Financial Analysis

"COMMITMENTS AND CONTINGENCIES Contractual Obligations. The Company has obligations to make future payments for goods and services under certain contractual arrangements. These contractual obligations secure the future rights to various goods and services to be used in the normal course of the Companys operations. In accordance with applicable accounting rules, the future rights and obligations pertaining to firm commitments, such as certain purchase obligations under contracts, are not reflected as assets or liabilities in the condensed consolidated balance sheets. As of March 31, 2026, with the exception of debt activity (refer to note 8 for the updated future maturities of outstanding borrowings table), there have been no material changes to the contractual obligations previously disclosed in the 2025 Form 10-K. In addition, the Company incurs recurring utility pole rental costs and fees imposed by various governmental authorities, including franchise fees, as part of its operations. However, these costs are not included in the Companys contractual obligations as they are cancellable on short notice, in the case of pole rental costs, or are passed through on a monthly basis to the Companys customers and are periodically remitted to authorities, in the case of fees imposed by governmental authorities. The Company also has franchise agreements requiring plant construction and the provision of services to customers within the franchise areas. In connection with these obligati …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

EQUITY-BASED COMPENSATION The Company's stockholders approved the Cable One, Inc. 2022 Omnibus Incentive Compensation Plan (the 2022 Plan) at the annual meeting of stockholders held on May 20, 2022. The 2022 Plan provides for grants of incentive stock options, non-qualified stock options, Restricted Stock, SARs, cash-based awards, performance-based awards and other stock-based awards, including deferred stock units, and superseded and replaced the Amended and Restated Cable One, Inc. 2015 Omnibus Incentive Compensation Plan. Directors, officers, employees and consultants of the Company are eligible for grants under the 2022 Plan as part of the Companys long-term incentive compensation programs. At March 31, 2026, 176,931 shares were available for issuance under the 2022 Plan. In 2026, the Company granted cash-settled performance and service-based phantom RSUs to certain executives in lieu of typical share-settled RSUs. Such awards, considered liability-classified awards, are remeasured at fair value using Monte-Carlo simulations at each reporting date during the vesting period. During the three months ended March 31, 2026, the Company recognized $1.3 million of stock-based compensation expense within selling, general and administrative expenses in the condensed consolidated statement of operations and comprehensive income (loss), associated with these awards. As of March 31, 2026, the Company had recognized $0.2 million and $1.1 million of short-term and long-term liabilities …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

FAIR VALUE MEASUREMENTS Financial Assets and Liabilities. The Company has estimated the fair values of its financial instruments as of March 31, 2026 using available market information or other appropriate valuation methodologies. Considerable judgment is required in interpreting market data to develop the estimates of fair value. Accordingly, the following fair value estimates are not necessarily indicative of the amounts the Company would realize in an actual market exchange. The fair value hierarchy levels, carrying amounts and related fair values of the Companys financial assets and liabilities as of March 31, 2026 and December 31, 2025 were as follows (in thousands): March 31, 2026 December 31, 2025 Fair Value Hierarchy Carrying Amount Fair Value Carrying Amount Fair Value Assets: Cash and cash equivalents: Money market investments Level 1 $ 81,933 $ 81,933 $ 70,261 $ 70,261 Prepaid and other current assets: MBI option Level 3 $ 17,990 $ 17,990 $ 31,830 $ 31,830 Other noncurrent assets (including current portion): Interest rate swap asset Level 2 $ 30,988 $ 30,988 $ 25,187 $ 25,187 Liabilities: Long-term debt (including current portion): Term loans Level 2 $ 1,674,983 $ 1,594,900 $ 1,706,812 $ 1,641,873 Revolving Credit Facility Level 2 $ 550,000 $ 533,500 $ $ Senior Notes Level 2 $ 548,288 $ 381,060 $ 582,013 $ 448,907 Convertible Notes (1) Level 2 $ 345,000 $ 267,375 $ 920,000 $ 849,275 (1) The $575.0 million aggregate principal amount of 2026 Notes matured in March 20 …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

