DATA Communications Management Corp. Reports Q3 2026 Financial Results
Key Highlights
- ➤Q3 revenue $114.0 million, up 8.2% year over year
- ➤Adjusted EBITDA $15.9 million, up 29.0%; margin reached 13.9%
- ➤Gross profit $30.2 million, up 22.7%; margin expanded 310 basis points
- ➤Net loss $2.9 million included $2.9 million in debt-related non-recurring charges
- ➤Octacom generated more than $1.5 million of net new business opportunities
- ➤DCM expects organic revenue growth to continue in Q4 2026
Expert Statements
Richard Kellam, President and CEO of DATA Communications Management Corp.
“Our core business returned to organic growth, augmented by the initial contributions from Octacom. Key financial operating metrics including revenues, gross profit, Adjusted EBITDA and total cash generated from operating activities expanded on a gross dollar basis. Gross profit and Adjusted EBITDA as percentages of revenues demonstrated strong growth, highlighting our improved operating performance and the accretive nature of the Octacom acquisition”
Richard Kellam, President and CEO of DATA Communications Management Corp.
“Our return to organic revenue growth reflects the considerable work our team has undertaken to accelerate new business development, expand our product and service offerings, invest in digital innovation, and grow our customer base. These efforts have resulted in a higher-margin business mix”
Richard Kellam, President and CEO of DATA Communications Management Corp.
“We exited the quarter with positive momentum and expect organic revenue growth to continue in Q4. This progress is particularly encouraging given some of the challenging market conditions we navigated throughout 2025 and early 2026, and positions DCM well as we look ahead to 2027”
Richard Kellam, President and CEO of DATA Communications Management Corp.
“We are encouraged by the strong early commercial momentum of the Octacom business, which when combined with solid operating results for the quarter, marks an important step forward in strengthening our financial performance and advancing our strategy for sustainable, profitable growth”
THIRD QUARTER 2026 SUMMARY FINANCIAL RESULTS * Revenues of $114.0 million, up 8.2%, or $8.6 million vs. $105.4 million in Q3 2025 * Year-over-year revenue growth includes organic revenue growth(1) of 2.9% and contribution of Octacom Limited's ("Octacom") financial results since July 8, 2026 * Gross profit grew at a faster pace than revenue, up 22.7% vs Q3 2025, while gross profit as a percentage of revenues increased 310 basis points to 26.5% vs. 23.4% in Q3 2025 * Adjusted EBITDA(1) of $15.9 million and 13.9% of revenues(1), up 29.0% vs. $12.3 million and 11.7% of revenues in Q3 2025 * Total cash generated from operating activities increased to $27.3 million for the first nine months of 2026, compared to $16.8 million in the same period last year * Net loss of $2.9 million, vs. net income of $1.1 million in Q3 2025 and Adjusted net income(1) increased to $1.3 million compared to $0.1 million in Q3 2025. Net loss includes $2.9 million in net non-recurring charges associated with the modification and extinguishment of debt * Declared quarterly dividend of $0.025 on each common share
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