Friday, Cogent Communications Group, Inc. (CCOI), reported a narrower loss for the second quarter from last year, reflecting higher revenues due to an increase in customer connections.
Net loss for the second quarter narrowed to $4.45 million or $0.10 per share from $7.63 million or $0.17 per share in the previous year.
On average, 10 analysts polled by Thomson Reuters expected the company to report a loss of $0.15 per share. Analysts' estimates typically exclude special items.
Adjusted earnings before interest, taxes, depreciation and amortization for the second quarter was $16.7 million, compared to $16.6 million last year.
Service revenue for the quarter increased 7.7% to $57.99 million from $53.86 million last year.
Ten analysts had a consensus revenue estimate of $56.81 million for the quarter.
On-net revenue was $46.5 million for the second quarter, an increase of 5.1% over the previous year. Off-net revenue was $10.6 million, an increase of 24.9% from the prior year. Non-core revenue declined to $1.0 million from $1.2 million a year ago.
Total customer connections increased to 20,428 as of June 30, 2009 from 16,181 as of June 30, 2008. On-net customer connections increased to 15,988 from 12,502 and Off-net customer connections increased to 3,291 from 2,994 during the same periods. Non-core customer connections increased 1,149 from 685.
For the six-month period, net loss narrowed to $12.61 million or $0.29 from $19.21 million or $0.42 per share in the previous year. Service revenue for the period increased to $113.07 million from $105.97 million a year ago.
CCOI is currently trading at $10.71, up 1.70 or 18.87% on a volume of 518.87 shares on the Nasdaq.
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