Exhibit 99.1
NEWS RELEASE

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As previously announced, TDS will hold a teleconference on May 2, 2025, at 9:00 a.m. CDT. Listen to the call live via the Events & Presentations page of investors.tdsinc.com.
TDS reports first quarter 2025 results
CHICAGO (May 2, 2025) — Telephone and Data Systems, Inc. (NYSE:TDS) reported total operating revenues of $1,154 million for the first quarter of 2025, versus $1,262 million for the same period one year ago. Net income (loss) attributable to TDS common shareholders and related diluted earnings (loss) per share were $(10) million and $(0.09), respectively, for the first quarter of 2025 compared to $12 million and $0.10, respectively, in the same period one year ago.
Recent Highlights*
UScellular
•Improved postpaid handset results
◦Postpaid handset gross additions increased; postpaid handset net losses improved
•Third-party tower rental revenues increased 6%
•Ongoing 5G mid-band network deployment
◦Providing capacity and enhanced speed for our mobility and fixed wireless customers
TDS Telecom
•TDS Telecom revenues down 3%, impacted by 2024 divestitures of non-strategic assets
•Executing on fiber broadband strategy
◦Delivered 14,000 marketable fiber services addresses in Q1
◦Added 2,800 residential broadband net additions; 8,300 from fiber markets
* Comparisons are 1Q’24 to 1Q’25 unless otherwise noted

“As we work towards the expected mid-2025 closing of the sale of the wireless operations, the remaining businesses – fiber and towers – are making foundational changes that will support TDS’ transformation,” said Walter Carlson, TDS President and CEO. "In the first quarter, TDS and TDS Telecom results were impacted from the prior year divestitures of non-strategic assets, including the sale of One Neck and certain ILECs. TDS Telecom is continuing its fiber deployment adding 14,000 marketable fiber service addresses in the quarter while also investing in programs to streamline operations, enhance the customer experience and improve margins over time. And the tower business is continuing to grow the number of colocations and revenues, with third-party tower revenues increasing 6% in the quarter.”

Announced Transactions and Exploration of Strategic Alternatives for UScellular

On May 24, 2024, TDS and UScellular entered into a Securities Purchase Agreement to sell UScellular's wireless operations and select spectrum assets to T-Mobile US, Inc. (T-Mobile). The transaction is expected to close in mid-2025, subject to regulatory approval and the satisfaction of customary closing conditions. When the proposed T-Mobile transaction closes, UScellular expects the UScellular Board of Directors to declare the first of potentially several, special dividends to UScellular shareholders.

On October 17, 2024, UScellular, and certain subsidiaries of UScellular, entered into a License Purchase Agreement with Verizon Communications, Inc. (Verizon) to sell certain AWS, Cellular and PCS wireless spectrum licenses, subject to receipt of regulatory approvals, and agreed to grant Verizon certain rights to lease such licenses prior to the transaction close. Additionally, UScellular also entered into agreements with Nsight Spectrum, LLC and Nex-Tech Wireless, LLC for the sale of select spectrum licenses.

On November 6, 2024, UScellular, and certain subsidiaries of UScellular, entered into a License Purchase Agreement with New Cingular Wireless PCS, LLC (AT&T), a subsidiary of AT&T, Inc. to sell certain 3.45 GHz and 700 MHz wireless spectrum licenses, subject to receipt of regulatory approvals, and agreed to grant AT&T certain rights to lease and sub-lease such licenses prior to the transaction close.

Due to the pending transaction with T-Mobile, UScellular is not providing 2025 financial guidance.
1

2025 Estimated Results
TDS’ current estimates of full-year 2025 results for TDS Telecom are shown below. Such estimates represent management’s view as of May 2, 2025 and should not be assumed to be current as of any future date. TDS undertakes no duty to update such estimates, whether as a result of new information, future events, or otherwise. There can be no assurance that final results will not differ materially from estimated results.

2025 Estimated Results
TDS TelecomPreviousCurrent
(Dollars in millions)  
Total operating revenues$1,030-$1,070Unchanged
Adjusted OIBDA1 (Non-GAAP)
$310-$350Unchanged
Adjusted EBITDA1 (Non-GAAP)
$320-$360Unchanged
Capital expenditures$375-$425Unchanged

The following tables reconcile EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measures, Net income or Income before income taxes. In providing 2025 estimated results, TDS has not completed the below reconciliation to Net income because it does not provide guidance for income taxes. Although potentially significant, TDS believes that the impact of income taxes cannot be reasonably predicted; therefore, TDS is unable to provide such guidance.

