Financial Data and Key Metrics Changes - Tucows reported a 7% year-over-year growth in top-line revenue for Q3 2025, reaching $98.6 million [4][17] - Gross profit increased by 9% year-over-year to $24.2 million, while adjusted EBITDA surged 53% to $13.3 million for the quarter [4][17] - Year-to-date adjusted EBITDA totaled $39.5 million, positioning the company well to meet its full-year guidance of $47 million [4][20] Business Line Data and Key Metrics Changes - Tucows Domains experienced a 5% revenue growth year-over-year, with adjusted EBITDA at $12.1 million, also up 5% from the previous year [5][19] - WaveLow's revenue grew by nearly 18% year-over-year to $11.9 million, with adjusted EBITDA increasing by 25% to $4.3 million [10][19] - Ting's revenue reached $17 million, an 11% increase year-over-year, with adjusted EBITDA losses improving to $880,000 from $5.1 million in Q3 2024 [13][19] Market Data and Key Metrics Changes - The wholesale channel within Tucows Domains saw a 5% revenue increase to $58 million, driven by strong reseller demand and higher-margin value-added services [5][19] - The retail segment posted a modest revenue increase of 2% year-over-year to $9.8 million, with gross margin remaining flat [6][19] - WaveLow noted a seasonal slowdown in Q3 due to the delivery of professional services, but anticipates a reduction in historical seasonality moving forward [10][12] Company Strategy and Development Direction - The company is formally evaluating strategic paths for the Ting business, with plans to potentially sell it to focus on its domain and WaveLow businesses [22] - Tucows aims to streamline its asset base and pivot to a capital-light ISP model, particularly for Ting [18][22] - The management emphasizes disciplined capital allocation and the adoption of AI as key levers for future growth [21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued top-line growth and expanding adjusted EBITDA, despite challenges in the operating environment [21] - There is cautious sentiment in the telecom sector, with procurement cycles lengthening, but an increase in RFI and RFP activities is noted [12] - The company expects to maintain momentum in its core businesses while navigating the transition in Ting [22] Other Important Information - The company paid down an additional $2.5 million on its syndicated bank loan, bringing corporate net debt to $189.6 million [4] - A non-cash impairment of $10.9 million related to Ting's inventory and lease assets was recorded, which does not impact cash flow [18] - The company generated $8.5 million from divestitures in Q3, contributing to a total of $20.8 million year-to-date [15][20] Summary of Q&A Session Questions and Answers - Questions were invited via email to ir@tucows.com until November 13, with a recorded audio response and transcript to be posted on November 25 [1][27]