$CCOI

COGENT COMMUNICATIONS GROUP INC

CIK:0001158324|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Service revenue	$ 235,559	$ 246,247	$ 474,746	$ 493,298
Operating expenses:
Network operations	125,006	137,492	254,236	274,930
Selling, general, and administrative	72,096	64,924	144,434	138,787
Depreciation and amortization	52,952	75,290	107,008	151,328
Total operating expenses	250,054	277,706	505,678	565,045
Gains on asset sales	132,041		132,583
Gains on finance lease terminations	1,397		3,782
Operating income (loss)	118,943	(31,459)	105,433	(71,747)
Interest expense, including change in valuation interest rate swap agreement	(43,764)	(39,777)	(87,637)	(73,971)
Interest income - IP Transit Services Agreement	2,676	4,299	5,769	8,984
Interest income - Purchase Agreement	467	433	925	858
Interest income and other, net	3,223	(2,415)	6,074	(3,306)
Income (loss) before income taxes	83,124	(74,525)	32,143	(144,788)
Income tax (provision) benefit	(16,488)	16,718	(5,049)	34,939
Net income (loss)	66,636	(57,807)	27,094	(109,849)
Comprehensive income (loss):
Net income (loss)	66,636	(57,807)	27,094	(109,849)
Foreign currency translation adjustment	(2,713)	17,737	(10,468)	29,489
Comprehensive income (loss)	$ 63,923	$ (40,070)	$ 16,626	$ (80,360)
Net income (loss) per common share:
Basic net loss per common share (in dollars per share)	$ 1.39	$ (1.21)	$ 0.56	$ (2.3)
Diluted net loss per common share (in dollars per share)	1.38	(1.21)	0.56	(2.3)
Dividends declared per common share (in dollars per share)	$ 0.02	$ 1.01	$ 0.04	$ 2.015
Weighted-average common shares - basic (in shares)	47,921,120	47,592,836	47,972,542	47,804,421
Weighted-average common shares - diluted (in shares)	48,429,166	47,592,836	48,333,924	47,804,421
2026 Notes
Operating expenses:
Gain (Loss) on debt extinguishment and redemption		$ (5,606)		$ (5,606)
Senior secured 2032 notes
Operating expenses:
Gain (Loss) on debt extinguishment and redemption	$ 1,579		$ 1,579

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net income (loss)	$ 27,094	$ (109,849)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization	107,008	151,328
Amortization of debt costs and discounts	3,022	2,534
Amortization of discounts, due from T-Mobile, IP Transit Services & Purchase Agreements	(6,694)	(9,842)
Equity-based compensation expense (net of amounts capitalized)	15,205	12,677
Gains on asset sales and finance lease terminations	(136,365)
Deferred income taxes	612	(35,802)
Changes in operating assets and liabilities:
Accounts receivable	2,230	1,807
Prepaid expenses and other current assets	2,462	(6,222)
Accounts payable, accrued liabilities and other long-term liabilities	863	(18,300)
Deposits and other assets	4,171	(1,624)
Net cash provided by (used in) operating activities	18,029	(7,687)
Cash flows from investing activities:
Proceeds from sale of data center assets, net	224,159
Cash receipts - IP Transit Services Agreement - T-Mobile	58,333	50,000
Purchases of property and equipment	(84,774)	(114,288)
Net cash provided by (used in) investing activities	197,718	(64,288)
Cash flows from financing activities:
Dividends paid	(3,580)	(98,693)
Purchases of common stock		(11,517)
Proceeds from exercises of stock options		151
Principal payments of finance lease obligations	(23,007)	(16,523)
Net cash (used in) provided by financing activities	(45,346)	136,739
Effect of exchange rates changes on cash	(5,839)	14,045
Net increase in cash, cash equivalents and restricted cash	164,562	78,809
Cash, cash equivalents and restricted cash, beginning of period	205,112	227,916
Cash, cash equivalents and restricted cash, end of period	369,674	306,725
Supplemental disclosure of non-cash financing activities:
Finance lease obligations incurred	52,102	79,076
2026 Notes
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Loss on debt extinguishment and redemption		5,606
Cash flows from financing activities:
Debt extinguishment and redemption		(505,000)
Senior secured 2032 notes
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Loss on debt extinguishment and redemption	(1,579)
Cash flows from financing activities:
Net proceeds from issuance		597,842
Debt extinguishment and redemption	$ (18,759)
Secured IPv4 notes
Cash flows from financing activities:
Net proceeds from issuance		$ 170,479

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 183,703	$ 148,515
Restricted cash	185,971	56,597
Accounts receivable, net of allowance for credit losses of $5,501 and $4,610, respectively	85,820	88,050
Due from T-Mobile, IP Transit Services Agreement, current portion, net of discount of $6,369 and $10,401, respectively	85,298	89,599
Prepaid expenses and other current assets	65,358	67,820
Total current assets	606,150	450,581
Property and equipment:
Property and equipment	3,575,657	3,642,906
Accumulated depreciation and amortization	(1,937,453)	(1,921,832)
Total property and equipment, net	1,638,204	1,721,074
Right-of-use leased assets	294,444	310,523
IPv4 intangible asset	458,000	458,000
Other intangible assets, net	10,370	11,251
Deposits and other assets	30,520	34,834
Due from T-Mobile, IP Transit Services Agreement, net of discount of $519 and $12,122, respectively	41,147	89,412
Due from T-Mobile, Purchase Agreement, net of discount of $3,081 and $4,006, respectively	25,034	24,109
Total assets	3,103,869	3,099,784
Current liabilities:
Accounts payable	36,255	30,571
Accrued and other current liabilities	102,773	109,582
Senior unsecured 2027 notes, net of unamortized debt costs of $827 and discount of $2,909	746,264
Current maturities, operating lease liabilities	53,102	54,576
Finance lease obligations, current maturities	21,171	26,112
Total current liabilities	959,565	220,841
Operating lease liabilities, net of current maturities	256,374	269,753
Finance lease obligations, net of current maturities	609,039	597,239
Deferred income tax liabilities	333,906	333,294
Other long-term liabilities	29,204	28,568
Total liabilities	3,137,999	3,163,632
Commitments and contingencies:
Stockholders' deficit:
Common stock, $0.001 par value; 75,000,000 shares authorized; 51,215,736 and 50,062,158 shares issued and outstanding, respectively	51	50
Additional paid-in capital	659,927	643,256
Accumulated other comprehensive (loss) income	(9,040)	1,428
Accumulated deficit	(685,068)	(708,582)
Total stockholders' deficit	(34,130)	(63,848)
Total liabilities and stockholders' deficit	3,103,869	3,099,784
Senior secured 2032 notes
Current assets:
Restricted cash	147,600
Current liabilities:
Secured notes	577,315	597,980
Senior unsecured 2027 notes
Current liabilities:
Senior unsecured 2027 notes, net of unamortized debt costs of $1,236 and discount of $4,344		744,420
Secured IPv4 notes
Current assets:
Restricted cash	38,400	52,500
Current liabilities:
Secured notes	$ 372,596	$ 371,537