 2025 Estimated ResultsActual Results
TDS TelecomThree Months Ended
March 31, 2025		Year Ended
December 31, 2024
(Dollars in millions)  
Net income (GAAP)N/A$4 $85 
Add back:  
Income tax expenseN/A1 35 
Income before income taxes (GAAP)$20-$60$5 $120 
Add back: 
Interest expense— (1)(5)
Depreciation, amortization and accretion expense300 71 271 
EBITDA (Non-GAAP)1
$320-$360$75 $385 
Add back or deduct: 
Loss on impairment of intangible assets— — 1 
(Gain) loss on asset disposals, net— 2 12 
(Gain) loss on sale of business and other exit costs, net— — (49)
Adjusted EBITDA (Non-GAAP)1
$320-$360$76 $350 
Deduct: 
Interest and dividend income5 1 5 
Other, net5 2 4 
Adjusted OIBDA (Non-GAAP)1
$310-$350$73 $340 
Numbers may not foot due to rounding.
1EBITDA, Adjusted EBITDA and Adjusted OIBDA are defined as net income adjusted for the items set forth in the reconciliation above. EBITDA, Adjusted EBITDA and Adjusted OIBDA are not measures of financial performance under Generally Accepted Accounting Principles in the United States (GAAP) and should not be considered as alternatives to Net income or Cash flows from operating activities, as indicators of cash flows or as measures of liquidity. TDS does not intend to imply that any such items set forth in the reconciliation above are infrequent or unusual; such items may occur in the future. Management uses Adjusted EBITDA and Adjusted OIBDA as measurements of profitability, and therefore reconciliations to Net income are deemed appropriate. Management believes Adjusted EBITDA and Adjusted OIBDA are useful measures of TDS’ operating results before significant recurring non-cash charges, nonrecurring expenses, gains and losses, and other items as presented above as they provide additional relevant and useful information to investors and other users of TDS’ financial data in evaluating the effectiveness of its operations and underlying business trends in a manner that is consistent with management’s evaluation of business performance. Adjusted EBITDA shows adjusted earnings before interest, taxes, depreciation, amortization and accretion, gains and losses, while Adjusted OIBDA reduces this measure further to exclude Equity in earnings of unconsolidated entities and Interest and dividend income in order to more effectively show the performance of operating activities excluding investment activities. The table above reconciles EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measure, Net income or Income before income taxes.
2


Conference Call Information
TDS will hold a conference call on May 2, 2025 at 9:00 a.m. Central Time.
▪Access the live call on the Events & Presentations page of investors.tdsinc.com or at
https://events.q4inc.com/attendee/224819726
▪Access the call by phone at (888)330-2384, conference ID: 1328528.

Before the call, certain financial and statistical information to be discussed during the call will be posted to investors.tdsinc.com. The call will be archived on the Events & Presentations page of investors.tdsinc.com. 
About TDS
Telephone and Data Systems, Inc. (TDS) provides wireless, broadband, video and voice to approximately 5.5 million connections nationwide through its businesses, UScellular and TDS Telecom. Founded in 1969 and headquartered in Chicago, TDS employed approximately 7,800 associates as of March 31, 2025.
Visit investors.tdsinc.com for comprehensive financial information, including earnings releases, quarterly and annual filings, shareholder information and more.
Contacts
Colleen Thompson, Vice President - Corporate Relations
colleen.thompson@tdsinc.com
 
