro Pro Pro Pro Pro Pro
Fo… Fo… Fo… Fo… Fo… Fo…
──────────────────────────────────────────────────────────────────────────────
N…
i…
(…
a… $ -2… $ 952 $ -5 $ 3,… $ -1,… $ 4,1…
to
C…
s…
P…
N…
i…
(… -6… 625 726 1,… -218 2,5…
a…
to
n…
i…
I…
e… 1,… 1,… 4,… 4,… 6,0… 6,0…
n…
I…
t… -6… 356 117 1,… -560 1,3…
(…
e…
D…
a… 3,… 2,… 9,… 9,… 12,… 12,…
a…
I…
of 6,… — 6,… — 11,… —
f…
(…
l…
on -1… 28 -1… 28 -1,… 36
e…
of
d…
S…
c… 177 151 518 530 661 668
e…
O… 379 234 743 805 997 1,1…
n…
A… $ 6,… $ 6,… $ 20… $ 20… $ 27,… $ 28,…
E…
P…
T… 76 4 165 4 180 4
e…
A…
E… $ 6,… $ 6,… $ 20… $ 20… $ 27,… $ 28,…
t…
e…
The above schedules are presented in order to reconcile Adjusted EBITDA and free
cash flow, non-GAAP measures, to the most directly comparable GAAP measures in
accordance with Section 401(b) of the Sarbanes-Oxley Act.
See footnotes on page 11.
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 1 of 11
UNAUDITED ALTERNATIVE PRESENTATION OF ADJUSTED EBITDA
(dollars in millions)
Th… N…
Mo… M…
En… E…
Se… S…
30, 3…
20… 20… % 2… 2… %
… Ac… Ac… Ch… A… A… C…
──────────────────────────────────────────────────────────────────────────────
… $ 6… $ 5… 7… % $ 18… $ 17… 0.9 %
… 1… 9… 1… % 3,… 2,… 17… %
…
… 7… 6… 8… % 21… 20… 3.1 %
… 3… 3… -… % 9,… 10… -7… %
… 3… 3… 2… % 1,… 1,… -2… %
… 1… 1… 4… % 32… 32… -0… %
…
…
… 1… 1… 0… % 3,… 3,… 0.3 %
…
…
…
…
… 7… 7… 2… % 2,… 2,… 2.3 %
&
…
…
…
… 3… — n/a 397 — n…
…
…
… 2… 1… 2… % 5,… 5,… 8.4 %
…
… 4… 3… 2… % 1,… 1,… 15… %
…
… 1… 8… 2… % 2,… 2,… 15… %
… 1… 1… 9… % 42… 41… 2.1 %
…
…
…
…
… 2… 2… -… % 6,… 6,… -7… %
…
… 2… 1… 2… % 5,… 4,… 16… %
…
…
…
… 1… 1… 1… % 4,… 3,… 4.9 %
…
…
… 8… 7… 3… % 2,… 2,… 1.2 %
…
…
… 1… 9… 5… % 2,… 2,… -0… %
…
…
… 76 4 n/a 165 4 n…
…
… 1… 1… 1… % 3,… 3,… 5.1 %
…
…
…
… 8… 8… 1… % 25… 24… 3.6 %
…
…
… $ 5… $ 5… 6… % $ 17… $ 17… 0.1 %
…
All percentages are calculated using whole numbers. Minor differences may exist
due to rounding. See footnotes on page 11.
