SEGMENT REPORTING

3 Months Ended

Mar. 31, 2025

SEGMENT REPORTING

SEGMENT REPORTING

12. SEGMENT REPORTING

Through March 31, 2025, the Company has the following two reportable and operating segments: (i) International Telecom and (ii) US Telecom.

Operating income is the segment measure of profit or loss reported to the chief operating decision maker for purposes of assessing the segments' performance and making capital allocation decisions. The Company believes operating income is a useful measure of its operating results as it provides relevant and useful information to investors and other users of its financial data in evaluating the effectiveness of its operations and underlying business trends in a manner that is consistent with management's evaluation of business performance. The Company’s chief operating decision maker is its Chief Executive Officer.

The following tables provide information for each operating segment (in thousands):

For the Three Months Ended March 31, 2025
	International		US		Corporate and
	Telecom		Telecom		Other (1)		Consolidated
Revenue
Communication Services
Mobility - Business	$	4,849	$	39	$	—	$	4,888
Mobility - Consumer		21,192		—		—		21,192
Total Mobility		26,041		39		—		26,080
Fixed - Business		18,493		29,244		—		47,737
Fixed - Consumer		42,872		22,415		—		65,287
Total Fixed		61,365		51,659		—		113,024
Carrier Services		3,904		29,227		—		33,131
Other		1,740		56		—		1,796
Total Communication Services Revenue		93,050		80,981		—		174,031
Construction		—		1,046		—		1,046
Other
Managed Services		1,446		2,771		—		4,217
Total other revenue		1,446		2,771		—		4,217
Total Revenue		94,496		84,798		—		179,294
Operating Expenses
Cost of communication services and other		34,963		43,261		—		78,224
Cost of construction revenue		—		1,501		—		1,501
Selling, general and administrative		27,143		22,521		5,564		55,228
Stock-based compensation		215		78		1,612		1,905
Transaction-related charges		—		—		1,436		1,436
Restructuring and reorganization expenses		1,506		134		190		1,830
Depreciation and amortization		15,377		18,284		866		34,527
Amortization of intangibles from acquisitions		251		975		—		1,226
(Gain) loss on disposition of assets and transfers		291		459		—		750
Total Operating Expenses		79,746		87,213		9,668		176,627
Income from operations		14,750		(2,415)		(9,668)		2,667
Other income (expenses)
Interest income								272
Interest expense								(11,950)
Other income								(2,568)
Other expense								(14,246)
Loss before income taxes								(11,579)
Other segment disclosures:
	International		US		Corporate and
	Telecom		Telecom		Other (1)		Consolidated
Net (income) loss attributable to non-controlling interests		(1,474)		3,933		—		2,459

(1) Corporate and other items refer to corporate overhead costs and consolidating adjustments.

For the Three Months Ended March 31, 2024
	International		US		Corporate and
	Telecom		Telecom		Other (1)		Consolidated
Revenue
Communication Services
Mobility - Business	$	4,808	$	74	$	—	$	4,882
Mobility - Consumer		21,229		764		—		21,993
Total Mobility		26,037		838		—		26,875
Fixed - Business		18,532		34,965		—		53,497
Fixed - Consumer		42,789		22,919		—		65,708
Total Fixed		61,321		57,884		—		119,205
Carrier Services		3,574		30,052		—		33,626
Other		818		744		—		1,562
Total Communication Services Revenue		91,750		89,518		—		181,268
Construction		—		1,586		—		1,586
Other
Managed Services		1,309		2,631		—		3,940
Total Other Revenue		1,309		2,631		—		3,940
Total Revenue		93,059		93,735		—		186,794
Operating Expenses
Cost of communication services and other		34,154		46,385		(149)		80,390
Cost of construction revenue		—		1,570		—		1,570
Selling, general and administrative		29,632		25,076		6,607		61,315
Stock-based compensation		23		132		1,754		1,909
Transaction-related charges		—		—		19		19
Restructuring and reorganization expenses		1,190		—		—		1,190
Depreciation and amortization		16,124		18,138		78		34,340
Amortization of intangibles from acquisitions		251		1,729		—		1,980
(Gain) loss on disposition of assets and transfers		—		108		(601)		(493)
Total Operating Expenses		81,374		93,138		7,708		182,220
Income from operations		11,685		597		(7,708)		4,574
Other income (expenses)
Interest income								445
Interest expense								(11,520)
Other income								172
Other expense								(10,903)
Loss before income taxes								(6,329)
Other segment disclosures:
	International		US		Corporate and
	Telecom		Telecom		Other (1)		Consolidated
Net (income) loss attributable to non-controlling interests		(1,436)		3,069		—		1,633

(1) Corporate and other items refer to corporate overhead costs and consolidating adjustments.

Selected balance sheet data for each of the Company’s segments as of March 31, 2025 and December 31, 2024 consists of the following (in thousands):

	International		US		Corporate and
	Telecom		Telecom		Other		Consolidated
March 31, 2025
Cash, cash equivalents, and restricted cash	$	51,614	$	44,529	$	1,116	$	97,259
Total current assets		150,933		146,714		8,060		305,707
Fixed assets, net		461,077		559,816		8,272		1,029,165
Goodwill		4,835		—		—		4,835
Total assets		689,243		926,372		91,834		1,707,449
Total current liabilities		96,590		130,274		36,808		263,672
Total debt, including current portion		59,875		315,861		186,648		562,384
December 31, 2024
Cash, cash equivalents, and restricted cash	$	35,231	$	51,604	$	2,409	$	89,244
Total current assets		129,866		168,754		10,541		309,161
Fixed assets, net		466,861		565,625		7,707		1,040,193
Goodwill		4,835		—		—		4,835
Total assets		675,642		957,914		93,547		1,727,103
Total current liabilities		85,588		147,490		34,236		267,314
Total debt, including current portion		59,850		316,241		181,265		557,356

For the three months ended March 31, 2025 and 2024, the Company spent $43.3 million and $49.5 million, respectively, on capital expenditures relating to its telecommunications networks and business support systems of which $22.4 million and $13.5 million, respectively, are reimbursable under various government programs. The following notes the Company’s capital expenditures, by operating segment, for these periods (in thousands).

	Capital Expenditures
		International		US		Corporate and
Three months ended March 31,		Telecom		Telecom		Other (1)		Consolidated
2025	$	10,803	$	32,472	$	2	$	43,277
2024		16,915		31,233		1,341		49,489

(1) Corporate and other items refer to corporate overhead costs and consolidating adjustments.