GOODWILL AND INTANGIBLE ASSETS During the three months ended March 31, 2026, the Company sold certain fiber-to-the-tower contract rights for cash proceeds of $42.0 million. In connection with the transaction, the Company derecognized $13.3 million of customer relationship intangible assets and recognized an associated $26.6 million gain within other income in the condensed consolidated statement of operations and comprehensive income (loss). The carrying amount of goodwill was $840.8 million at both March 31, 2026 and December 31, 2025. In 2025, the Company recognized an $88.8 million impairment of goodwill. No goodwill impairments were recognized during the three months ended March 31, 2026 or 2025. Intangible assets consisted of the following (dollars in thousands): March 31, 2026 December 31, 2025 Useful Life Range (in years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Finite-Lived Intangible Assets Customer relationships 13.5 - 17 $ 760,190 $ 421,366 $ 338,824 $ 785,203 $ 419,231 $ 365,972 Trademarks and trade names (1) 2 43 41 2 8,389 8,385 4 Wireless licenses 10 4,794 1,531 3,263 4,794 1,411 3,383 Total finite-lived intangible assets $ 765,027 $ 422,938 $ 342,089 $ 798,386 $ 429,027 $ 369,359 Indefinite-Lived Intangible Assets Franchise agreements $ 1,605,000 $ 1,605,000 Total intangible assets, net $ 1,947,089 $ 1,974,359 (1) Balances related to fully amortized trademarks and trad …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

INCOME TAXES The Companys effective tax rate was 24.5% and 0.3% for the three months ended March 31, 2026 and 2025, respectively. The increase in the effective tax rate was due primarily to an increase in pre-tax income and lower equity method investment net losses. …

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DEBT The carrying amount of long-term debt consisted of the following (in thousands): March 31, 2026 December 31, 2025 Senior Credit Facilities (as defined below) $ 2,224,983 $ 1,706,812 Senior Notes (as defined below) 548,288 582,013 Convertible Notes (as defined below) (1) 345,000 920,000 Finance lease liabilities 2,790 2,954 Total debt 3,121,061 3,211,779 Less: Unamortized debt discount (2,519) (3,436) Less: Unamortized debt issuance costs (12,253) (14,416) Less: Current portion of long-term debt (1) (18,197) (593,535) Total long-term debt $ 3,088,092 $ 2,600,392 (1) The 2026 Notes (as defined and described below), which were included within the current portion of long-term debt as of December 31, 2025, matured in March 2026. Senior Credit Facilities. The fourth amended and restated credit agreement among the Company and its lenders, dated as of February 22, 2023 (as amended and restated, the Credit Agreement), provides for senior secured term loans in original aggregate principal amounts of (i) $250.0 million maturing in 2029 (subject to adjustment as described in the footnotes to the table below summarizing the Company's outstanding term loans as of March 31, 2026) (the Term Loan B-2), (ii) $775.0 million maturing in 2029 (subject to adjustment as described in the footnotes to the table below summarizing the Company's outstanding term loans as of March 31, 2026) (the Term Loan B-3) and (iii) $800.0 million maturing in 2028 (the Term Loan B-4), as well as a $1.25 billion …

LongTermDebtTextBlock · excerpt; the full note is in the filing

"Recently Issued But Not Yet Adopted Accounting Pronouncements. In November 2024, the Financial Accounting Standards Board issued Accounting Standards Update (""ASU"") No. 2024-03, Income StatementReporting Comprehensive Income (Topic 220): Disaggregation of Income Statement Expenses . ASU 2024-03 requires that more granular information about certain types of expenses, including employee compensation, depreciation and amortization be disclosed in addition to certain qualitative descriptions of relevant expense captions that are not separately disclosed. The ASU is effective for annual reporting periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027 on either a prospective or retrospective basis, with early adoption permitted. The Company plans to adopt ASU 2024-03 in the 2027 annual reporting period. The adoption of ASU 2024-03 will result in additional expense disclosures within the notes to the Company's consolidated financial statements."

