TCX Q2 2025 KPI Summary.pdf

TUCOWS, INC. QUARTERLY KPI SUMMARY

Operating Statistics

(Amounts in thousands)

QUARTERLY YTD ANNUAL
Q2/25 Q1/25 Q4/24 Q3/24 Q2/24 Q1/24 2025 2024 2023
TING
Internet Subscribers under management³ 52.1 51.7 50.7 49.6 48.2 46.1 52.1 50.7 43.4
Internet Subscribers under management- Net additions³ 0.4 1.0 1.1 1.4 2.1 2.7 1.4 7.3 9.0
Owned Infrastructure Serviceable Addresses¹,³,⁵ 132.0 133.4 133.5 132.0 128.3 124.0 132.0 133.5 121.3
Owned Infrastructure Serviceable Addresses- Net additions¹,³,⁵ -1.4 -0.1 1.5 3.7 4.3 2.7 -1.5 12.2 25.5
Partner Infrastructure Serviceable Addresses¹,⁵ 65.8 54.0 45.3 40.7 36.2 33.0 65.8 45.3 29.4
Partner Infrastructure Serviceable Addresses- Net additions¹,⁵ 11.8 8.7 4.7 4.5 3.2 3.6 20.5 16.0 10.3
Fiber Capital Expenditures- Consumption² $1,300 $2,900 $2,100 $8,200 $12,100 $18,100 $4,200 $40,500 $80,250
TUCOWS DOMAINS
Domains under management 24,019 24,300 24,500 24,600 24,500 24,700 24,019 24,500 24,560
Total new, renewal and transferred-in domain name transactions⁴ 5,125 5,624 5,215 5,278 5,276 5,996 10,749 21,765 22,031

1 Defined as premises to which Ting Owned Infrastructure or Ting Partner Infrastructure has the capability to provide a customer connection in a service area.

2 This includes all capital expenditures used to build and expand the Ting footprint, including construction and activation of the network and customers, capitalized labor, materials, and acquisitions net of capex write-offs.

3 Internet Subscribers and Serviceable Addresses from Simply Bits are not included in Ting metrics.

4 Includes all transactions processed under our accreditations for our resellers and our retail brands, as well as transactions processed on behalf of other registrars using our platform.

5 The serviceable address count for Q2 2025 reflects a shift of 1,679 addresses from Owned Infrastructure to Partner Infrastructure, resulting from an agreement in which Ting sold part of its owned infrastructure to a third party while continuing to operate as the Internet Service Provider in that area.


Summary of Historical Financial Results

(In thousands of US dollars)

QUARTERLY YTD ANNUAL
Q2/25(Unaudited) Q1/25(Unaudited) Q4/24(Unaudited) Q3/24(Unaudited) Q2/24(Unaudited) Q1/24(Unaudited) 2025(Unaudited) 2024(Unaudited) 2023(Unaudited)
2025(Unaudited) 2024(Unaudited) 2023(Unaudited)
REVENUE
Ting $16,410 $16,315 $15,749 $15,310 $14,571 $14,102 $32,725 $59,732 $50,937
Wavelo 12,656 11,396 9,888 10,082 10,501 9,390 24,052 39,861 38,670
Tucows Domains 67,604 65,255 65,674 64,715 62,368 61,882 132,859 254,639 242,097
Tucows Corporate1 1,793 1,643 1,787 2,190 1,983 2,083 3,436 8,043 7,633
TOTAL REVENUE 98,463 94,609 93,098 92,297 89,423 87,457 193,072 362,275 339,337
GROSS MARGIN
Ting2.4 7,704 10,478 10,994 10,989 9,818 8,742 18,182 40,978 30,786
Wavelo 12,561 11,259 9,368 10,019 10,162 9,039 23,820 38,588 36,044
Tucows Domains 21,560 20,215 20,341 19,810 18,869 18,536 41,775 77,556 72,683
Tucows Corporate1 (2,431) (2,504) (2,052) (1,134) (754) (654) (4,935) (4,594) (2,432)
Network Expenses2 (17,284) (15,917) (17,428) (17,496) (17,285) (17,347) (33,201) (69,499) (70,414)
TOTAL GROSS PROFIT 22,110 23,531 21,223 22,188 20,810 18,316 45,641 83,029 66,667
ADJUSTED EBITDA2
Ting (3,651) (854) (1,468) (5,070) (6,442) (9,537) (4,505) (22,517) (44,151)
Wavelo 5,360 4,449 3,679 3,429 3,911 2,787 9,809 13,806 10,573
Tucows Domains 12,543 11,540 11,633 11,529 11,217 10,011 24,083 44,390 42,623
Tucows Corporate (1,675) (1,464) (995) (1,200) 492 941 (3,139) (762) 6,406
TOTAL ADJUSTED EBITDA2 $12,577 $13,671 $12,849 $8,688 $9,178 $4,202 $26,248 $34,917 $15,451

1 Tucows Corporate Revenue and Gross Margin includes revenue from retail mobile services, transition services provided to DISH and intercompany revenue eliminations.

2 Our adjusted EBITDA definition excludes depreciation, amortization of intangible assets, income tax provision, interest expense (net), accretion of contingent consideration, stock-based compensation, asset impairment, loss on debt extinguishment, gains and losses from unrealized foreign currency transactions and costs that are one-time in nature and not indicative of on-going performance (profitability), including acquisition and transition costs. Gains and losses from unrealized foreign currency transactions removes the unrealized effect of the change in the mark-to-market values on outstanding foreign currency contracts not designated in accounting hedges, as well as the unrealized effect from the translation of monetary accounts denominated in non-U.S. dollars to U.S. dollars.

3 In Q1/24, restructuring charges of $435K and $57K were presented within Gross Profit, in the Ting segment and Network Expenses respectively. In Q4/24, the Company incurred further restructuring charges and will present total restructuring charges for the year within Loss from Operations as a separate line item in the financial statements. Q1/24 has not been recast however the change has been reflected in the Q4/24 and Annual 2024 Gross Profit.

4 Ting’s gross margin for Q2 2025 includes a one-time, immaterial, non-cash increase in lease expense of $2.7 million related to a lease accounting adjustment for certain long-term network access agreements.