Vonage Holdings Corp. Reports Fourth Quarter and Full Year 2011 Results
Company Reports Record High Annual Adjusted EBITDA1 and Net Income,
Fourth Quarter 2011
Net Income of $25 Million or $0.11 per Share, Excluding Adjustments
Adjusted EBITDA of $40 Million
Revenue of $216 Million
Full Year 2011
Net Income More than Doubles to $96 Million or $0.43 per Share,
Adjusted EBITDA of $168 Million
Free Cash Flow3 of $108 Million
Revenue of $870 Million
Holmdel, NJ, February 15, 2012 - Vonage Holdings Corp. (NYSE: VG) a leading provider of communications services connecting people through broadband devices worldwide, today announced results for the fourth quarter and full year ended December 31, 2011.
Strong Financial Platform Enables Investment for Growth
Marc Lefar, Vonage Chief Executive Officer, said, "We are pleased to report record high annual net income, excluding adjustments and adjusted EBITDA along with free cash flow in excess of $100 million for the second consecutive year. For the quarter, we maintained adjusted EBITDA above $40 million, the fifth consecutive quarter, while net income, excluding adjustments grew 68 percent over the prior year.
“Now that we have stabilized our core business and are generating meaningful cash flow, we will accelerate our investment in strategic growth initiatives during 2012. While reducing adjusted EBITDA in the short term, we believe this investment will fund growth in mobile and geographic expansion. Even with this increased level of funding, we expect to further strengthen our cash position during the year.
“The time is right to increase our investment in organizational capacity and marketing. Early response to last week's launch of Vonage Mobile has exceeded all of our expectations. The potential to rapidly build a global calling community with many millions of users is not unrealistic. And, we plan to invest in international opportunities as our partnerships and service offerings are brought to market.”
The following information was filed by Vonage Holdings Corp (VG) on Wednesday, February 15, 2012 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.