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REVENUES Revenues by product line and deferred commission amortization were as follows (in thousands): Three Months Ended March 31, 2026 2025 Residential: Data $ 213,571 $ 225,121 Video 40,769 50,805 Voice 6,509 7,044 Business: Data 56,288 57,293 Other 14,238 16,883 Other 21,582 23,455 Total revenues $ 352,957 $ 380,601 Deferred commission amortization $ 2,016 $ 1,705 Business other revenues include business video, voice and other ancillary service revenues. Other revenues are comprised primarily of regulatory revenues, advertising sales, late charges and reconnect fees. Deferred commission amortization expense is included within selling, general and administrative expenses in the condensed consolidated statements of operations and comprehensive income (loss). Fees imposed on the Company by various governmental authorities, including franchise fees, are passed through on a monthly basis to the Companys customers and are periodically remitted to authorities. As the Company acts as principal, these fees are reported in video and voice revenues on a gross basis with corresponding expenses included within operating expenses in the condensed consolidated statements of operations and comprehensive income (loss). Current deferred revenue liabilities consist of refundable customer prepayments, up-front charges and installation fees. Of the $22.7 million of current deferred revenue at December 31, 2025, $18.8 million was recognized during the three months ended March 31, 2026. Of the …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

SEGMENT REPORTING Based on the way the Companys CODM, who is the Companys CEO, reviews and assesses the Companys operations for purposes of performance monitoring and resource allocation, the Company determined that its operations, including the decisions to allocate resources and deploy capital, are organized and managed on a consolidated basis. Accordingly, management has identified one operating segment, which is its reportable segment, under this organizational and reporting structure. The Company's consolidated net income is the GAAP measure of profit or loss which is used by the CODM to allocate resources and assess performance on a monthly basis. Such measure is compared against prior periods to identify, assess and respond to trends. The following table includes the significant expense categories and amounts that are regularly provided to the CODM (in thousands): Three Months Ended March 31, 2026 2025 Revenues $ 352,957 $ 380,601 Less: Significant expenses: Direct product costs (41,988) (48,436) Labor costs (56,522) (61,106) Other items (1) (218,673) (268,452) Net income $ 35,774 $ 2,607 (1) Includes other operating costs (such as marketing, software and maintenance expenses), depreciation and amortization, net gain (loss) on asset sales and disposals, net interest expense, net other income (expense), income tax provision, net equity method investment income (loss) and certain other non-cash, non-core and/or non-recurring costs. Amounts for the three months ended Marc …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

"STOCKHOLDERS EQUITY Treasury Stock. Treasury stock is recorded at cost and is presented as a reduction of stockholders equity in the condensed consolidated financial statements. Treasury shares of 503,217 held at March 31, 2026 include shares repurchased under the Companys share repurchase programs and shares withheld for withholding tax, as described below. Share Repurchase Program. On May 20, 2022, the Company's board of directors (the ""Board"") authorized up to $450.0 million of share repurchases (with no cap as to the number of shares of common stock) (the ""Share Repurchase Program""). The Company had $143.1 million of remaining share repurchase authorization under the Share Repurchase Program as of March 31, 2026. Additional purchases under the Share Repurchase Program may be made from time to time on the open market and in privately negotiated transactions, and the Company may opportunistically and prudently consider buying back shares under its remaining share repurchase authorization. The size and timing of any additional purchases are based on a number of factors, including share price, trading levels and business and market conditions. Since the Company first became publicly traded in 2015 through March 31, 2026, the Company has repurchased 646,244 shares of its common stock at an aggregate cost of $556.9 million. The Company did not repurchase any of its common stock during the three months ended March 31, 2026 or 2025. Tax Withholding for Equity Awards. At the …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing