Windstream reports fourth-quarter, full-year 2017 results
Release date: Feb. 22, 2018
LITTLE ROCK, Ark. - Windstream Holdings, Inc. (Nasdaq: WIN), a leading provider of advanced network communications and technology solutions, today reported fourth-quarter and full-year 2017 results.
Completed EarthLink and Broadview acquisitions;
Launched SD-WAN Concierge and OfficeSuite across entire company footprint;
Expanded Enterprise contribution margin percentage - up 200 bps sequentially and 160 bps year-over year;
Exited 2017 at highest adjusted OIBDAR margin level since pre-EarthLink acquisition;
Achieved 12th consecutive quarter of Consumer ARPU growth;
Significantly improved maturity profile of balance sheet; and
Ended year with synergy plans on schedule and ramping into 2018.
“2017 was a very productive year for Windstream. We delivered improved financial and operating results for almost all metrics across the business and positioned the company for growth,” said Tony Thomas, president and chief executive officer. “We continued to see growing demand for our SD-WAN service and strategic enterprise products, as well as increased customer adoption of faster broadband speeds as a result of our significant network investments.
“For 2018 we are focused on advancing our industry-leading Enterprise and Wholesale service capabilities and launching faster, more cost-effective broadband deployment techniques. We will further simplify our business and transform customer-facing and internal tools and drive revenue improvements through enhanced sales and improved customer retention. We also will continue our work to optimize our balance sheet,” Thomas said.
Results under GAAP
For the fourth quarter, total revenues and sales were $1.50 billion and total service revenues were $1.48 billion compared to $1.31 billion and $1.29 billion respectively year-over-year. During the quarter, the company recorded a $1.8 billion non-cash goodwill impairment charge related to its ILEC Consumer & Small Business and Wholesale segments, resulting in an operating loss of $1.8 billion compared to operating income of $74 million in the same period a year ago. The company reported a net loss of $1.84 billion or a loss of $10.26 per share compared to a net loss of $87 million or a loss of 94-cents per share a year ago.
For 2017, total revenues and sales were $5.85 billion and total service revenues were $5.76 billion compared to $5.39 billion and $5.28 billion respectively year-over-year. The company reported an operating loss of $1.6 billion compared to operating income of $515 million in the same period a year ago. The company reported a net loss of $2.1 billion or a loss of $12.52 per share compared to a net loss of $384 million or a loss of $4.11 per share a year ago.
Adjusted Results of Operations
Adjusted revenues and sales were $1.50 billion in the fourth quarter, a decline of 3 percent from the same period a year ago, and $6.0 billion for the year, a decline of 6 percent year-over-year.
Adjusted service revenues were $1.48 billion in the fourth quarter, a decrease of 3 percent year-over-year, and $5.91 billion for the year, a decline of 6 percent year-over-year.
Adjusted OIBDAR was $521 million in the fourth quarter, a decrease of 1 percent year-over-year, and $2.01 billion for the year, a decline of 6 percent from the same period a year ago.
The following information was filed by Windstream Holdings, Inc. (WIN) on Thursday, February 22, 2018 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.