Good day, everyone, and welcome to ATN International Second Quarter 2025 Earnings Conference Call and webcast. [Operator Instructions] Please note, this conference is being recorded. Now it's my pleasure to turn the call over to the VP Corporate Treasurer, Michele Satrowsky. Please proceed.

Thank you, operator, and good morning, everyone. I'm joined today by Brad Martin, ATN's Chief Executive Officer; and Carlos Doglioli, ATN's Chief Financial Officer. This morning, we'll be reviewing our second quarter 2025 results and reaffirming our 2025 outlook. As a reminder, we announced our 2025 second quarter results yesterday afternoon after the market closed. Investors can find the earnings release and conference call slide presentation on our Investor Relations website. Our earnings release and the presentation contain certain forward-looking statements concerning our current expectations, objectives and underlying assumptions regarding our future operations. These statements are subject to risks and uncertainties that could cause actual results to differ from those described. Also, in an effort to provide useful information to investors, our comments today include non-GAAP financial measures. For details on these measures and reconciliations to comparable GAAP measures and for further information regarding the factors that may affect our future operating results, please refer to our earnings release on our website at ir.atn.com or the 8-K filing provided to the SEC. Now I'll turn the call over to Brad.

Good morning, and thank you for joining us today. Let me begin by recognizing our dedicated team across ATN for their unwavering focus on execution and continued progress in advancing our long-term strategic priorities. Our Q2 results were in line with our expectations and reflect the steps we're taking to optimize our cost structure. As expected, revenue declined 1% year-over-year, primarily due to the wind down of subsidy programs. While adjusted EBITDA decreased 6%, net cash from operations rose 2% to approximately $60 million. Across the business, our focus on simplification, operational stability and disciplined capital allocation is driving stronger cash generation. Consistent with our commitment to delivering sustainable returns to shareholders, I'm pleased to highlight that our Board of Directors approved a 15% increase in our quarterly dividend, raising it up to $0.275 per share. This reflects the confidence we have in the underlying strength and resilience of our cash flow. It also reinforces our commitment to delivering sustainable value to shareholders while maintaining a disciplined approach to capital allocation. The strategic investments we made continue to deliver returns. In the second quarter, we expanded the number of broadband homes passed by high-speed data services by 8% and grew our high-speed subscriber base by 1% year-over-year. We remain firmly committed to our long-term strategy, capitalizing on our fiber, fiber-fed and broader network infrastructure to deliver essential high- value services in underserved markets. This vision is underpinned by a solid and strengthening financial foundation. Let me take a moment to review the performance of our two business segments in the second quarter. In our International segment, we continue to make steady progress on our strategic priorities, enhancing mobile networks, improving subscriber and service quality and driving operational efficiency. These efforts are translating into tangible results. Adjusted EBITDA for the segment…

Thank you, Brad. Good morning, everyone, and thanks for joining us. Today, I'll walk through our second quarter financial results and outlook for the back half of 2025. Our second quarter results were consistent with our expectations and reflect disciplined execution across our operations. While year-over-year revenue comparisons continue to reflect headwinds on a quarter-over-quarter basis, we're seeing improved top line momentum and benefit from our focus on operational efficiency, cost control and capital discipline. With that, let's now review our P&L results. Total company revenue for the quarter was $181.3 million, down 1% year-over-year. As expected, this decline reflects the wind down of certain subsidy programs and the decommissioning of legacy mobile consumer services, partially offset by an increase in construction revenue during the quarter. Operating income for the second quarter decreased to $0.2 million versus $24.3 million in the year ago period. The year ago quarter included a $15.9 million gain from the disposition of assets in one of our International markets. The quarter's results reflect ongoing cost containment efforts, leading to a reduction in selling, general and administrative costs. These savings were partially offset by $4.9 million in restructuring and reorganization charges. Net loss for the second quarter was $7 million or $0.56 per share. This compares with the prior year's net income of $9 million or $0.50 per share as the factors influencing operating income similarly impacted the net loss for the period. Adjusted EBITDA was $45.8 million, down 6% from the prior year, mainly due to the impact of lower U.S. Telecom revenues. Turning now to segment performance. Beginning with our International segment, Q2 revenues were essentially flat at approximately $95 million as growth in fiber and fiber-fed services was offset by a decline in legacy technology services and lower mobility equipment sales. During the…

Thanks, Carlos. Before we open the call for questions, I want to leave you with a clear takeaway. We are focused on disciplined execution grounded in financial responsibility and confident in the strategic path we've chosen. This is a year of transition. We're beginning to see encouraging momentum. We're generating stronger cash flow, advancing our grant-funded build and digitally empowering people and communities so they can connect to the world and prosper. Our long-term objective remains unchanged: to build a stronger, more efficient and more resilient ATN for the future. With that, operator, we'd like to open it up for questions.

