Key Highlights

  • Array's site rental revenue rose 95% to $53.2 million in the second quarter.
  • Array raised 2026 adjusted EBITDA guidance to $220 million to $235 million.
  • TDS closed at $33.93 on October 14, 2026, down 2.33% on the day.
  • TDS consolidated cash was $2,194.0 million at June 30, 2026.

Telephone and Data Systems is often discussed through its fibre business, but a quieter story sits in its tower subsidiary. In the second quarter of 2026, Array Digital Infrastructure (NYSE:AD) reported site rental revenue of $53.2 million, up 95%, and raised its 2026 outlook. Telephone and Data Systems (NYSE:TDS) closed at $33.93 on October 14, 2026, down 2.33% on the day, leaving its market value near $3.91 billion and the shares not far above a 52-week low of $31.51.

Array's Guidance Moves Higher

TDS reported second-quarter results on August 7. For Array, guidance for adjusted OIBDA was raised to $60 million to $75 million from $50 million to $65 million, and adjusted EBITDA guidance rose to $220 million to $235 million from $200 million to $215 million. Revenue guidance moved to $205 million to $215 million, and capital expenditure guidance was unchanged at $25 million to $35 million. Array also paid an $11 per share special dividend on June 25. On September 1, TDS said it was no longer pursuing the purchase of Array shares it does not own and expects to resume its repurchase programme.

Cash Position and Fibre Spending

Towers tend to be a steadier business than telecom services because carriers sign long leases, and the tower tenancy rate was 0.98 at June 30. TDS consolidated cash was $2,194.0 million at June 30, including $416.4 million at Array and $1,780.9 million at corporate level, against $680.1 million of long-term debt, nearly all at Array. Meanwhile TDS Telecom, the fibre and broadband arm, lowered its revenue outlook to $1,000 million to $1,025 million and raised its capital spending guidance to $625 million to $675 million.

Balancing a Stronger Tower Asset Against Fibre Investment

Array's rising guidance indicates the tower business is performing better than previously expected, and TDS's large cash position provides flexibility. Against that, TDS Telecom is absorbing heavy fibre investment while revenue guidance has been trimmed, a balance the next two quarters, with the next report estimated for November 6, could help clarify.