Toronto, November 5 (Reuters) / PRNewswire / -- Tucows Inc. (NASDAQ : TCX) (TSX : TC) The global internet services company today announced its unaudited financial results for the third quarter ending September 30, 2026. All figures are presented in US dollars.
Tucows, President and CEO, David Woroch stated: "After the adjustments, both EBITDA and gross profit have increased year-over-year. We are still moving forward with our 2026 guidance as planned. We also redeemed Ting preferred units worth $149.3 million and repaid $6 million under the syndicated loan. At the end of the quarter, we agreed to transfer the lease of Ting in Colorado Springs, which is expected to relieve the guarantee from the Tucows parent company in the spring. Each of these steps makes the business simpler and more flexible than it was a quarter ago."
Financial Results
In the third quarter of 2026, consolidated net revenue increased by 1.4% year-on-year to $100 million, mainly driven by the growth in Ting revenue.
In the third quarter of 2026, gross profit increased by 20.5% year-on-year to $29.1 million, representing a 13% growth from the previous quarter. The year-on-year and quarter-on-quarter expansion was mainly driven by significant, one-time price recharges resulting from the renegotiation of mobile contracts within the company's business segments, as well as the year-on-year growth of Ting.
The net loss for the third quarter was $10.3 million, resulting in a loss of $0.92 per share; in the same period last year, the net loss was $23 million, with a loss of $2.08 per share. For the third quarter of 2026, the adjusted net loss was $5.8 million, with an adjusted loss of $0.52 per share; in the same period last year, the adjusted net loss was $15.8 million, with an adjusted loss of $1.42 per share.
In the third quarter of 2026, after adjustments, EBITDA saw a year-on-year growth of 39.8% to $18.6 million, and a quarter-on-quarter growth of 51%. The Ting segment performed strongly both year-on-year and quarter-on-quarter after adjustments, but the main driving factor was the impact of re-pricing of mobile contracts within the company's business segments.
As of the end of the third quarter of 2026, the company held cash and cash equivalents, as well as restricted cash and restricted cash equivalents, totaling $41 million. In contrast, at the end of the second quarter of 2026, it was $60.2 million, and at the end of the third quarter of 2025, it was $70.8 million.
Management Commentary
The company stated that on November 5, 2026, at 5:05 p.m. Eastern Time, when the quarterly financial report press release is issued, the pre-recorded comments and written transcripts from management regarding this quarter and the company's outlook will be published on the investor finance page of the Tucows website.
Within the next 7 days following the release of the comments prepared by the management, up until Thursday, November 12, 2026, shareholders, analysts, and potential investors can submit questions to the Tucows management through ir @ tucows.com. The management will respond to these questions via audio recordings and written transcripts on the company's website at approximately 5 p.m. Eastern Time on Wednesday, November 18, 2026. All questions will be answered, although more specific inquiries may receive direct responses.
About Tucows
Tucows helps more people access the internet, with services including domain name services, communication technology, and fiber optic infrastructure. Tucows Domains manages over 21 million domain names and provides millions of value-added services through a global distribution network consisting of 32,000 network hosts and internet service providers. Hover assists individuals and small businesses in managing domain names and email addresses. Wavelo is a telecommunications software suite for service providers that simplifies mobile and internet network access, activation, billing, subscription management, as well as developer tools, etc. Ting offers fixed fiber optic internet access and provides excellent customer support. For more information, visit Tucows on the company's website.
Tucows, Hover, Wavelo and Ting are registered trademarks of Tucows Inc or its subsidiaries.
This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995, including the company's expectations regarding future financial results. These statements are based on management's current assumptions and are subject to various uncertainties and risks, and actual results may differ significantly from those described in the forward-looking statements. For other potential factors that could affect Tucows's business, operating performance, and financial condition, please refer to the section on risk factors in the documents submitted by Tucows to the U.S. Securities and Exchange Commission. All forward-looking statements should be evaluated with awareness of their inherent uncertainties. All forward-looking statements are based on information available at the time of Tucows. Except as required by law, Tucows assumes no obligation to update any forward-looking statements.