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 2 of 11
UNAUDITED ALTERNATIVE PRESENTATION OF ADJUSTED EBITDA
(dollars in millions)
Th… N…
Mo… M…
En… E…
Se… S…
30, 3…
20… 20… 2… 2…
Pro Pro % P… P… %
… Fo… Fo… Ch… F… F… C…
──────────────────────────────────────────────────────────────────────────────
… $ 7… $ 7… -… % $ 21… $ 22… -3… %
… 1… 9… 1… % 3,… 2,… 17… %
…
… 8… 8… -… % 24… 25… -0… %
… 3… 4… -… % 11… 12… -9… %
… 3… 3… -… % 1,… 1,… -6… %
… 1… 1… -… % 37… 38… -3… %
…
…
… 1… 1… 0… % 3,… 3,… 0.3 %
…
…
…
…
… 7… 7… 2… % 2,… 2,… 2.3 %
&
…
…
…
… 8… 8… -… % 2,… 2,… 0.4 %
…
…
… 2… 2… 0… % 8,… 8,… 0.9 %
…
… 4… 4… 2… % 1,… 1,… 13… %
…
… 1… 9… 1… % 3,… 2,… 11… %
… 1… 1… -… % 49… 50… -1… %
…
…
…
…
… 2… 2… -… % 7,… 8,… -9… %
…
… 2… 1… 1… % 6,… 5,… 11… %
…
…
…
… 1… 1… 3… % 4,… 4,… 0.6 %
…
…
… 8… 9… -… % 2,… 2,… -1… %
…
…
… 1… 1… -… % 3,… 3,… -2… %
…
…
… 76 4 n/a 165 4 n…
…
… 1… 1… -… % 4,… 4,… -2… %
…
…
…
… 9… 9… 0… % 29… 29… -0… %
…
…
… $ 6… $ 6… -… % $ 20… $ 20… -3… %
…
All percentages are calculated using whole numbers. Minor differences may exist
due to rounding. See footnotes on page 11.
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 3 of 11
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
UNAUDITED
CONSOLIDATED STATEMENTS OF OPERATIONS
(dollars in millions, except per share data)
Three Nine
Months Months
Ended Ended
Septe… Septe…
30, 30,
2026 2025 2026 2025
Actual Actual Actual Actual
──────────────────────────────────────────────────────────────────────────────
REVE… $ 14,922 $ 13,672 $ 42,045 $ 41,1…
COSTS
AND
EXPE…
Oper…
costs
and
expe…
(exc… 9,156 8,262 25,534 24,6…
of
items
shown
sepa…
belo…
Depr…
and 2,621 2,160 7,029 6,517
amor…
Impa…
of 6,326 — 6,326 —
fran…
Other
oper… 345 119 411 323
expe…
net
18,448 10,541 39,300 31,5…
Inco…
(los… -3,526 3,131 2,745 9,647
from
oper…
OTHER
INCO…
(EXP…
Inte…
expe… -1,341 -1,268 -3,873 -3,7…
net
Other
inco… 1,365 -129 1,453 -378
(exp…
net
24 -1,397 -2,420 -4,1…
Inco…
(los…
befo… -3,502 1,734 325 5,497
inco…
taxes
Inco…
tax 803 -418 -137 -1,2…
bene…
(exp…
Cons…
net -2,699 1,316 188 4,220
inco…
(los…
Less:
Net
(inc…
loss 302 -179 -130 -565
attr…
to
nonc…
inte…
Net
inco…
(los…
attr… $ -2,397 $ 1,137 $ 58 $ 3,655
to
Char…
shar…
EARN…
(LOS…
PER
COMM…
SHARE
ATTR…
TO
CHAR…
SHAR…
Basic $ -20.50 $ 8.50 $ 0.48 $ 26.52
Dilu… $ -20.50 $ 8.34 $ 0.38 $ 25.95
Weig…
aver…
comm… 116,9… 133,7… 120,8… 137,…
shar…
outs…
basic
Weig…
aver…
comm… 116,9… 136,3… 137,5… 140,…
shar…
outs…
dilu…
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 4 of 11
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
UNAUDITED
CONSOLIDATED STATEMENTS OF OPERATIONS
(dollars in millions, except per share data)
Three Nine
Months Months
Ended Ended
Septe… Septe…
30, 30,
2026 2025 2026 2025
Pro Pro Pro Pro
Forma… Forma… Forma… Form…
──────────────────────────────────────────────────────────────────────────────
REVE… $ 16,505 $ 16,764 $ 49,720 $ 50,615
COSTS