Julie Mathews, IRC, Director - Investor Relations
julie.mathews@tdsinc.com

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: All information set forth in this news release, except historical and factual information, represents forward-looking statements. This includes all statements about the company’s plans, beliefs, estimates, and expectations, including with respect to the expected closing date of the transaction with T-Mobile. These statements are based on current estimates, projections, and assumptions, which involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Important factors that may affect these forward-looking statements include, but are not limited to: whether the announced transactions whereby UScellular has agreed to sell its wireless operations and selected spectrum assets will be successfully completed; whether any such strategic alternative will result in additional value for TDS or its shareholders and whether the process will have an adverse impact on TDS’ businesses; intense competition; the ability to attract people of outstanding talent throughout all levels of the organization; TDS' lack of scale relative to larger competitors; changes in demand, consumer preferences and perceptions, price competition, or churn rates; advances in technology; impacts of costs, integration problems or other factors associated with acquisitions, divestitures or exchanges of properties and/or expansion of TDS’ businesses; the ability of the company to successfully construct and manage its networks; difficulties involving third parties with which TDS does business; uncertainties in TDS’ future cash flows and liquidity and access to the capital markets; the ability to make payments on TDS and UScellular indebtedness or comply with the terms of debt covenants; the effect on TDS' business if the collateral securing its secured term loan is foreclosed upon; conditions in the U.S. telecommunications industry; the value of assets and investments; the state and federal regulatory environment, including changes in regulatory support received and the ability to pass through certain regulatory fees to customers; pending and future litigation; cyber-attacks or other breaches of network or information technology security; control by the TDS Voting Trust; disruption in credit or other financial markets; deterioration of U.S. or global economic conditions; and the impact, duration and severity of public health emergencies. Investors are encouraged to consider these and other risks and uncertainties that are more fully described under “Risk Factors” in the most recent filing of TDS’ Form 10-K, as updated by any TDS Form 10-Q filed subsequent to such Form 10-K.

For more information about TDS and its subsidiaries, visit:
TDS: www.tdsinc.com 
UScellular: www.uscellular.com 
TDS Telecom: www.tdstelecom.com
3

United States Cellular Corporation
Summary Operating Data (Unaudited)
As of or for the Quarter Ended3/31/202512/31/20249/30/20246/30/20243/31/2024
Retail Connections     
Postpaid     
Total at end of period1
3,946,000 3,985,000 3,999,000 4,027,000 4,051,000 
Gross additions105,000 140,000 123,000 117,000 106,000 
Handsets68,000 93,000 84,000 73,000 63,000 
Connected devices37,000 47,000 39,000 44,000 43,000 
Net additions (losses)1
(39,000)(14,000)(28,000)(24,000)(44,000)
Handsets(38,000)(19,000)(28,000)(29,000)(47,000)
Connected devices(1,000)5,000 — 5,000 3,000 
ARPU2
$52.06 $51.73 $52.04 $51.45 $51.96 
ARPA3
$132.25 $131.10 $131.81 $130.41 $132.00 
Handset upgrade rate4
3.1 %4.8 %3.5 %4.1 %4.5 %
Churn rate5
1.21 %1.29 %1.25 %1.16 %1.22 %
Handsets1.03 %1.08 %1.07 %0.97 %1.03 %
Connected devices2.40 %2.67 %2.47 %2.47 %2.52 %
Prepaid
Total at end of period1
431,000 448,000 452,000 439,000 436,000 
Gross additions38,000 46,000 57,000 50,000 41,000 
Net additions (losses)1
(17,000)(4,000)13,000 3,000 (13,000)
ARPU2
$30.76 $30.59 $32.01 $32.37 $32.25 
Churn rate5
4.17 %3.70 %3.30 %3.60 %4.06 %
Market penetration at end of period
Consolidated operating population31,390,000 32,550,000 32,550,000 32,550,000 32,550,000 
Consolidated operating penetration6
17 %15 %15 %15 %14 %
Capital expenditures (millions)$53 $162 $120 $165 $131 
Total cell sites in service7,009 7,010 7,007 6,990 6,995 
Owned towers4,413 4,409 4,407 4,388 4,382 
Number of colocations7
2,469 2,444 2,418 2,392 2,397 
Tower tenancy rate8
1.56 1.55 1.55 1.55 1.55 

1First quarter 2024 connections were adjusted to remove subscribers that could no longer access the UScellular network due to the CDMA shutdown. This resulted in 11,000 and 2,000 subscribers removed from the postpaid and prepaid base, respectively, that are not included in Net additions (losses) for the quarter.
2Average Revenue Per User (ARPU) - metric is calculated by dividing a revenue base by an average number of connections and by the number of months in the period. These revenue bases and connection populations are shown below:
•Postpaid ARPU consists of total postpaid service revenues and postpaid connections.
•Prepaid ARPU consists of total prepaid service revenues and prepaid connections.
3Average Revenue Per Account (ARPA) - metric is calculated by dividing total postpaid service revenues by the average number of postpaid accounts and by the number of months in the period.
4Handset upgrade rate calculated as total handset upgrade transactions divided by average postpaid handset connections.
5Churn rate represents the percentage of the connections that disconnect service each month. These rates represent the average monthly churn rate for each respective period.
6Market penetration is calculated by dividing the number of wireless connections at the end of the period by the total estimated population of consolidated operating markets.
7Represents instances where a third-party wireless carrier rents or leases space on a company-owned tower.
8Average number of tenants that lease space on company-owned towers, measured on a per-tower basis.
4

