Uniti Group (NASDAQ:UNIT) Issues Earnings Results, Beats Expectations By $0.01 EPS

Uniti Group (NASDAQ:UNIT) announced its quarterly earnings results on Monday. The real estate investment trust reported ($0.34) EPS for the quarter, topping analysts’ consensus estimates of ($0.35) by $0.01, Briefing.com reports. Uniti Group had a negative return on equity of 2.52% and a net margin of 55.60%.The company had revenue of $987.50 million during the quarter, compared to analyst estimates of $930.08 million. During the same quarter last year, the firm posted $0.35 earnings per share. The firm’s revenue was up 236.0% on a year-over-year basis.

Here are the key takeaways from Uniti Group’s conference call:

• Uniti reported strong fiber growth — total fiber revenue +15% YoY, Kinetic consumer fiber revenue +26% YoY, ~30k net new fiber subscribers and ~88k homes passed in Q1, and management is targeting 450k–500k new homes with fiber in 2026.
• Hyperscaler/AI demand is driving Fiber Infrastructure — third‑highest bookings on record, a 20 Tb WAVE sale, ~6,000 new route miles planned and management expects ~$1B cumulative non‑recurring cash revenue by 2028 with ~30% IRRs on deals, though results are lumpy and timing remains uncertain.
• Kinetic churn improved meaningfully — company reported its best consumer fiber churn ever with early‑life churn down ~20% YoY, operational fixes reducing truck rolls and repeat service events, and churn is now tied to company‑wide incentives.
• Consolidated pro forma Q1 showed revenue +1% and adjusted EBITDA +10% YoY, and full‑year 2026 guidance remains at about $3.63B revenue / $1.45B adj. EBITDA with ~$1.4B net CapEx; management declined to raise guidance despite the Q1 beat due to timing variability in hyperscaler deals.
• Capital strategy aims to lower funding costs and fund growth — blended debt yield has fallen to ~6.5% (recent ABS coupons ~5.7%), continued ABS access is expected, and management flagged $500M–$1B of potential non‑core asset monetizations as opportunistic funding sources.

Uniti Group Price Performance

Shares of NASDAQ:UNIT opened at $11.37 on Tuesday. Uniti Group has a 1-year low of $5.30 and a 1-year high of $12.39. The business has a fifty day moving average price of $9.68 and a 200-day moving average price of $7.99. The company has a market capitalization of $2.76 billion, a PE ratio of 3.01 and a beta of 1.44.

Wall Street Analyst Weigh In

Several equities analysts have commented on the company. Zacks Research raised Uniti Group from a “strong sell” rating to a “hold” rating in a research report on Friday, April 3rd. Barclays raised their price objective on Uniti Group from $8.00 to $11.00 and gave the company an “equal weight” rating in a research report on Wednesday, April 15th. Citigroup raised their price objective on Uniti Group from $8.80 to $9.00 and gave the company a “neutral” rating in a research report on Monday, March 9th. Wall Street Zen lowered Uniti Group from a “hold” rating to a “sell” rating in a research report on Sunday, March 1st. Finally, Weiss Ratings raised Uniti Group from a “hold (c-)” rating to a “hold (c)” rating in a research report on Friday. One analyst has rated the stock with a Strong Buy rating and seven have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $8.92.

Hedge Funds Weigh In On Uniti Group

Several institutional investors and hedge funds have recently modified their holdings of UNIT. Royal Bank of Canada increased its holdings in shares of Uniti Group by 10.1% during the first quarter. Royal Bank of Canada now owns 198,000 shares of the real estate investment trust’s stock valued at $998,000 after acquiring an additional 18,165 shares in the last quarter. Dynamic Technology Lab Private Ltd bought a new position in shares of Uniti Group during the first quarter valued at $161,000. Goldman Sachs Group Inc. increased its holdings in shares of Uniti Group by 23.6% during the first quarter. Goldman Sachs Group Inc. now owns 4,604,599 shares of the real estate investment trust’s stock valued at $23,207,000 after acquiring an additional 877,911 shares in the last quarter. United Services Automobile Association bought a new position in shares of Uniti Group during the first quarter valued at $80,000. Finally, Franklin Resources Inc. increased its holdings in shares of Uniti Group by 40.9% during the second quarter. Franklin Resources Inc. now owns 50,586 shares of the real estate investment trust’s stock valued at $219,000 after acquiring an additional 14,696 shares in the last quarter. 87.51% of the stock is currently owned by institutional investors.

About Uniti Group

Uniti Group Inc is a real estate investment trust that owns, operates and acquires communications infrastructure assets across the United States. Established in September 2015 through a spin-off from Windstream Holdings, Uniti Group focuses on leasing fiber, small cell networks, cell towers and related infrastructure to service providers, wireless carriers and other enterprises requiring high-capacity connectivity. The company’s assets are designed to support the growing data demands of residential, business and governmental customers, with an emphasis on long-term contractual lease arrangements.

Uniti’s portfolio encompasses an extensive fiber network that spans metropolitan and rural markets, as well as a portfolio of wireless towers and small cell nodes that facilitate mobile network densification and help carriers deploy 5G services.