AND
EXPE…
Oper…
costs
and
expe…
(exc… 10,095 10,053 29,928 30,162
of
items
shown
sepa…
belo…
Depr…
and 3,044 2,993 9,008 9,016
amor…
Impa…
of 6,326 — 6,326 —
fran…
Other
oper… 353 131 563 396
expe…
net
19,818 13,177 45,825 39,574
Inco…
(los… -3,313 3,587 3,895 11,041
from
oper…
OTHER
INCO…
(EXP…
Inte…
expe… -1,462 -1,523 -4,507 -4,544
net
Other
inco… 1,365 -131 1,450 -437
(exp…
net
-97 -1,654 -3,057 -4,981
Inco…
(los…
befo… -3,410 1,933 838 6,060
inco…
taxes
Inco…
tax 697 -356 -117 -1,071
bene…
(exp…
Cons…
net -2,713 1,577 721 4,989
inco…
(los…
Less:
Net
(inc…
loss 634 -625 -726 -1,950
attr…
to
nonc…
inte…
Net
inco…
(los…
attr… $ -2,079 $ 952 $ -5 $ 3,039
to
Char…
shar…
EARN…
(LOS…
PER
COMM…
SHARE
ATTR…
TO
CHAR…
SHAR…
Basic $ -17.78 $ 7.12 $ -0.04 $ 22.05
Dilu… $ -17.78 $ 6.98 $ -0.04 $ 21.58
Weig…
aver…
comm… 116,9… 133,7… 120,8… 137,8…
shar…
outs…
basic
Weig…
aver…
comm… 116,9… 136,3… 120,8… 140,8…
shar…
outs…
dilu…
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 5 of 11
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
CONDENSED
CONSOLIDATED BALANCE SHEETS
(dollars in millions)
September 30,
ASSETS 2026 December 31
CURRENT ASSETS: (unaudited) 2025
──────────────────────────────────────────────────────────────────────────────
Cash and cash equivalents $ 573 $ 477
Accounts receivable, net 4,396 3,680
Prepaid expenses and other
current 1,249 987
assets
Total current assets 6,218 5,144
INVESTMENT IN CABLE
PROPERTIES:
Property, plant and 62,786 46,444
equipment, net
Customer relationships, 6,091 440
net
Franchises 67,915 67,471
Goodwill 29,748 29,710
Total investment in cable
properties, 166,540 144,065
net
OTHER NONCURRENT ASSETS 5,707 5,004
Total assets $ 178,465 $ 154,213
LIABILITIES AND
SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable, accrued
and other $ 14,644 $ 12,556
current liabilities
Current portion of 1,990 750
long-term debt
Total current liabilities 16,634 13,306
LONG-TERM DEBT 105,062 94,006
EQUIPMENT INSTALLMENT PLAN
FINANCING 1,696 1,447
FACILITY
DEFERRED INCOME TAXES 18,819 19,841
OTHER LONG-TERM 6,434 5,094
LIABILITIES
SHAREHOLDERS' EQUITY:
Controlling interest 10,983 16,054
Noncontrolling interests 18,837 4,465
Total shareholders' equity 29,820 20,519
Total liabilities and
shareholders' $ 178,465 $ 154,213
equity
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 6 of 11
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
UNAUDITED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(dollars in millions)
Three Nine
CASH Months Months
FLOWS Ended Ended
FROM Septem… Septe…
OPERA… 30, 30,
ACTIV… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Conso…
net $ -2,699 $ 1,316 $ 188 $ 4,220
income
(loss)
Adjus…
to
recon…
conso…
net
income
(loss)
to net
cash
flows
from
opera…
activ…
Depre…
and 2,621 2,160 7,029 6,517
amort…
Impai…
of 6,326 — 6,326 —
franc…
(Gain)
loss
on -1,391 28 -1,630 28
extin…
of
debt
Stock
compe… 177 151 518 530
