Company: UZF
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0000821130-25-000032
Chunk: 8

Company: ARRAY DIGITAL INFRASTRUCTURE, INC.
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 2
Chunk 8
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 revenues consist of: ▪Sales of wireless devices and related accessories to new and existing customers, agents, and third-party distributors 

Key components of changes in the statement of operations line items were as follows: 

Total operating revenues 

Retail service revenues decreased for the three months ended March 31, 2025, primarily as a result of a decrease in average postpaid and prepaid connections. 

Equipment sales revenues decreased for the three months ended March 31, 2025, due primarily to a decline in smartphone devices sold due to lower upgrades as well as a lower average price of new smartphone sales. 

Wireless service providers have been aggressive promotionally and on price to attract and retain customers. This includes both traditional carriers and cable wireless companies. UScellular expects promotional aggressiveness by traditional carriers to continue and pricing pressures from cable wireless companies and new entrants to increase into the foreseeable future. Additionally, other wireless service providers have more developed networks and coverage as well as lower costs per subscriber than UScellular, which has negatively affected and may continue to negatively affect UScellular's ability to compete over time. Operating revenues and Operating income have been negatively impacted by these factors in current and prior periods, and are expected to be negatively impacted in future periods. 

System operations expenses

System operations expenses decreased for the three months ended March 31, 2025, due primarily to a decrease in expenses driven by the shutdown of the 3G Code Division Multiple Access (CDMA) network in the first quarter of 2024. 

Cost of equipment sold

Cost of equipment sold decreased for the three months ended March 31, 2025, due primarily to a decline in smartphone devices sold due to lower upgrades. 

10

Towers Operations

As of March 31,202520242025 vs. 2024Owned towers4,4134,3821 %Number of colocations2,4692,3973 %Tower tenancy rate1.56 1.55 1 %

Number of colocations

Number of colocations increased for the period ended March 31, 2025 when compared to the same period last year due to an increase in new tenant and equipment change executions partially offset by terminations.

Financial Overview — Towers 

The following discussion and analysis compares financial results for the three months ended March 31, 2025, to the three months ended March 31, 2024.

Three Months EndedMarch 31,202520242025 vs. 2024(Dollars