Key Highlights

• Operating Income increased 32% year-over-year in Q3 2026, with Earnings Per Share also rising

• Revenue and adjusted EBITDA remained consistent year-over-year, with underlying growth masked by the US Tower Portfolio Sale

• Excluding the tower sale impact, communication services revenue would have grown 1% and adjusted EBITDA 6%

• Management updated its full-year outlook, expecting adjusted EBITDA at the high end of, or modestly above, the previously communicated guidance range

ATN International Inc(NASDAQ:ATNI), a provider of digital infrastructure and communications services, reported its financial results for the third quarter ended September 30, 2026. The company delivered a 32% increase in operating income despite consolidated revenue and adjusted EBITDA remaining flat year-over-year, a dynamic influenced by the second-quarter US Tower Portfolio Sale.

Headline Performance and Tower Sale Impact

At the consolidated level, ATN's Q3 2026 revenue and adjusted EBITDA were flat compared to the prior-year period. However, the year-over-year comparison was affected by the US Tower Portfolio Sale completed in Q2 2026, which removed the revenue and earnings contribution of those tower Assets from the current period. Excluding this impact, communication services revenue would have increased by 1% and adjusted EBITDA would have grown by 6%, providing a clearer picture of the underlying Business performance.

Operating income increased 32% year-over-year, and earnings per share also rose, demonstrating that the company is translating its strategic initiatives into improved bottom-line results even after the portfolio restructuring. The improvement reflects both operating efficiencies and the benefits of targeted Capital deployment across the business.

International Segment Performance

The International segment delivered notable performance during the quarter, maintaining growth amid a heightened competitive environment. ATN operates communications businesses across multiple Caribbean and Pacific island markets, providing broadband, mobile, and enterprise services to underserved communities. The segment's performance reflects the Demand for connectivity in these markets and ATN's position as a primary service provider in several of its territories.

The company's international operations benefit from its vertically integrated model, where it owns and operates the network infrastructure, reducing reliance on third-party providers and enabling greater control over service quality and costs. Continued Investment in fiber and next-generation network technologies has supported subscriber growth and increased data consumption across these markets.

US Segment and Alaska Operations

The US segment showed continued improvement, with particularly encouraging trends in ATN's Alaska operations. The company's Alaska business has undergone a transformation in recent years, with investments in fiber-to-the-home and 5G fixed wireless access expanding its high-speed broadband footprint. High-speed broadband homes passed increased by 4% during the quarter as the company continued to extend its network reach.

High-speed broadband customers were relatively unchanged during the quarter, reflecting increased competition in certain international markets. However, the expansion of homes passed creates a growing addressable market for future subscriber acquisition, and the company's focus on network quality and service differentiation aims to drive conversion over time.

Updated Full-Year Outlook

Management provided an updated outlook for full-year 2026, now expecting adjusted EBITDA at the high end of, or modestly above, the previously communicated guidance range. This upgrade reflects the company's performance trajectory through the first three quarters and confidence in the execution of its strategic priorities for the remainder of the year.

CEO Naji Khoury emphasized the company's focus on disciplined execution, operational improvement, and positioning the business to deliver sustainable, long-term value for stockholders. The combination of international market growth, US segment improvement, and the benefits of the tower portfolio restructuring have contributed to the improved outlook.

Strategic Capital Deployment

ATN's strategy centers on deploying capital into markets and businesses where it can generate attractive returns, particularly in underserved communications markets where infrastructure investment creates a competitive advantage. The company's approach combines organic network buildout with selective portfolio management, as evidenced by the US Tower Portfolio Sale, which allowed ATN to recycle capital from mature tower assets into higher-growth opportunities.

The company continues to evaluate its portfolio composition and capital allocation priorities, with an emphasis on driving operating improvements across its existing businesses while pursuing opportunities that offer growth potential and strategic fit.

The Upshot

ATN International's Q3 2026 results demonstrate a business in transition — generating improved profitability and operating income growth while managing the impact of portfolio changes. The updated full-year outlook, combined with underlying revenue and EBITDA growth when adjusted for the tower sale, suggests that the company's strategic initiatives are gaining traction across both its international and domestic operations.