TDS Telecom
Summary Operating Data (Unaudited)
As of or for the Quarter Ended3/31/202512/31/20249/30/20246/30/20243/31/2024
Residential connections     
Broadband
Incumbent Fiber119,700 118,500 115,900 113,100 109,800 
Incumbent Copper112,600 116,900 125,600 130,600 135,300 
Expansion Fiber133,200 126,100 115,300 107,800 100,400 
Cable190,200 191,500 195,900 198,500 202,400 
Total Broadband1
555,800 553,000 552,700 550,000 547,900 
Video118,700 121,000 122,100 124,800 128,800 
Voice256,900 261,600 271,300 275,600 279,400 
Total Residential connections931,400 935,600 946,100 950,400 956,100 
Commercial connections187,600 190,500 197,200 201,500 206,200 
Total connections2
1,119,000 1,126,100 1,143,300 1,152,000 1,162,200 
Total residential broadband net adds2,800 7,900 2,700 2,100 6,400 
Residential fiber churn3
0.9 %1.0 %1.3 %1.2 %1.0 %
Total residential broadband churn1.3 %1.4 %1.7 %1.7 %1.4 %
Residential revenue per connection4
$65.67 $64.72 $65.41 $65.26 $64.58 
Capital expenditures (millions)$59 $82 $78 $78 $87 
Numbers may not foot due to rounding.
1Total residential broadband connections increased by 8,100 during the three months ended March 31, 2024, due primarily to net additions of 6,400 as well as certain other adjustments.
2Q1 2024 total connections include 18,100 subscribers that were part of the 2024 divestitures.
3Residential fiber churn represents the percentage of incumbent and expansion fiber connections that disconnected service each month. These rates represent the average monthly churn rate for each respective period.
4Total residential revenue per connection is calculated by dividing total residential revenue by the average number of residential connections and by the number of months in the period.
5

Telephone and Data Systems, Inc.
Consolidated Statement of Operations Highlights
(Unaudited)
 Three Months Ended
March 31,
 202520242025
vs. 2024
(Dollars and shares in millions, except per share amounts)   
Operating revenues   
UScellular$891 $950 (6)%
TDS Telecom257 266 (3)%
All Other1
6 46 (87)%
 1,154 1,262 (9)%
Operating expenses   
UScellular   
Expenses excluding depreciation, amortization and accretion686 729 (6)%
Depreciation, amortization and accretion163 165 (2)%
(Gain) loss on asset disposals, net2 6 (65)%
(Gain) loss on license sales and exchanges, net(1)(1)18 %
 850 899 (5)%
TDS Telecom   
Expenses excluding depreciation, amortization and accretion184 173 6 %
Depreciation, amortization and accretion71 65 10 %
(Gain) loss on asset disposals, net2 2 (9)%
 258 240 7 %
All Other1
   
Expenses excluding depreciation and amortization13 53 (76)%
Depreciation and amortization— 4 (74)%
(Gain) loss on asset disposals, net— (1)N/M
(Gain) loss on sale of business and other exit costs, net(1)— N/M
 11 56 (77)%
Total operating expenses1,119 1,195 (6)%
Operating income (loss)   
UScellular41 51 (19)%
TDS Telecom— 27 N/M
All Other1
(6)(11)38 %
 35 67 (49)%
Other income (expense)
Equity in earnings of unconsolidated entities37 42 (14)%
Interest and dividend income6 5 28 %
Interest expense(61)(57)(3)%
Other, net3 1 N/M
Total other expense(15)(9)(46)%
Income before income taxes20 58 (65)%
Income tax expense8 20 (57)%
Net income12 38 (69)%
Less: Net income attributable to noncontrolling interests, net of tax5 9 (49)%
Net income attributable to TDS shareholders7 29 (74)%
TDS Preferred Share dividends17 17 —
Net income (loss) attributable to TDS common shareholders$(10)$12 N/M
Basic weighted average shares outstanding115 113 1 %
Basic earnings (loss) per share attributable to TDS common shareholders$(0.09)$0.11 N/M
Diluted weighted average shares outstanding115 117 (2)%
Diluted earnings (loss) per share attributable to TDS common shareholders$(0.09)$0.10 N/M
N/M - Percentage change not meaningful.
Numbers may not foot due to rounding.
1Consists of TDS corporate, intercompany eliminations and all other business operations not included in the UScellular and TDS Telecom segments.
6

