Company: UZF
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0000821130-25-000032
Chunk: 6

Company: ARRAY DIGITAL INFRASTRUCTURE, INC.
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 2
Chunk 6
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olidated entities

Equity in earnings of unconsolidated entities represents UScellular’s share of net income from entities in which it has a noncontrolling interest and that are accounted for using the equity method or the net asset value practical expedient. UScellular’s investment in the Los Angeles SMSA Limited Partnership (LA Partnership) contributed pre-tax income of $15 million and $16 million for the three months ended March 31, 2025 and 2024, respectively. See Note 7 — Investments in Unconsolidated Entities in the Notes to Consolidated Financial Statements for additional information.

6

Interest expense 

Interest expense decreased for the three months ended March 31, 2025 due primarily to a decrease in the average principal balance outstanding on the receivables securitization and term loan agreements. See Market Risk for additional information regarding maturities of long-term debt and weighted average interest rates.

Income tax expense

Income tax expense decreased for the three months ended March 31, 2025, due primarily to the decrease in Income before income taxes. 

7

Wireless Operations

As of March 31,20252024Retail Connections – End of PeriodPostpaid3,946,000 4,051,000Prepaid431,000 436,000Total4,377,000 4,487,000

Q1 2025Q1 2024Q1 2025 vs. Q1 2024Postpaid Activity and ChurnGross AdditionsHandsets68,000 63,000 8 %Connected Devices37,000 43,000 (14)%Total Gross Additions105,000 106,000 (1)%Net Additions (Losses)Handsets(38,000)(47,000)19 %Connected Devices(1,000)3,000 N/MTotal Net Additions (Losses)(39,000)(44,000)11 %ChurnHandsets1.03 %1.03 %Connected Devices2.40 %2.52 %Total Churn1.21 %1.22 %

N/M - Percentage change not meaningful

Total postpaid handset net losses decreased for the three months ended March 31, 2025, when compared to the same period last year due primarily to an increase in gross additions and a decrease in defections as a result of increased promotional spend.

Total postpaid connected device net losses increased for the three