Charter Communications Swings to Quarterly Loss as Company Loses Internet, Video Customers

02:00 PM EST, 11/06/2026 (MT Newswires) -- Charter Communications (CHTR) swung to a third-quarter loss Friday as the broadband and cable provider lost internet and video subscribers. The company posted a net loss of $20.50 a share for the September quarter, compared with earnings of $8.34 a year earlier. These results include the company's acquisition of Cox Communications that was completed in August, Charter said. Assuming the transaction closed Jan. 1, 2024, Charter incurred a loss of $17.78 a share on a pro forma basis. The loss mainly reflected a $6.3 billion charge related to the impairment of franchises. Legacy Charter Communications lost 156,000 internet customers in the third quarter, compared with a loss of 109,000 a year earlier. The result was driven by lower connects year over year, while the churn rate was "essentially flat," interim Chief Financial Officer Kevin Howard said during an earnings call, according to a FactSet transcript. Legacy Charter Communications lost 38,000 video customers, versus a loss of 70,000 in the 2025 third quarter, with the company attributing the improvement to simplified pricing and packaging. Charter Communications operates the Spectrum brand, which offers Internet, mobile, TV and voice products. Pro-forma internet subscriber losses totaled 233,000, compared with a loss of 171,000 a year earlier, while video customer losses narrowed to 77,000 from 121,000. Charter Communications shares were down 2.4% in Friday afternoon trade, taking its year-to-date loss to 41%. The company plans to redesign its operating model to accelerate customer additions, improve retention, eliminate nonessential activities and focus resources on functions that contribute most directly to growth. Charter Communications is targeting $2 billion in annualized run-rate operating expense savings over the next 18 months, in addition to more than $1 billion in projected synergies from the Cox transaction. "We are fundamentally rethinking how we operate and compete, with a renewed focus on delivering the best products and services," Charter Chief Executive Chris Winfrey said in an earnings release. Third-quarter revenue came in at $14.92 billion, up 9.1% from a year earlier and topping the FactSet-polled consensus of $13.5 billion. On a pro forma basis, revenue fell 1.5% to $16.51 billion. In a Sept. 28 note, UBS Securities said it expected Charter Communications' third-quarter broadband subscriber losses to widen, while revenue declines would moderate from the second quarter as select broadband rate actions and higher political advertising spending helped offset sustained competitive pressure. Last month, Comcast (CMCSA) reported third-quarter results above Wall Street's expectations, even as the media giant continued to lose domestic broadband subscribers. Verizon Communications (VZ) reported an 820% year-over-year surge in third-quarter postpaid phone net additions, while AT&T's (T) postpaid phone subscriber growth missed projections. Price: 119.12, Change: -6.75, Percent Change: -5.36