Cogent Communications Q4 service revenue falls

Cogent Communications Holdings

20/02/2026 12:07

Overview

ISP's Q4 service revenue fell 0.6% sequentially, 4.7% yr/yr

EPS beat analyst expectations

Wavelength revenue grew 18.8% sequentially, 73.7% yr/yr

Outlook

Cogent did not provide specific guidance for future quarters or the full year in its press release

Result Drivers

WAVELENGTH REVENUE - Significant growth in wavelength revenue, up 18.8% sequentially and 73.7% year-over-year, driven by increased customer connections

IPv4 LEASING - Revenue from leasing IPv4 addresses rose by 43.8% year-over-year to $64.5 million, supporting overall revenue

ON-NET REVENUE - On-net revenue increased 4.3% year-over-year, despite a slight sequential decline, indicating stable demand for on-net services

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Net Income
-$43.32 mln
Q4 Gross Margin
22.30%
Q4 Basic EPS
Beat
-$0.64
-$0.99 (12 Analysts)
Q4 EBIT
Beat
-$11.33 mln
-$18.18 mln (11 Analysts)
Q4 Adjusted Gross Margin
46.80%
Q4 Adjusted Gross Profit
$112.48 mln
Q4 EBITDA
$51.74 mln
Q4 Gross Profit
$53.74 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the integrated telecommunications services peer group is "buy."

Wall Street's median 12-month price target for Cogent Communications Holdings Inc is $27.00, about 2.6% above its February 19 closing price of $26.31

Press Release: ID:nPn25z581a

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)