expen…
Nonca…
inter… 24 7 36 22
net
Defer…
income -1,020 852 -603 772
taxes
Other, 33 120 186 470
net
Chang…
in
opera…
assets
and
liabi…
net of
effec…
from
acqui…
and
dispo…
Accou… -80 -48 -216 -334
recei…
Prepa…
expen…
and -288 -186 -284 -355
other
assets
Accou…
payab…
accru… 324 80 706 446
liabi…
and
other
Net
cash
flows 4,027 4,480 12,256 12,316
from
opera…
activ…
CASH
FLOWS
FROM
INVES…
ACTIV…
Purch…
of
prope… -3,027 -3,051 -8,753 -8,324
plant
and
equip…
Change
in
accru…
expen… -326 192 -488 239
relat…
to
capit…
expen…
Purch…
of
busin… -4,158 — -4,158 —
and
asset
acqui…
Other, -27 -298 -312 -497
net
Net
cash
flows -7,538 -3,157 -13,711 -8,582
from
inves…
activ…
CASH
FLOWS
FROM
FINAN…
ACTIV…
Borro…
of 13,400 6,903 25,010 12,019
long-…
debt
Borro…
of
equip…
insta… 99 59 247 292
plan
finan…
facil…
Repay…
of -9,041 -6,128 -21,149 -10,9…
long-…
debt
Payme…
for
debt -53 -16 -83 -17
issua…
costs
Purch…
of
treas…
stock
(incl… -21 -2,113 -1,899 -4,366
the
Liber…
Broad…
Trans…
Proce…
from
exerc… — 1 13 20
of
stock
optio…
Purch…
of — -121 — -373
nonco…
inter…
Distr…
to -25 — -47 -124
nonco…
inter…
Other, -831 -36 -619 -249
net
Net
cash
flows 3,528 -1,451 1,473 -3,719
from
finan…
activ…
NET
INCRE…
(DECR…
IN
CASH, 17 -128 18 15
CASH
EQUIV…
AND
RESTR…
CASH
CASH,
CASH
EQUIV…
AND
RESTR… 599 649 598 506
CASH,
begin…
of
period
CASH,
CASH
EQUIV…
AND $ 616 $ 521 $ 616 $ 521
RESTR…
CASH,
end of
period
CASH
PAID $ 1,294 $ 1,171 $ 3,800 $ 3,610
FOR
INTER…
As of September 30, 2026, June 30, 2026, December 31, 2025, September 30, 2025,
June 30, 2025 and December 31, 2024, cash, cash equivalents and restricted cash
includes $43 million, $90 million, $121 million, $57 million, $43 million and
$47 million of restricted cash included in prepaid expenses and other current
assets in the consolidated balance sheets, respectively.
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 7 of 11
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
UNAUDITED SUMMARY OF OPERATING STATISTICS
(in thousands, except per customer and penetration data)
Septe… June Decem… Septem…
Appro… 30, 30, 31, 30,
as of 2026(… 2026(e) 2025(… 2025(e)
──────────────────────────────────────────────────────────────────────────────
Actual
Foot…
Esti… 70,706 58,981 58,399 57,940
Pass…
Cust…
Rela…
Resi… 34,476 29,276 29,609 29,734
Small 2,215 2,223 2,237 2,239
Busi…
Total
Cust… 36,691 31,499 31,846 31,973
Rela…
Resi… 5,200 -176 -125 -85
Small -8 -8 -2 -2
Busi…
Total
Cust…
Rela… 5,192 -184 -127 -87
Quar…
Net
Addi…
Total
Cust…
Rela…
Pene… 51.9 % 53.4 % 54.5 % 55.2 %
of
Esti…
Pass…
Mont…
Resi…
Reve… $ 117.12 $ 117.52 $ 117.19 $ 119.16
per
Resi…
Cust…
Mont…
Small
Busi…
Reve… $ 163.74 $ 165.27 $ 159.85 $ 161.97
per
Small
Busi…
Cust…
Resi…
Cust…
Rela…
Pene…
One
Prod… 50.8 % 47.4 % 48.0 % 48.5 %
Pene…
Two
Prod… 33.1 % 35.1 % 34.5 % 34.1 %
Pene…
Three
or
More 16.2 % 17.6 % 17.5 % 17.4 %
Prod…
Pene…
Conn…
Resi… 33,294 28,306 28,563 28,658
