CCOI
A mixed bag, not a total faceplant
Cogent Communications kicked off 2026 with a pretty classic “some good, some meh” quarter. Service revenue came in at $239.2 million for Q1, basically a slight step down from $240.5 million in Q4 2025. Not exactly the kind of number that makes you want to high-five the nearest trader.
The bright spot: wavelength is finally waking up
The real story was wavelength revenue, which climbed 12.3% sequentially to $13.6 million. Year over year, that segment was up a chunky 90.8% from Q1 2025. That’s the kind of growth that makes investors lean forward a little, because it suggests demand is building in a part of the business that can actually move the needle.
Why you should care
For a connectivity company like Cogent, the mix matters. Flat-to-down core revenue is the sort of thing that keeps a stock in the penalty box, but a fast-growing wavelength business can eventually turn into the plot twist. If that momentum keeps up, it could help offset the sluggish bits and give the market a reason to look past the boring parts.
Big picture: Cogent’s quarter says the business isn’t firing on all cylinders yet, but one engine is definitely revving louder than before.