’Tis an ill wind that blows 86% drop in profit

5 Feb 2009

Fixed line telephone and broadband operator Windstream Corp reported its fourth quarter 2008 profit fell 86% year-on-year to USD81.2 million from USD583.6 million on a loss related to the sale of a business, restructuring charges and comparison to year-ago results boosted by a one-time gain. Revenue fell 4.8% in the three months to 31 December 2008 to USD777.5 million from USD816.7 million twelve months previously. For the full year, profit stood at USD412.7 million, compared with USD917.1 million in 2007. Revenue slipped to USD3.17 billion from USD3.25 billion in 2007. The company also projected 2009 revenue of USD3.05 billion to USD3.17 billion.

Windstream said it added 16,000 new high speed internet customers during the quarter, bringing its total to about 979,000. The company said it added 23,000 digital TV subscribers during the latest quarter, increasing its total customer base to 274,000. Total access lines fell by about 48,000, or 5.2% to 3.04 million.

United States, Windstream Communications