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- **CEO Transition & Q3 Highlights**: New CEO emphasizes focus on resolving Ting and driving core business growth.
- **Ting Timeline**: Resolution expected in 2-3 quarters, with full divestiture taking several more quarters.
- **2026 Guidance**: Domains and Wavelo growth metrics to be shared in early Feb 2026 earnings.
- **Contract Transparency**: 4-year CEO agreement details to be disclosed in Q4 filing.
- **Strategic Focus**: Operational efficiency and reinvestment readiness post-Ting resolution.

**【CEO Opening Remarks】**
- First Q&A as CEO, emphasizing honor to lead Tucows and build on its legacy.
- Q3 2025 was a significant quarter with business progress and leadership transition.
- Key focus areas: Ting process resolution, growth outlook for Domains and Wavelo, and strategic reinvestment opportunities.

**【Ting Process Update】**
- Ting divestiture process remains complex and ongoing, with resolution expected in 2-3 quarters.
- Full divestiture likely to take several quarters beyond resolution.
- Valuation details will be disclosed post-final terms.

**【Growth Outlook for Core Businesses】**
- 2026 guidance for Domains and Wavelo to be provided in Q4 earnings (early Feb 2026).
- Focus on maximizing shareholder value through disciplined reinvestment planning.

**【CEO Employment Contract】**
- 4-year fixed-term agreement with alignment for shareholders and leadership continuity.
- Full contract details to be disclosed in Q4 10K filing (March 2026).

**【Strategic Vision & Priorities】**
- Top priority: Completing Ting process to unlock flexibility for reinvestment.
- Operational focus: Efficiency, deleveraging, and momentum in revenue, margin, and EBITDA.
- Board engagement in transformation efforts with skilled representation.

**【Closing Remarks】**
- Gratitude for strong team and board support during transition.
- Commitment to transparency and sharing updates on growth strategy in upcoming quarters.

Tucows (TCX) Q3 2025 Earnings Call Transcript

- **Domains Margin Boost**: Nixie and Radix contracts to add low millions annually, offsetting industry attrition.
- **2027 GTLD Opportunity**: Tucows well-positioned to win new registry business with upcoming GTLD applications.
- **EchoStar Deal Potential**: $23B spectrum sale may enhance Wavellow partnership, though outcomes uncertain.
- **Ting Asset Sales Wrap-Up**: Minimal remaining stubs to sell, with two communities retaining Ting as ISP.

**【CEO Summary Section】**
- **Domains Business Growth**: The company secured contracts with Nixie and Radix, expected to contribute low millions annually to gross margin. Integration of Nixie's TLDs completed in Q2, Radix's to follow in Q4. These contracts offset attrition in the mature domains industry.
- **Strategic Positioning for New GTLDs**: The next round of new generic top-level domains (GTLDs) will open for application in 2026 and launch in 2027, positioning Tucows to compete for additional registry business.
- **EchoStar Spectrum Deal Impact**: EchoStar's sale of $23B in spectrum to AT&T may shift focus to mobile operations, potentially benefiting Wavellow through enhanced partnership opportunities.
- **Ting Asset Sales**: Most non-core assets have been sold, with limited remaining stubs to monetize. Two communities will retain Ting as the ISP in a partner model.
- **Balance Sheet Management**: Active management of Ting's balance sheet remains a priority, though no immediate updates provided.

**【Q&A Highlights】**
- **Registry Contracts Economics**: Terms with Nixie and Radix are consistent with typical wholesale customer agreements, though specifics remain undisclosed. The registry business scales efficiently, aligning with Tucows' cost management strategy.
- **Fiberization Trend**: The U.S. is halfway through its fiber-to-the-home buildout, with significant interest in acquiring stubs. Tucows prioritized communities for their first-mover potential and selected buyers aligned with community needs.
- **EchoStar Deal Uncertainty**: While the spectrum sale is a positive directional signal, its full impact on Wavellow remains unclear pending regulatory approval and EchoStar's strategic execution.


Tucows Inc. (TCX) Q2 2025 Earnings Call Transcript

- **8% Revenue Growth**: Driven by Tucows Domains (+6%) and Ting (+16%), with gross profit up 29%. 
- **AI-Driven Efficiency**: Wavelo’s AI adoption cuts RFP response time by 50%, Ting sales productivity +60%. 
- **Ting Turnaround**: EBITDA loss reduced 91% YoY, partner market addresses +64% YoY. 
- **$55M Cash & 3.1x Leverage**: Strong balance sheet supports strategic investments in AI and partnerships.

**【CEO Opening Remarks】**
- Q1 2025 revenue grew 8% YoY to $94.6M, driven by operational efficiencies and the 2024 Ting restructuring. 
- Gross profit surged 29% YoY to $23.5M, with adjusted EBITDA doubling to $13.7M. 
- $2.5M debt repayment and focus on AI-driven cost optimization.

**【Tucows Domains Performance】**
- Domain Services revenue +6% YoY to $65.3M, gross margin +9% to $20.2M. 
- Adjusted EBITDA +15% to $11.5M, with 76.5% renewal rate vs. industry average. 
- Wholesale channel gross margin +10% to $15M, retail channel +6% to $5.2M. 
- New .in TLD partnership to launch Q2 2025, positioning for 2026 ICANN gTLD round.

