Lumen Technologies

Lumen Technologies, Inc. delivered a mixed result in the quarter, with revenues below anticipations but surpassed the Wall Street consensus regarding earnings. The total revenue was $3.661 billion, decreased 2.1% sequentially. The second quarter’s adjusted EBITDA had a 33.6% margin and totaled $1.229 billion. In the quarter, free cash flow was negative $896 million, including $938 million in taxes paid in connection with their two divestitures from the previous year. Revenue fell 1.8% sequentially in the enterprise channel. Lumen’s exposure to legacy voice revenue is less than 11% of enterprise channel revenue and is down roughly 50 basis points sequentially as the team progresses in this area. Revenue for the public sector fell 3.7% sequentially. Revenue from Nurture products and Harvest goods fell. This quarter’s significant breakthrough includes launching Lumen’s flagship capability on its Network as a Service platform. With Lumen’s NaaS offering, their customers can finally realize their networking fantasies of instantly launching any port with any service.