Charter Communications Inc. (NASDAQ: CHTR), operating under the Spectrum brand, released its financial results for the first quarter of 2026, revealing a complex landscape characterized by significant growth in mobile services but challenges in traditional internet and video segments.

1. Key Highlights from Q1 2026

In the three months ending March 31, 2026, Charter reported a total revenue of $13.6 billion, a decline of 1.0% compared to the previous year, primarily driven by a drop in residential video revenue. Despite this, the company saw growth in its mobile services, with Spectrum Mobile™ lines increasing by 368,000 in the first quarter and 1.8 million over the past twelve months, bringing the total to 12.1 million mobile lines.

Customer Base Dynamics

Charter’s total customer relationships reached 31.7 million, a slight decrease from 32.2 million a year prior. Specifically, the company experienced a decline of 120,000 in Spectrum Internet® customers, bringing the total to 29.6 million. This decline comes as the company continues to innovate its connectivity offerings, including plans for symmetrical multi-gigabit internet speeds expected by 2027.

Meanwhile, video customers decreased by 60,000 in the first quarter, though this represents an improvement compared to a decrease of 181,000 in the same period of 2025. The company attributes this improvement to enhanced pricing strategies and the integration of programmers' streaming apps into its offerings.

Financial Performance Metrics

Net income attributable to Charter shareholders was $1.2 billion, slightly down from $1.217 billion in Q1 2025.

Adjusted EBITDA totaled $5.6 billion, down 2.2% year-over-year. Excluding transition expenses, the decline was 1.8%.

Capital expenditures amounted to $2.9 billion, reflecting a 19% increase year-over-year, driven by network evolution initiatives and line extensions.

Revenue Breakdown

The revenue breakdown for the first quarter highlights the challenges within traditional services:

Internet Revenue: $5.9 billion, a decline of 1.3%.

Mobile Service Revenue: $1.1 billion, up 15.1%.

Video Revenue: $3.3 billion, down 9.2%.

Voice Revenue: $338 million, down 5.0%.

Advertising Revenue: Increased by 5.3% to $358 million, buoyed by higher political revenue.

Strategic Initiatives

Chris Winfrey, President and CEO of Charter, expressed optimism regarding the company's position in the marketplace. “We remain confident about our ability to win in the marketplace and grow over the longer term,” Winfrey stated, emphasizing the importance of an advanced network and customer satisfaction. The company is focused on enhancing its product offerings and completing its rural initiatives, which are expected to drive future growth.

Charter is also actively expanding its rural footprint, having activated 89,000 subsidized rural passings during the first quarter, and increasing its total customer relationships in rural areas by 41,000.

2. Share Repurchase Program

During the quarter, Charter repurchased 4.3 million shares of its Class A common stock for $963 million, reflecting the company's commitment to returning value to shareholders.

3. Looking Ahead

While Charter faces challenges in its traditional revenue streams, the growth in mobile services and strategic initiatives signal a shift in its operational focus. The company remains poised for improvement as it continues to roll out advanced technologies and services to enhance customer experience.

The next quarterly earnings call will be held on April 24, 2026, providing further insights into Charter’s strategies and performance as it navigates the evolving landscape of the telecommunications industry.

Original press release