Cable One's Q2 2025 Earnings Call: Decoding the Contradictions in Subscriber Growth and ARPU Strategies

Subscriber growth expectations, fixed wireless competition, subscriber loss expectations and retention strategies, and ARPU stability and growth strategies are the key contradictions discussed in Cable One's latest 2025Q2 earnings call.



Residential Broadband Revenue and Customer Trends:
- Cable One's residential broadband revenue increased by 1.9% sequentially in Q2 2025, driven by a $2.39 increase in ARPU.
- The growth was primarily due to segmented pricing changes, greater adoption of value-enhancing services, and the completion of the AutoPay program.

Churn and Connect Trends:
- The company experienced a decline in residential data customers by 13,000 in Q2, driven by continued softness in connects and elevated churn.
- The elevated churn was due to customer responses to segmented pricing changes, promotional roll-offs, and seasonal churn in college markets.

Billing System Migration and Efficiency:
- Cable One executed the final phase of its billing system migration, transitioning all customers to a unified platform, enabling flexible pricing and enhanced customer experience.
- This initiative is expected to result in several million dollars in annual cost savings starting in late 2025, supporting operational efficiency.

Mobile Service Pilot Program:
- Cable One announced a pilot program for mobile service in several markets, aiming to enhance customer lifetime value and retention by offering both wired and wireless connectivity.
- The improved wholesale economics, mobile network reliability standards, and mature enablement platforms made this a viable opportunity