NTELOS reports loss because of charges related to spinoff
- February 29, 2012
Waynesboro-based communications company NTELOS Holdings Corp. saw operating revenues climb in the fourth quarter, but the company reported losses for the quarter and 2011 because of charges related to a spinoff.
NTELOS separated its wireless and wireline operations on Oct. 31, with the wireline division becoming a publicly traded company, Waynesboro-based Lumos Network Corp.
The division of NTELOS resulted in an after-tax charge of $65.7 million in the fourth quarter, contributing to a loss of $60.5 million, or $2.91 per share for the fourth quarter. The company had net income of $8.7 million, or 41 cents a share, during the same period in 2010.
For 2011, the company recorded a loss of $23.7 million, or $1.14 per share, compared with net income of $44.8 million, or $2.17 a share, for 2010.
NTELOS’ operating revenue for the fourth quarter was $106 million, up 3 percent from the same period the year before, while operating revenue for the year totaled $422.6 million, up 4 percent from 2010.
Retail revenues, including the sales of subscriptions and wireless equipment, were $66.3 million for the fourth quarter, down from $71.5 million in the fourth quarter of 2010.
Sprint wholesale revenues for the fourth quarter rose nearly 30 percent to $37.9 million.
Adjusted EBITDA (earnings before interest taxes depreciation and amortization) was $34 million in the fourth quarter of 2011, unchanged from the same quarter in 2010.
The full-year EBITDA was $143 million in 2011, up slightly from $142.1 million in 2010.