PR Newswire
CHICAGO, Nov. 4, 2016
CHICAGO, Nov. 4, 2016 /PRNewswire/ -- United States Cellular Corporation (NYSE:USM) reported total operating revenues of $1,010 million for the third quarter of 2016, versus $1,069 million for the same period one year ago. Net income attributable to U.S. Cellular shareholders and related diluted earnings per share were $17 million and $0.20, respectively, for the third quarter of 2016, compared to $64 million and $0.75, respectively, in the same period one year ago.
Note: In the third quarter of 2016, U.S. Cellular terminated a naming rights agreement and recognized a charge of $13 million while, in the third quarter of 2015, it discontinued its loyalty rewards program and recognized $58 million in service revenues.
"U.S. Cellular stayed focused on achieving its long-term objectives throughout the quarter, despite an extremely competitive climate. While the year over year comparison of financial results is impacted by a couple of items, when I look past those items, I am pleased with the Company's financial performance," said Kenneth R. Meyers, U.S. Cellular president and CEO. "We continue to differentiate ourselves through an unwavering commitment to an exceptional customer experience, including a high-quality network and outstanding customer service.
"Customer loyalty remained strong as evidenced by low churn, and we drove prepaid customer growth significantly as we introduced more attractive promotions. We are pleased to see continued smartphone adoption and connected device sales which strengthen the demand for data. We had the highest pre-sales in U.S. Cellular history with the iPhone 7 launch, although supply constraints limited sales in the quarter. We also saw greater adoption of equipment installment plans (EIP), which generated growth in equipment revenue and reduced loss on equipment.
"To meet the growing demand for data, we continue to enhance our high-quality network by investing in technology like Voice over LTE (VoLTE). We are pleased to report that our buildout is on schedule as our network team is working toward our first commercial deployment of VoLTE early next year."
2016 Estimated Results
U.S. Cellular's current estimates of full-year 2016 results, which are unchanged from the previous estimates, are shown below. Such estimates represent management's view as of November 4, 2016. Such forward‑looking statements should not be assumed to be current as of any future date. U.S. Cellular undertakes no duty to update such information, whether as a result of new information, future events or otherwise. There can be no assurance that final results will not differ materially from such estimated results.
| | 2016 Estimated Results | |||
| | Current | | Previous | |
(Dollars in millions) | | | | | |
Total operating revenues | $3,900-$4,100 | | Unchanged | ||
Operating cash flow (1) | $525-$650 | | Unchanged | ||
Adjusted EBITDA (1) | $725-$850 | | Unchanged | ||
Capital expenditures | Approx. $ | 500 | | Unchanged |
The following table provides a reconciliation to Operating Cash Flow and Adjusted EBITDA for 2016 estimated results, and actual results for the nine months ended September 30, 2016 and year ended December 31, 2015. In providing 2016 estimated results, U.S. Cellular has not completed the below reconciliation to net income because it does not provide guidance for income taxes. Although potentially significant, U.S. Cellular believes that the impact of income taxes cannot be reasonably predicted; therefore, U.S. Cellular is unable to provide such guidance.
| | | | | | | | Actual Results | |||
| | | | | 2016 Estimated | | | Nine Months Ended | | | Year Ended December 31, 2015* |
(Dollars in millions) | | | | | | | | | | ||
Net income (GAAP) | | | N/A | | $ | 54 | | $ | 247 | ||
Add back: | | | | | | | | | | ||
| Income tax expense (benefit) | | | N/A | | | 39 | | | 156 | |
Income (loss) before income taxes | | | | | | | | | | ||
| (GAAP) | | $ | (5)-120 | | $ | 93 | | $ | 404 | |
Add back: | | | | | | | | | | ||
| Interest expense | | | 110 | | | 84 | | | 86 | |
| | | | | | | | | | | |
| Depreciation, amortization and accretion expense | | | 615 | | | 462 | | | 606 | |
EBITDA (Non-GAAP) | | $ | 720-845 | | $ | 639 | | $ | 1,096 | ||
Add back (deduct): | | | | | | | | | | ||
| (Gain) loss on sale of business and other exit costs, net | | | – | | | – | | | (114) | |
| (Gain) loss on license sales and exchanges, net | | | (15) | | | (16) | | | (147) | |
| (Gain) loss on assets disposals, net | | | 20 | | | 16 | | | 16 | |
Adjusted EBITDA (Non-GAAP) (1) | | $ | 725-850 | | $ | 639 | | $ | 852 | ||
Deduct: | | | | | | | | | | ||
| Equity in earnings of unconsolidated entities | | | 140 | | | 110 | | | 140 | |
| Interest and dividend income | | | 60 | | | 41 | | | 37 | |
Operating cash flow (Non-GAAP) (1)(2) | | $ | 525-650 Werbung Mehr Nachrichten zur USCellular Corp Aktie kostenlos abonnieren
E-Mail-Adresse
Bitte überprüfe deine die E-Mail-Adresse.
Benachrichtigungen von ARIVA.DE (Mit der Bestellung akzeptierst du die Datenschutzhinweise) -1 Vielen Dank, dass du dich für unseren Newsletter angemeldet hast. Du erhältst in Kürze eine E-Mail mit einem Aktivierungslink. Hinweis: ARIVA.DE veröffentlicht in dieser Rubrik Analysen, Kolumnen und Nachrichten aus verschiedenen Quellen. Die ARIVA.DE AG ist nicht verantwortlich für Inhalte, die erkennbar von Dritten in den „News“-Bereich dieser Webseite eingestellt worden sind, und macht sich diese nicht zu Eigen. Diese Inhalte sind insbesondere durch eine entsprechende „von“-Kennzeichnung unterhalb der Artikelüberschrift und/oder durch den Link „Um den vollständigen Artikel zu lesen, klicken Sie bitte hier.“ erkennbar; verantwortlich für diese Inhalte ist allein der genannte Dritte. Andere Nutzer interessierten sich auch für folgende News |