[Operator Instructions] It comes from Rick Prentiss with Raymond James.

A couple of questions on my side. First is what was the impact of the BBB bill on you guys? Anything on cash taxes, anything on other aspects of the bill?

Rick, this is Carlos. Thanks for the question. At this point, it hasn't had an impact. Given our jurisdictions and tax positions, we're not expecting an impact in the short term. We're looking into it, but that's the current read. We like some of the elements, obviously, the 100% plus depreciation and some of those other elements. But at this point, we're not expecting any short-term impact.

Okay. Related question is, there obviously is a fiber race going on in the United States. other companies have talked about the bill driving increased pacing of fiber deployment. How is that going to impact you all from a standpoint of either competition or access to labor and materials as fiber kind of becomes a heated up spot?

Yes, Rick, I mean, those certainly -- those policies to help -- really help expedite permitting are going to be very helpful for us. So where we operate and build, we build a lot of Bureau of Land Management land. So these can be very slow permitting and regulatory process. So we do expect that's going to help speed up pace. So we are looking forward to that. But that's still to be seen.

And as far as access to labor supply, materials, all that, there's starting to be a little bit of buzz in the community about it's going to tighten up stuff if everybody starts trying to race ahead.

And we're not seeing that, Rick, we're seeing people coming to us quite regularly looking for work. So, no, we've not seen that yet. That could potentially be a constraint as things move forward. Right now, we're seeing that there's enough capacity to fill our needs.

Okay. Last one for me. It's kind of a bizarre question, but since you do have fiber, have you ever looked into the possibility of could the fiber portion of the business be converted into a REIT type of structure, real estate investment trust for taxation purposes. Still trying to figure out, obviously, towers are very REITable, data centers, but we see fiber as another digital infrastructure category that some people are trying to ponder it. Is it something that could be turned into a REIT structure?

So to this point, Rick, that's not something we've looked at. So there are -- as you mentioned, there are certainly opportunities in towers and beyond. And there are other mechanisms out there, asset-backed securitization that telecom is taking advantage of. But from a REIT perspective, not yet.

We have a question from the line of Greg Burns with Sidoti.

In your U.S. markets, do you have line of sight on when we might see the inflection of growth in the fiber-led newer services finally offsetting the declines you're seeing in those legacy services and getting back to growth in that part of the business?

Yes. So certainly, our -- as we mentioned, we're certainly in a transition stage in our U.S. market, something we're watching very closely. We are optimistic with the progress we've made with our fiber builds, and we are seeing demand from the carriers starting to increase. So we are seeing a decent pipeline. We are also seeing some better execution within our sales organizations in areas like rural health care. So again, we are expecting to see some improvements here in the second half of the year. We typically do see a better second half with federal funding and state funding cycles and the consumer Q4 strength. So we are expecting to continue to see improvements. But again, the pipeline is building and getting through in Carlos' prepared remarks, I referenced the year-to-date CapEx of $42 million in addition to the $40 million -- almost $46 million of reimbursable, that's all U.S. So there's quite a bit of activity, quite a bit of capital intensity happening in the U.S. market. So we have not guided beyond the '25 window, and we'll be guiding for '26 on our Q4 earnings call. But ultimately, we are hopeful and we are seeing the demand that, that is going to start to lift, and we're working diligently to deliver that.

All right. And then internationally on the mobile side, I know the focus is on growing those higher-valued postpaid subs, but it looks like the competitive pressures have eased somewhat maybe a little bit on the prepaid side. Has there been any changes in the competitive dynamics? Or is the market just kind of stabilized to a level where you're not going to see the types of declines we saw there over the last year or so?

Yes. Look, I still think there's competitive pressures, Greg. So I do think the initial new entrant in our largest market, that was disruptive last year, even in late '23. We think that has normalized to a degree. Again, our focus has been let's get the quality of our subscriber base moving, and that's true in all markets. So data consumption, data plan expansion, which we're seeing, contract expansion, which we're seeing in our more mature markets. So that has been the thesis. We're happy with that thesis, but the competitive pressures are still there. And what we're seeing is the impact really on prepaid. That's really where the competitors come into these markets. But we're happy with where we're going. We are really in a #1, #2 position in most of these markets. So it's really a defense play going forward. So that's why it's important that we see these good trends in data consumption. Again, we're happy with that progress.

[Operator Instructions] as I see no further questions in the queue, I will turn the call back to Brad Martin for final comments.

Great. Thank you, operator. Thank you all for joining us today. We appreciate your continued engagement as we execute on our strategy. We look forward to sharing more progress in the quarters ahead. Have a great day.

Thank you. And with that, ladies and gentlemen, we conclude our program today. Thank you for joining. You may now disconnect.