On Feb. 15, broadband telephone service provider Vonage (NYSE:VG) released its fourth-quarter earnings for the period ended Dec. 31.
- Net sales increased by 90.7% to $181.5 million on growth in the company's subscriber base and an increase in average monthly revenue per line.
- The company's number of subscriber lines jumped 75.3%, but average monthly churn inched up to 2.3% from 1.9%.
- Management expects an adjusted operating loss in the range of $150 million to $170 million for fiscal 2007 and "... adjusted operating profits as early as the first quarter 2008." Yikes.
- The great majority of Motley Fool CAPS players think VG is a stinker.
(Figures in millions, except per-share data and subscriber lines)
Income Statement Highlights
|
Q4 2006 |
Q4 2005 |
Change | |
|---|---|---|---|
|
Sales |
$181.5 |
$95.2 |
90.7% |
|
Net Profit |
($64.6) |
($71.7) |
N/A |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q4 2006 |
Q4 2005 |
Change* | |
|---|---|---|---|
|
Gross Margin |
64.5% |
58.3% |
6.2 |
|
Operating Margin |
(37.1%) |
(75.3%) |
38.2 |
|
Net Margin |
(35.6%) |
(76.0%) |
40.4 |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$499.7 |
$266.4 |
87.6% |
|
Liabilities |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Long-Term Debt |
$277.7 |
$270.4 |
2.7% |
Learn the ways of the balance sheet.
Operating Highlights
|
Q4 2006 |
Q4 2005 |
Change | |
|---|---|---|---|
|
Subscriber Lines |
2,224,111 |
1,269,038 |
75.3% |
|
Avg. Monthly Revenue Per Line |
$28.25 |
$27.22 |
3.8% |
|
Avg. Monthly Churn |
2.3% |
1.9% |
0.4%* |
Related Companies:
- Cogent Communications (NASDAQ:CCOI)
- Acme Packet (NASDAQ:APKT)
- Global Crossing (NASDAQ:GLBC)
- Commonwealth Telephone Enterprises (NASDAQ:CTCO)
- iPCS (NASDAQ:IPCS)
Related Foolishness:
Commonwealth Telephone is an Income Investor pick.
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.
