Tucows (NASDAQ:TCX) Announces Earnings Results

Tucows (NASDAQ:TCX) (TSE:TC) released its earnings results on Thursday. The information services provider reported ($1.73) earnings per share for the quarter, Zacks reports. The company had revenue of $98.67 million during the quarter.

Here are the key takeaways from Tucows’ conference call:

• Adjusted EBITDA of $50.6 million for FY2025 came in $3.6 million above guidance, driven by outperformance in Domains and Wavelo.
• Wavelo delivered double?digit growth across revenue, gross profit, and adjusted EBITDA, beating 2025 guidance by $4.5 million and entering 2026 with a strong pipeline and targeted sales investment plans.
• Tucows Domains posted growth in revenue, gross profit, and adjusted EBITDA supported by a scaled registry business and a high?margin expiry stream, with 2026 Domains adjusted EBITDA guidance of $47M–$49M.
• Ting remains a drag and is under strategic review; it finished below guidance in 2025, delivered only modest margin improvement, and carries significant net debt (~$438.8M), creating timing and cash?flow uncertainty.
• 2026 consolidated adjusted EBITDA guidance excluding Ting of $52.5M–$58.5M and a stated shift toward a capital?light model focused on free cash flow, AI?driven efficiency, and disciplined capital allocation signal management’s emphasis on cash generation and deleveraging.

Tucows Stock Up 5.6%

Shares of Tucows stock opened at $18.74 on Friday. The company has a market capitalization of $208.09 million, a price-to-earnings ratio of -2.74 and a beta of 1.00. The stock’s 50-day simple moving average is $22.34 and its 200-day simple moving average is $20.26. Tucows has a 52 week low of $13.27 and a 52 week high of $25.17.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in TCX. BNP Paribas Financial Markets grew its holdings in Tucows by 69.3% during the 3rd quarter. BNP Paribas Financial Markets now owns 1,346 shares of the information services provider’s stock valued at $25,000 after buying an additional 551 shares in the last quarter. Rhumbline Advisers increased its holdings in Tucows by 6.2% in the 3rd quarter. Rhumbline Advisers now owns 10,078 shares of the information services provider’s stock valued at $187,000 after acquiring an additional 590 shares during the last quarter. Tower Research Capital LLC TRC lifted its stake in Tucows by 234.8% in the 2nd quarter. Tower Research Capital LLC TRC now owns 2,461 shares of the information services provider’s stock worth $49,000 after purchasing an additional 1,726 shares in the last quarter. Wells Fargo & Company MN boosted its holdings in shares of Tucows by 48.2% during the 4th quarter. Wells Fargo & Company MN now owns 8,149 shares of the information services provider’s stock valued at $183,000 after purchasing an additional 2,651 shares during the last quarter. Finally, Russell Investments Group Ltd. grew its position in shares of Tucows by 903.4% during the third quarter. Russell Investments Group Ltd. now owns 3,873 shares of the information services provider’s stock valued at $72,000 after purchasing an additional 3,487 shares in the last quarter. 73.64% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Separately, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Tucows in a research note on Thursday, January 22nd. One analyst has rated the stock with a Sell rating, According to data from MarketBeat.com, the stock has a consensus rating of “Sell”.

Tucows Company Profile

Tucows Inc (NASDAQ: TCX) is a diversified internet services company primarily known for its domain name registration and management business. Through its Domain Services division, Tucows operates leading reseller platforms such as OpenSRS and Enom, offering domain registration, SSL certificates, email hosting and related value-added services to web professionals, small businesses and enterprise partners worldwide. The company’s platforms enable thousands of resellers to provide branded internet services to their customers, leveraging Tucows’ infrastructure and expertise in the domain name system.

In addition to domain services, Tucows has built a growing portfolio of consumer-facing internet access offerings under the Ting brand.