Shenandoah Telecommunications Company Reports $88.6M Service Revenue in Q2 2025

Shenandoah Telecommunications Company (Shentel) reported a service revenue of $88.6 million for the second quarter of 2025, reflecting a 3.2% increase from $85.8 million in the same period of 2024. For the first half of 2025, total revenue reached $176.5 million, up 13.8% from $155.0 million year-over-year. Despite this revenue growth, the company experienced an operating loss of $9.1 million for the quarter, an improvement from a loss of $15.9 million in the prior year. The net loss attributable to common shareholders was $10.5 million, compared to a loss of $12.9 million in the same quarter of 2024.

The financial performance was influenced by several factors, including a notable increase in revenue from the Glo Fiber Expansion Markets, which surged by 40.5% to $19.8 million, driven by a 43.1% growth in broadband data revenue generating units (RGUs). Conversely, revenue from the Incumbent Broadband Markets declined by 3.2% due to a drop in video revenue, attributed to a 14.5% decrease in video RGUs. The company also reported a significant reduction in restructuring and acquisition-related expenses, which fell by 98.2% to $206,000, reflecting the completion of the Horizon acquisition integration.

Operationally, Shentel's customer base expanded, with a total of 622,923 homes and businesses passed by its network as of June 30, 2025, compared to 530,076 a year earlier. The company reported 251,761 total residential and small-medium business RGUs, an increase from 231,468 in the previous year. The Glo Fiber markets accounted for a substantial portion of this growth, with 76,276 RGUs, up from 53,285. The company also noted a slight decline in average revenue per user (ARPU) across various segments, with broadband data ARPU at $80.56, down from $81.64.

Looking ahead, Shentel's management expressed optimism regarding future growth, particularly in expanding its Glo Fiber network. The company completed the acquisition of additional fiber-to-the-home assets for $5 million in July 2025, which is expected to enhance its service offerings. Shentel's liquidity position remains strong, with total available liquidity of $266.7 million as of June 30, 2025, including cash, credit facilities, and government grants. The company anticipates that its cash flows and available funds will be sufficient to meet operational needs over the next twelve months, despite ongoing capital expenditures aimed at network expansion.