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Anterix Inc. (ATEX)·Q2 2026 Earnings Summary

Executive Summary

  • GAAP EPS of $2.86 on spectrum revenue of $1.55M, driven by $71M gains from license exchange/sale; revenue beat S&P Global consensus by ~9% while EPS massively beat due to non-recurring items .
  • Management raised projected FY26 cash proceeds to ~$100M (from ~$80M) as accelerated customer payments reached $19M YTD and ~$60M is expected by year-end; contracted proceeds received were $29M with $114M outstanding .
  • Launched TowerX (with Crown Castle’s 40,000+ sites) and CatalyX solutions, broadening TAM by ~$1B and aiming to accelerate private LTE deployments .
  • Operational progress: ~85% incumbents cleared and ~90% of U.S. counties licensable; management highlighted a new spectrum negotiation with a large two-operating-company IOU, a potential multi-operating footprint .

What Went Well and What Went Wrong

What Went Well

  • Record monetization of spectrum assets: $60M gain from exchange of narrowband to broadband licenses (99 counties) and $11M gain on sale/delivery (26 counties) .
  • Cash proceeds outlook strengthened: projected FY26 cash proceeds raised to ~$100M, with $29M received in Q2 and $19M accelerated YTD; ~$60M more expected by FY-end .
  • Strategic expansion beyond spectrum: TowerX (turnkey tower access with Crown Castle’s 40,000+ sites) and CatalyX (SIM/eSIM orchestration with roaming partner) launched, targeting ~$1B annual market .
    • CEO: “Momentum toward 10 MHz continues to accelerate… expansion to 10 MHz positions Anterix as the future-proof foundation…” .
    • CFO: “Our spectrum assets are carried on our balance sheet at $325M… valued… roughly $1.5B to well over $4B based on 600 MHz and AWS-3 auction prices” .

What Went Wrong

  • Underlying profitability still negative on an operating basis: EBITDA remained negative despite gains; management refrained from guiding future gains tied to FCC timing and customer requests .
  • Clearing spend commitments: a complex-system clearing arrangement totals ~$28M; $14M escrow funded with ~$5.5M spent and ~$8.5M remaining (possible slight additional spend) .
  • Limited near-term visibility on contract timing: management emphasized DI pipeline and negotiations, but noted that DI utilities are not imminent contracts; contract closures remain methodical .

Financial Results

MetricQ2 2025Q1 2026Q2 2026
Revenue ($USD Millions)$1.551 $1.418 $1.552
Revenue Consensus Mean ($USD Millions)*$1.747$1.508$1.429
Net Income ($USD Millions)$(12.766) $25.180 $53.536
Diluted EPS ($USD)$(0.69) $1.35 $2.86
Primary EPS Consensus Mean ($USD)*$(0.5923)$(0.57)$(0.60)
Total Operating Expenses ($USD Millions)$14.681 $13.806 $11.927
EBITDA ($USD Millions)*$(12.979)$(11.644)$(9.507)
Cash and Equivalents at Period End ($USD Millions)$43.129 $41.432 $39.070

Estimates disclaimer: Values retrieved from S&P Global.

Beat/Miss vs ConsensusQ2 2025Q1 2026Q2 2026
Revenue vs Consensus ($USD Millions)*$(0.196)$(0.091)$0.123
Revenue vs Consensus (%)(11.2%)(6.0%)8.6%
EPS vs Consensus ($USD)*$(0.10)$1.92$3.46

Estimates disclaimer: Values retrieved from S&P Global.

Notes:

  • Q2 2026 EPS was driven by non-recurring gains ($71M total: $60M exchange + $11M sale), not by operational leverage .

KPIs and Operational Metrics

KPIQ2 2025Q1 2026Q2 2026
Contracted proceeds outstanding ($USD Millions)~$147 ~$137 $114
Contracted proceeds received in quarter ($USD Millions)—~$10 $29
Accelerated proceeds YTD ($USD Millions)——$19
Expected proceeds by FY26-end ($USD Millions)~$80 ~$70 (remainder of FY) >$60
Counties exchanged (narrowband→broadband)47 (Q4) 62 99
Counties delivered (broadband licenses)4 (Q4 sale to Oncor) 27 26
Gains recognized ($USD Millions)$20.3 (Q4: $2.0 exchange + $18.3 sale) $34.9 ($33.9 exchange + $1.0 sale) $71.1 ($60 exchange + $11 sale)
Spectrum clearing costs in quarter ($USD Millions)$5.5 (Q4) $4.0 $13.0
DI scorecard above threshold (utilities)—18 (~$1.1B proceeds) 18 (~$1.1B proceeds)
Pipeline (prospective contracted proceeds)~$3B ~$3B ~$3B
Share repurchase remaining ($USD Millions)$227.7 $227.7 $226.7