Telephone and Data Systems, Inc.
Consolidated Statement of Cash Flows
(Unaudited)
Three Months Ended
March 31,
 20252024
(Dollars in millions)  
Cash flows from operating activities
Net income$12 $38 
Add (deduct) adjustments to reconcile net income to net cash flows from operating activities
Depreciation, amortization and accretion234 234 
Bad debts expense21 31 
Stock-based compensation expense28 14 
Deferred income taxes, net7 14 
Equity in earnings of unconsolidated entities(37)(42)
Distributions from unconsolidated entities11 22 
(Gain) loss on asset disposals, net4 7 
(Gain) loss on sale of business and other exit costs, net(1)— 
(Gain) loss on license sales and exchanges, net(1)(1)
Other operating activities2 1 
Changes in assets and liabilities from operations
Accounts receivable1 27 
Equipment installment plans receivable38 2 
Inventory— 24 
Accounts payable(17)(35)
Customer deposits and deferred revenues(7)6 
Accrued taxes1 4 
Accrued interest9 9 
Other assets and liabilities(119)(131)
Net cash provided by operating activities186 224 
   
Cash flows from investing activities
Cash paid for additions to property, plant and equipment(129)(235)
Cash paid for licenses(2)(11)
Cash received from divestitures8 — 
Net cash used in investing activities(123)(246)
   
Cash flows from financing activities
Issuance of long-term debt— 140 
Repayment of long-term debt(8)(57)
Tax payments, net of cash receipts, for TDS stock-based compensation awards(6)(1)
Tax payments, net of cash receipts, for UScellular stock-based compensation awards(7)— 
Repurchase of UScellular Common Shares(21)— 
Dividends paid to TDS shareholders(22)(39)
Distributions to noncontrolling interests(2)(2)
Cash paid for software license agreements(10)(9)
Other financing activities— (2)
Net cash provided by (used in) financing activities(76)30 
Net increase (decrease) in cash, cash equivalents and restricted cash(13)8 
Cash, cash equivalents and restricted cash
Beginning of period384 270 
End of period$371 $278 
7

Telephone and Data Systems, Inc.
Consolidated Balance Sheet Highlights
(Unaudited)
ASSETS
 
 March 31, 2025December 31, 2024
(Dollars in millions)  
Current assets  
Cash and cash equivalents$348 $364 
Accounts receivable, net1,004 1,041 
Inventory, net182 183 
Prepaid expenses98 72 
Income taxes receivable3 2 
Other current assets38 33 
Total current assets1,673 1,695 
Assets held for sale14 — 
Licenses4,590 4,588 
Other intangible assets, net154 161 
Investments in unconsolidated entities527 500 
Property, plant and equipment, net
4,871 4,994 
Operating lease right-of-use assets978 982 
Other assets and deferred charges729 762 
Total assets$13,536 $13,682 
8

Telephone and Data Systems, Inc.
Consolidated Balance Sheet Highlights
(Unaudited)
LIABILITIES AND EQUITY
 March 31, 2025December 31, 2024
(Dollars in millions, except per share amounts)  
Current liabilities  
Current portion of long-term debt$35 $31 
Accounts payable247 280 
Customer deposits and deferred revenues276 283 
Accrued interest25 16 
Accrued taxes41 39 
Accrued compensation62 150 
Short-term operating lease liabilities151 153 
Other current liabilities123 138 
Total current liabilities960 1,090 
Liabilities held for sale5 — 
Deferred liabilities and credits  
Deferred income tax liability, net987 981 
Long-term operating lease liabilities867 867 
Other deferred liabilities and credits807 809 
Long-term debt, net4,042 4,051 
Noncontrolling interests with redemption features16 16 
Equity  
TDS shareholders' equity  
Series A Common and Common Shares, par value $0.01 per share1 1 
Capital in excess of par value2,581 2,574 
Preferred Shares, par value $0.01 per share1,074 1,074 
Treasury shares, at cost(414)(425)
Accumulated other comprehensive income18 18 
Retained earnings1,818 1,849 
Total TDS shareholders' equity5,078 5,091 
Noncontrolling interests774 777 
Total equity5,852 5,868 
Total liabilities and equity$13,536 $13,682 
9

