Cogent Communications

CCOI Q1 2026 Earnings

Reported May 4, 2026 at 7:05 AM ET · SEC Source

Q1 26 EPS

$-0.83

BEAT +15.31%

Est. $-0.98

Q1 26 Revenue

$239.2M

MISS 0.94%

Est. $241.4M

vs S&P Since Q1 26

-43.9%

TRAILING MARKET

CCOI -42.4% vs S&P +1.5%

Market Reaction

Did CCOI Beat Earnings? Q1 2026 Results

Cogent Communications delivered a mixed first quarter for 2026, posting a narrower-than-expected loss that offered investors some relief even as revenue fell short of forecasts. The company reported a net loss of $0.83 per share, clearing the consens… Read more Cogent Communications delivered a mixed first quarter for 2026, posting a narrower-than-expected loss that offered investors some relief even as revenue fell short of forecasts. The company reported a net loss of $0.83 per share, clearing the consensus estimate of $0.98 by 15.31%, while revenue of $239.19 million missed expectations by 0.94% and slipped 3.2% year-over-year, reflecting the continued runoff of legacy Sprint wireline connections following its 2023 acquisition from T-Mobile. Off-net revenue, which bore the heaviest drag, fell 17.0% year-over-year to $89.02 million as legacy Sprint customer connections declined, partly offsetting meaningful progress elsewhere. The wavelength business, seen by analysts as a key bellwether for AI-driven demand, surged 90.8% year-over-year to $13.59 million, while on-net revenue climbed 4.6% to $135.57 million. Adjusted EBITDA rose 2.1% to $70.18 million, with margins expanding to 29.3% from 27.8%, and GAAP gross margin improved sharply to 23.4% from 13.6% a year earlier, aided by significantly lower depreciation and amortization charges.

Key Takeaways

  • Wavelength revenue grew 90.8% year-over-year with customer connections increasing 71.2%
  • On-net revenue increased 4.6% year-over-year
  • IPv4 address leasing revenue increased 24.8% year-over-year
  • GAAP gross margin improved to 23.4% from 13.6% a year ago driven by lower depreciation
  • IP network traffic increased 14% year-over-year
  • Off-net revenue declined 17.0% year-over-year due to Sprint wireline customer attrition
  • Foreign exchange rates positively impacted year-over-year service revenue by $3.4 million
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CCOI YoY Financials

Q1 2026 vs Q1 2025, source: SEC Filings

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CCOI Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26