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Projected cash proceeds (FY26)FY 2026~$80M (entering FY26) ~$100M (raised during Q2) Raised
Expected proceeds to be received by FY-endFY 2026~$70M remainder FY26 >$60M by FY-end Lower remainder given accelerations; overall FY raised
Share repurchase authorization remainingThrough 9/21/2026$227.7M $226.7M Maintained (minor usage in Q2)
Revenue/margins/tax guidanceFY/Q2Not providedNot providedMaintained N/A stance

Earnings Call Themes & Trends

TopicPrevious Mentions (Q4 2025 and Q1 2026)Current Period (Q2 2026)Trend
FCC 5x5 (toward 10 MHz)Strong reply comment record; optimism on NPRM outcome “Momentum toward 10 MHz continues to accelerate” with confidence in favorable outcome Strengthening regulatory momentum
Accelerator programOversubscribed; partners (Ericsson, Nokia, GE) engaged Continued progress; selected to begin contract negotiations with a large two-operating-company IOU Advancing toward contracts
Spectrum clearing progress>80% incumbents cleared; ~90% counties licensable ~85% incumbents cleared; ~90% counties licensable; 6 of 11 complex systems cleared; working on 7th Improving, complex systems progressing
New offeringsN/ALaunch of TowerX (Crown Castle 40k sites) and CatalyX; ~$1B TAM New growth vector
Strategic reviewActive process from strength Active but “fairly passive” at current valuation; upside seen Ongoing
DI scorecard18 utilities above threshold; ~$1.1B potential proceeds 18 utilities above threshold; ~$1.1B potential proceeds Stable confidence indicators

Management Commentary

  • CEO: “Spectrum is a strategic asset… expansion to 10 MHz positions Anterix as the future-proof foundation for critical infrastructure modernization” .
  • CEO: “We were selected… to begin contract negotiations on a spectrum opportunity with one operating company… goal to scale across their entire footprint” .
  • CFO: “Our spectrum assets are carried… at $325M… 85% yet to be monetized is valued… roughly $1.5B to well over $4B… unmatched pricing power” .
  • CFO: “We recorded a total gain of $71M in the quarter… $60M exchange… $11M sale… demonstrate our continued ability to monetize our spectrum assets” .

Q&A Highlights

  • Clearing commitment and escrow: ~$28M total for a complex system; $14M escrow funded; ~$5.5M spent; ~$8.5M left; expected to fund rest of year (slight additional spend possible) .
  • Clearing status: ~85% incumbents cleared; can license ~90% of counties; 6 of 11 complex systems cleared; strategy is opportunistic and not one-to-one with contracts .
  • Gains guidance: Management will not guide timing or magnitude of future exchange/sale gains due to FCC processing and customer timing .
  • New large IOU negotiation: Selected to begin contract talks with a two-operating-company organization, aiming to scale across footprint .
  • Strategic review tone: Active but relatively passive at current valuation; management sees substantial upside independently .

Estimates Context

  • Revenue beat: Q2 2026 revenue $1.55M vs consensus $1.43M (+8.6%); prior Q1 missed; prior-year Q2 missed; EPS massively beat due to $71M gains (non-recurring) .
  • EBITDA remained negative and, in Q2, slightly worse than consensus (actual $(9.51)M vs $(8.43)M)*, underscoring limited operating profitability absent gains.
  • Target price consensus held at ~$55; coverage remains thin (2–3 estimates)*.

Estimates disclaimer: Values retrieved from S&P Global.

Key Takeaways for Investors

  • Near-term trading: GAAP EPS strength is largely non-recurring; expect potential mean reversion in EPS absent additional exchange/sale gains; focus on Q4 cash proceeds cadence (~$60M expected by FY-end) .
  • Catalysts: FCC decision on 5x5 (toward 10 MHz), contract signing with the newly selected IOU, and additional DI-threshold utilities converting to contracts .
  • Execution watchpoints: Complex-system clearing spend (~$28M commitment) and timing of FCC approvals influence recognition of future gains .
  • Strategic expansion: TowerX and CatalyX broaden revenue options and deepen utility engagement; monitor early adoption and monetization ramp .
  • Valuation framing: Management views spectrum carrying value ($325M) as far below monetization potential ($1.5–$4B range references); continued gains and contracted proceeds should support free cash flow narratives .
  • DI/pipeline stability: 18 utilities above DI threshold (~$1.1B potential proceeds) and ~$3B pipeline remain intact; conversion timing remains the key driver to rerate .
  • Capital returns: ~$226.7M repurchase capacity remains; expect opportunistic capital return actions alongside contracted inflows .