Small 2,064 2,069 2,077 2,077
Busi…
Total
Conn… 35,358 30,375 30,640 30,735
Cust…
Resi… 4,988 -140 -95 -47
Small -5 -5 — 1
Busi…
Total
Conn…
Quar… 4,983 -145 -95 -46
Net
Addi…
Inte…
Resi… 32,289 27,358 27,641 27,760
Small 2,025 2,030 2,039 2,039
Busi…
Total
Inte… 34,314 29,388 29,680 29,799
Cust…
Resi… 4,931 -166 -119 -108
Small -5 -6 — -1
Busi…
Total
Inte…
Quar… 4,926 -172 -119 -109
Net
Addi…
Mobi…
Line…
Resi… 12,992 12,099 11,370 10,964
Small 460 441 396 374
Busi…
Total
Mobi… 13,452 12,540 11,766 11,338
Lines
Resi… 893 385 406 462
Small 19 21 22 20
Busi…
Total
Mobi…
Lines 912 406 428 482
Quar…
Net
Addi…
Vide…
Resi… 13,298 12,010 12,072 12,023
Small 503 514 533 538
Busi…
Total
Video 13,801 12,524 12,605 12,561
Cust…
Resi… 1,288 -11 49 -64
Small -11 -10 -5 -6
Busi…
Total
Video
Quar… 1,277 -21 44 -70
Net
Addi…
Voice
Resi… 4,952 4,494 4,832 4,967
Small 1,191 1,200 1,214 1,219
Busi…
Total
Voice 6,143 5,694 6,046 6,186
Cust…
See footnotes on page 11.
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 8 of 11
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
UNAUDITED SUMMARY OF OPERATING STATISTICS
(in thousands, except per customer and penetration data)
Septem… June Decemb… Septe…
Appro… 30, 30, 31, 30,
as of 2026 2026 2025 2025
──────────────────────────────────────────────────────────────────────────────
Pro
Forma…
Foot…
Esti… 70,706 70,313 69,662 69,156
Pass…
Cust…
Rela…
Resi… 34,476 34,706 35,225 35,419
Small 2,215 2,223 2,237 2,239
Busi…
Total
Cust… 36,691 36,929 37,462 37,658
Rela…
Resi… -230 -282 -194 -152
Small -8 -8 -2 -2
Busi…
Total
Cust…
Rela… -238 -290 -196 -154
Quar…
Net
Addi…
Total
Cust…
Rela…
Pene… 51.9 % 52.5 % 53.8 % 54.5 %
of
Esti…
Pass…
Mont…
Resi…
Reve… $ 117.85 $ 118.40 $ 118.06 $ 119.71
per
Resi…
Cust…
Resi…
Cust…
Rela…
Pene…
One
Prod… 50.8 % 51.1 % 51.6 % 52.0 %
Pene…
Two
Prod… 33.1 % 32.8 % 32.3 % 31.9 %
Pene…
Three
or
More 16.2 % 16.1 % 16.1 % 16.0 %
Prod…
Pene…
Conn…
Resi… 33,294 33,484 33,924 34,084
Small 2,064 2,069 2,077 2,077
Busi…
Total
Conn… 35,358 35,553 36,001 36,161
Cust…
Resi… -190 -241 -160 -107
Small -5 -5 — 1
Busi…
Total
Conn…
Quar… -195 -246 -160 -106
Net
Addi…
Inte…
Resi… 32,289 32,517 32,987 33,173
Small 2,025 2,030 2,039 2,039
Busi…
Total
Inte… 34,314 34,547 35,026 35,212
Cust…
Resi… -228 -269 -186 -170
Small -5 -6 — -1
Busi…
Total
Inte…
Quar… -233 -275 -186 -171
Net
Addi…
Mobi…
Line…
Resi… 12,992 12,503 11,718 11,282
Small 460 441 396 374
Busi…
Total
Mobi… 13,452 12,944 12,114 11,656
Lines
Resi… 489 418 436 494
Small 19 21 22 20
Busi…
Total
Mobi…
Lines 508 439 458 514
Quar…
Net
Addi…
Vide…
Resi… 13,298 13,364 13,528 13,519
Small 503 514 533 538
Busi…
Total
Video 13,801 13,878 14,061 14,057
Cust…
Resi… -66 -61 9 -115
Small -11 -10 -5 -6
Busi…
Total
Video
Quar… -77 -71 4 -121
Net
Addi…
Voice
Resi… 4,952 5,157 5,562 5,730
Small 1,191 1,200 1,214 1,219
Busi…
Total
Voice 6,143 6,357 6,776 6,949
Cust…
See footnotes on page 11.
