Charter Communications (NASDAQ:CHTR) reported a slight dip in first-quarter revenue and earnings, as record-breaking growth in its mobile segment struggled to fully compensate for a cooling residential broadband market.
The Stamford, Connecticut-based telecommunications giant posted total revenue of $13.60 billion for the quarter ended March 31, 2026, a 1% decrease compared to the prior-year period.
Net income for the quarter stood at $1.16 billion, while adjusted EBITDA fell 2.2% to $5.64 billion.
The results reflect a challenging landscape for traditional cable operators as they pivot toward "converged" connectivity models to retain high-value households.
Charter’s mobile business remained the primary engine of expansion.
The company added 1.8 million mobile lines over the last 12 months, bringing its total mobile base to 12.1 million.
This growth has been fueled by the company’s "Spectrum One" promotional strategy, which bundles mobile service with home internet.
However, the core internet business saw a decline, losing 120,000 customers during the quarter to end with a total of 29.6 million subscribers.
Analysts attributed the attrition to increased competition from fixed wireless providers and a slowing housing market.
Capital expenditures for the first quarter totaled $2.86 billion.
This included $812 million dedicated to line extensions, as Charter continues its aggressive push into rural markets and subsidized builds through the Rural Digital Opportunity Fund (RDOF).
Despite the heavy investment in network infrastructure, free cash flow remained substantial at $1.37 billion, though this figure represented a 12.3% decrease year-over-year due to higher capital outlays and timing of interest payments.
Meanwhile, Charter’s commitment to shareholder returns remained a focal point of the quarter.
The company repurchased 4.3 million shares of its common stock for approximately $963 million at an average price of $223.95 per share.
Since the inception of its buyback program in September 2016, Charter has repurchased nearly 56% of its outstanding shares.