Shares of Frontier Communications Corp. stock was up more than 9 percent at midday Tuesday after the company’s fourth-quarter profit topped analysts’ expectations.
The telecommunications company added nearly 28,000 broadband customers in the quarter and it posted earnings per share, excluding special items, of 7 cents a share, up a penny a share from a year ago.
Frontier reported a profit attributable to common shareholders of $67.8 million or 7 cents a share, compared with $24.9 million profit, or 2 cents a share, a year ago. Adjusted net income was $72.2 million, up from $57 million, the company reported after the market closed Monday.
Analysts had expected earnings of 6 cents a share.
The company logged revenue in the quarter of $1.18 billion compared with $1.23 billion in the fourth quarter of 2012.
"We are very pleased with the consistent positive results we delivered every quarter in 2013," said Maggie Wilderotter, chairman and CEO, in a statement. "Customer retention, average revenue per customer and broadband market share all increased in 2013, and we implemented network improvements and cost efficiencies to sustain this positive operating trend in 2014."
In December the company had 270,800 business customers and roughly 2.8 million residential customers, losing some 18,700 customers in the quarter.
"We expanded Frontier’s capabilities and services over the course of 2013, we had terrific broadband subscriber net additions and gained share in our business segment,” said Daniel McCarthy, president and chief operating officer, in a statement. “Our momentum has continued into 2014, and we have substantial runway for continued broadband penetration gains."
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