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 9 of 11
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
UNAUDITED CAPITAL EXPENDITURES
(dollars in millions)
Three Nine
Months Months
Ended Ended
Septem… Septem…
30, 30,
2026 2025 2026 2025
Actual Actual Actual Actual
──────────────────────────────────────────────────────────────────────────────
Custo…
premi… $ 670 $ 656 $ 1,992 $ 1,722
equip…
Scala… 341 425 987 1,089
infra…
Upgra… 741 484 2,073 1,336
Suppo… 549 449 1,433 1,234
capit…
Capit…
expen…
exclu… 2,301 2,014 6,485 5,381
line
exten…
Subsi…
rural
const… 292 580 1,108 1,590
line
exten…
Other
line 434 457 1,160 1,353
exten…
Total
line 726 1,037 2,268 2,943
exten…
Total
capit… $ 3,027 $ 3,051 $ 8,753 $ 8,324
expen…
Capit…
expen…
inclu…
in
total
relat…
to:
Comme… $ 376 $ 336 $ 955 $ 933
servi…
Subsi…
rural $ 292 $ 582 $ 1,110 $ 1,595
const…
initi…
Mobile $ 73 $ 77 $ 202 $ 189
Trans… $ 33 $ — $ 70 $ —
Three Nine
Months Months
Ended Ended
Septe… Septe…
30, 30,
2026 2025 2026 2025
Pro Pro Pro Pro
Forma… Forma(… Forma… Forma(…
──────────────────────────────────────────────────────────────────────────────
Cust…
prem… $ 705 $ 759 $ 2,171 $ 1,988
equi…
Scal… 385 560 1,188 1,464
infr…
Upgr… 757 520 2,148 1,438
Supp… 581 549 1,597 1,558
capi…
Capi…
expe…
excl… 2,428 2,388 7,104 6,448
line
exte…
Subs…
rural
cons… 292 580 1,108 1,590
line
exte…
Other
line 515 674 1,712 2,014
exte…
Total
line 807 1,254 2,820 3,604
exte…
Total
capi… $ 3,235 $ 3,642 $ 9,924 $ 10,052
expe…
Capi…
expe…
incl…
in
total
rela…
to:
Comm… $ 464 $ 479 $ 1,370 $ 1,362
serv…
Mobi… $ 76 $ 77 $ 209 $ 189
See footnotes on page 11.
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 10 of 11
CHARTER COMMUNICATIONS, INC. AND SUBSIDIARIES
FOOTNOTES
(a) Adjusted EBITDA is defined as net income attributable to Charter
shareholders plus net (income) loss attributable to noncontrolling interest, net
interest expense, income taxes, depreciation and amortization, impairment of
franchises, stock compensation expense, other (income) expenses, net and other
operating (income) expenses, net such as restructuring costs, special charges,
merger and acquisition costs and (gain) loss on sale or retirement of assets. As
such, it eliminates the significant non-cash depreciation and amortization
expense that results from the capital-intensive nature of our businesses as well
as other non-cash or special items, and is unaffected by our capital structure
or investment activities. Free cash flow is defined as net cash flows from
operating activities, less capital expenditures and changes in accrued expenses
related to capital expenditures.
(b) Pro forma results reflect the acquisition of Cox Communications as if it
occurred as of the earliest period presented.