Balance Sheet Highlights
(Unaudited)
 March 31, 2025
 TDSTDS CorporateIntercompanyTDS
 UScellularTelecom& OtherEliminationsConsolidated
(Dollars in millions)     
Cash and cash equivalents$182 $124 $167 $(125)$348 
Licenses and other intangible assets$4,581 $157 $6 $— $4,744 
Investment in unconsolidated entities479 4 51 (7)527 
 $5,060 $161 $57 $(7)$5,271 
Property, plant and equipment, net$2,394 $2,459 $18 $— $4,871 
Long-term debt, net:
Current portion$26 $— $9 $— $35 
Non-current portion2,829 3 1,210 — 4,042 
 $2,855 $3 $1,219 $— $4,077 
10

United States Cellular Corporation
Segment Results
(Unaudited)

Three Months Ended
March 31,
UScellular202520242025
vs. 2024
(Dollars in millions)
Operating Revenues
Wireless$864 $925 (7)%
Towers61 58 5 %
Intra-company eliminations(34)(33)(3)%
Total operating revenues891 950 (6)%
Operating expenses
Wireless844 896 (6)%
Towers40 36 11 %
Intra-company eliminations(34)(33)(3)%
Total operating expenses850 899 (5)%
Operating income$41 $51 (19)%
Adjusted OIBDA (Non-GAAP)$215 $228 (6)%
Adjusted EBITDA (Non-GAAP)$254 $272 (7)%
Capital expenditures$53 $131 (60)%


11

United States Cellular Corporation
Segment Results
(Unaudited)
Three Months Ended
March 31,
UScellular Wireless202520242025
vs. 2024
(Dollars in millions)
Retail service$660 $678 (3)%
Other54 51 8 %
Service revenues714 729 (2)%
Equipment sales150 196 (24)%
Total operating revenues864 925 (7)%
System operations (excluding Depreciation, amortization and accretion reported below)191 197 (3)%
Cost of equipment sold178 216 (18)%
Selling, general and administrative322 324 —
Depreciation, amortization and accretion152 154 (2)%
(Gain) loss on asset disposals, net2 6 (73)%
(Gain) loss on license sales and exchanges, net(1)(1)18 %
Total operating expenses844 896 (6)%
Operating income$20 $29 (30)%
Adjusted OIBDA (Non-GAAP)$182 $195 (7)%
Adjusted EBITDA (Non-GAAP)$182 $195 (7)%
Capital expenditures$51 $127 (60)%

Three Months Ended
March 31,
UScellular Towers202520242025
vs. 2024
(Dollars in millions)
Third-party revenues$27 $25 6 %
Intra-company revenues34 33 3 %
Total tower revenues61 58 5 %
System operations (excluding Depreciation, amortization and accretion reported below)19 18 4 %
Selling, general and administrative10 7 33 %
Depreciation, amortization and accretion11 11 5 %
Total operating expenses40 36 11 %
Operating income$21 $22 (5)%
Adjusted OIBDA (Non-GAAP)$33 $33 (1)%
Adjusted EBITDA (Non-GAAP)$33 $33 (1)%
Capital expenditures$2 $4 (42)%

12

TDS Telecom Highlights
(Unaudited)
 Three Months Ended
March 31,
 202520242025
vs. 2024
(Dollars in millions)   
Operating revenues   
Residential
Incumbent$86 $90 (5)%
Expansion34 26 33 %
Cable64 70 (8)%
Total residential184 185 (1)%
Commercial35 37 (6)%
Wholesale39 44 (12)%
Total service revenues257 266 (3)%
Equipment revenues— — 23 %
Total operating revenues257 266 (3)%
Cost of services101 98 3 %
Cost of equipment and products— — 47 %
Selling, general and administrative expenses83 75 10 %
Depreciation, amortization and accretion71 65 10 %
(Gain) loss on asset disposals, net2 2 (9)%
Total operating expenses258 240 7 %
 