**【Wavelo Growth Highlights】**
- Q1 revenue $11.4M (+21% YoY), gross margin $11.3M (+24% YoY). 
- Adjusted EBITDA $4.4M (+59% YoY), fueled by Echostar contract and existing customer growth. 
- AI adoption in RFP response efficiency, engineering task automation, and workforce engagement. 
- Pipeline expansion with Tier 1/2 opportunities in Latin America and Europe.

**【Ting Business Update】**
- Q1 revenue $16.3M (+16% YoY), subscribers +12% to 51,700. 
- Gross margin +20% YoY to $10.5M, adjusted EBITDA loss narrowed to $0.9M vs. $9.5M YoY. 
- Strategic shift to partner markets (64% YoY growth in partner serviceable addresses). 
- AI-driven door-to-door sales productivity improvements (+60% cost per order efficiency).

**【CFO Financial Overview】**
- Consolidated gross margin expands 393bps to 24.9%, operating leverage drives 225% EBITDA growth. 
- Net loss narrows 43% YoY to $15.1M, with $55M cash and $192M net debt. 
- Ting ABS facilities at $288.6M, Wavelo maintains 99% gross margin. 
- Focus on capital efficiency, disciplined cost management, and risk-adjusted capital allocation.


Tucows, Inc (TCX) Q1 2025 Earnings Call Transcript

- **Revenue Growth**: 19% YoY consolidated revenue growth, driven by Tucows Domains (+6%) and Ting (+14%).\n- **EBITDA Expansion**: Adjusted EBITDA up 403% YoY to $12.8 million, with Ting improving from -$12.3 million to -$1.5 million.\n- **AI Integration**: Wavelo's event-driven platform positioned as 'jet fuel for AI' in telecom.\n- **Balance Sheet Health**: $56.9 million cash, 3.26x leverage ratio, with $16.5 million debt repayment in 2024.\n- **2025 Outlook**: $56 million Adjusted EBITDA target, with Ting expected to break even.

**【CEO Opening Remarks】**
- **Consolidated Revenue Growth**: 19% year-over-year in 2024, with Adjusted EBITDA nearly doubling to $35 million (excluding Ting: $57.4 million).\n- **Ting Turnaround**: Achieved slightly positive Adjusted EBITDA in December 2024, with $2.0 million in debt repayment and a $40 million stock buyback authorization.\n- **Balance Sheet Management**: Reduced operating expenses by $8.5 million YoY through capital efficiency initiatives.\n\n**【Tucows Domains Performance】**\n- **Q4 2024 Results**:\n  - Revenue: $65.7 million (+6% YoY)\n  - Gross Profit: $20.3 million (+8% YoY)\n  - Adjusted EBITDA: $11.6 million (+8% YoY)\n- **Growth Drivers**:\n  - Wholesale Channel: $56 million (+7% YoY)\n  - Retail Channel: $9.6 million (+3% YoY)\n  - 76% combined renewal rate (industry-leading).\n- **Strategic Initiatives**:\n  - AWS partnership for cloud-based hosting solutions.\n  - Selected as technical services provider for .IN registry, migrating 4 million domains.\n\n**【Wavelo SaaS Momentum】**\n- **2024 Full Year**:\n  - Revenue: $39.9 million (+3.2% YoY)\n  - Gross Profit: $38.6 million (+7.3% YoY)\n  - Adjusted EBITDA: $13.8 million (vs. guidance of $8-10 million).\n- **Q4 2024**:\n  - Revenue: $9.9 million (+3.6% YoY)\n  - Adjusted EBITDA: $3.7 million (+41.3% YoY).\n- **Customer Expansion**:\n  - Added 3 new logos, including a Tier 1 MVNO.\n  - 76% of deals now originate from inbound or RFP activity.\n\n**【Ting ISP Transformation】**\n- **Q4 2024 Metrics**:\n  - Revenue: $15.7 million (+14% YoY)\n  - Subscribers: 50,700 (+17% YoY)\n  - Gross Profit: $11.0 million (+40% YoY)\n  - Adjusted EBITDA: -$1.5 million (vs. -$12.3 million YoY).\n- **Operational Shifts**:\n  - Halted new construction, reducing excess capacity costs.\n  - Rebuilding marketing function with AI-driven efficiency.\n  - Targeting ARPU growth in 2025.\n\n**【CFO Financial Highlights】**\n- **Q4 2024 Financials**:\n  - Total Revenue: $93.1 million (+7.1% YoY)\n  - Gross Profit: $21.2 million (+19% YoY)\n  - Adjusted EBITDA: $12.8 million (+403% YoY).\n- **One-Time Costs**:\n  - $28.2 million restructuring charge for Ting's capital efficiency plan.\n  - Adjusted Net Loss: $15.8 million (vs. $45.3 million GAAP loss).\n- **Leverage Position**:\n  - $56.9 million cash on hand.\n  - Net debt: $192.5 million (3.26x leverage ratio).\n\n**【2025 Guidance】**\n- **Consolidated Adjusted EBITDA**: $56 million (pre-$9 million Verizon charge).\n  - Tucows Domains: $44 million\n  - Wavelo: $13 million\n  - Ting: Breakeven\n  - Corporate: -$1 million.\n- **Strategic Focus**:\n  - AI-driven process optimization across all businesses.\n  - Capital allocation prioritizing cash generation and debt reduction.

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