Telephone and Data Systems (TDS) stock plummeted 9.06% in pre-market trading on Friday after reporting weaker-than-expected fourth-quarter results and providing a disappointing outlook for 2025.

The telecommunications services provider reported a fourth-quarter adjusted loss of $0.09 per share, which was narrower than the $0.11 loss in the year-ago quarter but missed analysts' expectations of a $0.38 loss. Revenue for the quarter came in at $1.24 billion, down from $1.31 billion a year earlier and slightly below the consensus estimate of $1.25 billion.

For the full year 2024, TDS reported a net loss of $28 million, or $0.85 per share, on revenue of $4.96 billion. The company's wireless subsidiary, UScellular, saw a 4% year-over-year decline in revenue to $3.67 billion, while its wireline business, TDS Telecom, experienced a 2% drop in revenue to $1.29 billion.

Looking ahead, TDS did not provide specific guidance for 2025 due to the pending sale of its wireless operations to T-Mobile. However, the company noted that it expects continued pressure on its financial performance, particularly in the wireline segment, due to ongoing industry challenges and competitive pressures.

Analysts expressed concerns about TDS's ability to navigate the rapidly changing telecommunications landscape and maintain profitability in the face of intense competition from larger players. The company's stock price has been on a downward trend in recent years, reflecting the challenges it faces in a highly saturated market.