Operating income$— $27 N/M
N/M - Percentage change not meaningful
Numbers may not foot due to rounding.
13

Telephone and Data Systems, Inc.
Financial Measures
(Unaudited)
Free Cash Flow
 Three Months Ended
March 31,
TDS CONSOLIDATED20252024
(Dollars in millions)  
Cash flows from operating activities (GAAP)$186 $224 
Cash paid for additions to property, plant and equipment(129)(235)
Cash paid for software license agreements(10)(9)
Free cash flow (Non-GAAP)1
$47 $(20)
 Three Months Ended
March 31,
UScellular20252024
(Dollars in millions)
Cash flows from operating activities (GAAP)$160 $203 
Cash paid for additions to property, plant and equipment(72)(133)
Cash paid for software license agreements(9)(9)
Free cash flow (Non-GAAP)1
$79 $61 
1Free cash flow is a non-GAAP financial measure which TDS believes may be useful to investors and other users of its financial information in evaluating liquidity, specifically, the amount of net cash generated by business operations after deducting Cash paid for additions to property, plant and equipment and Cash paid for software license agreements.
14

Telephone and Data Systems, Inc.
EBITDA, Adjusted EBITDA and Adjusted OIBDA
(Unaudited)

The following table reconciles EBITDA, Adjusted EBITDA and Adjusted OIBDA to the corresponding GAAP measures, Net income and Income before income taxes. Income and expense items below Operating income are not provided at the individual segment level for UScellular Wireless and UScellular Towers; therefore, the reconciliations begin with EBITDA and the most directly comparable GAAP measure is Operating income rather than Net income at the segment level.
Three Months Ended
March 31,
UScellular20252024
(Dollars in millions)
Net income (GAAP)$20 $24 
Add back or deduct:
Income tax expense20 28 
Income before income taxes (GAAP)40 52 
Add back:
Interest expense40 43 
Depreciation, amortization and accretion expense163 165 
EBITDA (Non-GAAP)243 260 
Add back or deduct:
Expenses related to strategic alternatives review10 7 
(Gain) loss on asset disposals, net2 6 
(Gain) loss on license sales and exchanges, net(1)(1)
Adjusted EBITDA (Non-GAAP)254 272 
Deduct:
Equity in earnings of unconsolidated entities36 42 
Interest and dividend income3 2 
Adjusted OIBDA (Non-GAAP)$215 $228 

Three Months Ended
March 31,
UScellular Wireless20252024
(Dollars in millions)
EBITDA (Non-GAAP)$172 $183 
Add back or deduct:
Expenses related to strategic alternatives review9 7 
(Gain) loss on asset disposals, net2 6 
(Gain) loss on license sales and exchanges, net(1)(1)
Adjusted EBITDA and Adjusted OIBDA (Non-GAAP)182 195 
Deduct:
Depreciation, amortization and accretion152 154 
Expenses related to strategic alternatives review9 7 
(Gain) loss on asset disposals, net2 6 
(Gain) loss on license sales and exchanges, net(1)(1)
Operating income (GAAP)$20 $29 

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Three Months Ended
March 31,
UScellular Towers20252024
(Dollars in millions)
EBITDA (Non-GAAP)$32 $33 
Add back or deduct:
Expenses related to strategic alternatives review1 — 
Adjusted EBITDA and Adjusted OIBDA (Non-GAAP)33 33 
Deduct:
Depreciation, amortization and accretion11 11 
Expenses related to strategic alternatives review1 — 
Operating income (GAAP)$21 $22 

Three Months Ended
March 31,
TDS Telecom20252024
(Dollars in millions)
Net income (GAAP)$4 $24 
Add back or deduct:
Income tax expense1 7 
Income before income taxes (GAAP)5 31 
Add back:
Interest expense(1)(2)
Depreciation, amortization and accretion expense71 65 
EBITDA (Non-GAAP)75 93 
Add back or deduct:
(Gain) loss on asset disposals, net2 2 
Adjusted EBITDA (Non-GAAP)76 95 
Deduct:
Interest and dividend income1 1 
Other, net2 1 
Adjusted OIBDA (Non-GAAP)$73 $93 

Numbers may not foot due to rounding.
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