(c) Transition represents incremental costs incurred to prepare for the
integration of Cox Communications’ operations and to bring systems and processes
into a uniform operating structure.
(d) Other expense excludes stock compensation expense. Total operating costs and
expenses excludes stock compensation expense, depreciation and amortization and
other operating (income) expenses, net.
(e) We calculate the aging of customer accounts based on the monthly billing
cycle for each account in accordance with our collection policies. On that
basis, at September 30, 2026, June 30, 2026, December 31, 2025 and September 30,
2025, customers included approximately 101,800, 84,000, 82,300 and 87,100
customers, respectively, whose accounts were over 60 days past due,
approximately 11,700, 10,100, 9,700 and 10,500 customers, respectively, whose
accounts were over 90 days past due and approximately 17,700, 13,400, 13,600 and
13,200 customers, respectively, whose accounts were over 120 days past due. Past
due accounts for periods prior to September 30, 2026 are for legacy Charter
only.
(f) Legacy Charter passings represent an estimate of the number of units passed
by legacy Charter’s cable distribution network in areas where the indicated
service is offered, such as single-family homes, apartment and condominium
units, as well as small business and mid-market & large business sites. Legacy
Cox Communications passings are residential only and represent an estimate of
the number of units passed by legacy Cox Communications’ cable distribution
network in areas where the indicated service is offered, including single-family
homes and apartment and condominium units. These estimates are based on the
information currently available and are updated for all periods presented as new
information becomes available.
(g) Customer relationships include the number of customers that receive one or
more levels of service, encompassing Internet, mobile, video and voice services,
without regard to which service(s) such customers receive. Customers who reside
in residential multiple dwelling units ("MDUs") and that are billed under bulk
contracts are counted based on the number of billed units within each bulk MDU.
Total customer relationships exclude legacy Charter mid-market & large business
customer relationships and legacy Cox Communications business customers.
(h) Small business and mid-market & large customer statistics reflect data for
legacy Charter customers only.
(i) Penetration represents customer relationships as a percentage of the
applicable estimated passings.
(j) Monthly residential revenue per residential customer is calculated as total
residential quarterly revenue divided by three divided by average residential
customer relationships during the respective quarter.
(k) Monthly small business revenue per small business customer is calculated as
total small business quarterly revenue divided by three divided by average small
business customer relationships during the respective quarter.
(l) One product, two product and three or more product penetration represents
the number of residential customers that subscribe to one product, two products
or three or more products, respectively, as a percentage of residential customer
relationships.
(m) Connectivity customers represent all customers receiving our Internet and/or
mobile connectivity services.
(n) Mobile lines include phones and tablets which require one of our standard
rate plans (e.g., "Unlimited" or "By the Gig"). Mobile lines exclude wearables
and other devices that do not require standard phone rate plans.
(o) Video customers only include customers that purchase traditional or
streaming linear video packages and exclude customers that only purchase
streaming applications.
(p) Customer premise equipment includes equipment and devices located at the
customer's premise used to deliver our Internet, video and voice services (e.g.,
modems, routers and set-top boxes), as well as installation costs.
(q) Scalable infrastructure includes costs, not related to customer premise
equipment or our network, to secure growth of new customers or provide service
enhancements (e.g., headend equipment).
(r) Upgrade/rebuild includes costs to modify or replace existing fiber/coaxial
cable networks, including our network evolution initiative.
(s) Support capital includes costs associated with the replacement or
enhancement of non-network assets (e.g., back-office systems, non-network
equipment, land and buildings, vehicles, tools and test equipment).
(t) Line extensions include network costs associated with entering new service
areas (e.g., fiber/coaxial cable, amplifiers, electronic equipment, make-ready
and design engineering).
(u) The subsidized rural construction initiative subcategory includes projects
for which we are receiving subsidies from federal, state and local governments,
excluding customer premise equipment and installation.
Addendum to Charter Communications, Inc. Third Quarter 2026 Earnings Release
Page 11 of 11