On Feb. 27, Citizens Communications
- While fourth-quarter net income dropped 17%, Citizens shareholders can take some solace in the company's $0.20 EPS beating analysts' estimates of $0.16.
- In year-over-year fourth-quarter figures, high-speed Internet subscriptions increased 23.6% while average monthly revenue per access line rose 2.5%.
- Total revenue decreased in the period relative to 2005, due to declines in access service revenue (which include subsidy payments received from federal and state agencies) and local, long distance, and equipment sales.
- Excluding the impact of the pending acquisition of Commonwealth Telephone Enterprises, the company expects to bring in $425 million to $450 million in free cash flow in 2007.
- In Motley Fool CAPS, 143 players expect Citizens to outperform the S&P 500.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q4 2006 |
Q4 2005 |
Change |
|
|---|---|---|---|
|
Sales |
$504.4 |
$517.4 |
(2.5%) |
|
Net Profit* |
$63.9 |
$76.8 |
(16.8%) |
|
EPS |
$0.20 |
$0.23 |
(13.0%) |
|
Diluted Shares |
320.8 |
331.2 |
(3.1%) |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q4 2006 |
Q4 2005 |
Change* |
|
|---|---|---|---|
|
Operating Margin |
31.1% |
32.0% |
(0.8) |
|
Net Margin |
12.7% |
13.9% |
(1.2) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$1,041.1 |
$263.7 |
294.7% |
|
Accounts Rec. |
$231.9 |
$243.3 |
(4.7%) |
|
Liabilities |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Accounts Payable |
$386.4 |
$367.8 |
5.0% |
|
Long-Term Debt |
$4,460.8 |
$3,995.1 |
11.7% |
Learn the ways of the balance sheet.
Cash Flow Highlights
|
2006 |
2005 |
Change |
|
|---|---|---|---|
|
Cash From Ops. |
$829.2 |
$819.2 |
1.2% |
|
Capital Expenditures |
$268.8 |
$259.4 |
3.6% |
|
Free Cash Flow |
$560.4 |
$559.7 |
0.1% |
Find out why Fools always follow the money.
Performance Metrics
|
Q4 2006 |
Q4 2005 |
Change |
|
|---|---|---|---|
|
Access Lines |
2,126,574 |
2,237,539 |
(5.0%) |
|
High Speed Internet Subscribers |
393,184 |
318,096 |
23.6% |
|
Average Revenue per Access Line* |
$78.49 |
$76.61 |
2.5% |
Find out what these performance metrics are all about.
Related Foolishness:
Citizens Communications is a Motley Fool Income Investor recommendation. Want to get paid to invest? Analyst James Early and other investors like you can show you how with a free trial to Income Investor.
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.
