Continued demand for Internet and data services helped boost tw telecom's Q4 and 09 revenues and subsequently beat Wall Street estimates.
Despite some customer losses--mainly SMBs that closed due to the current recession--the competitive service provider reported that Q4 earnings were $11.1 million on revenues of $307.9 million, an increase over the $899,000 it reported in Q4 08. Likewise, tw telecom's 2009 revenues were $27.6 million on revenue of $1.3 billion.
Overall, tw telecom's Q4 showed a number of gains and losses. On the positive side, tw telecom reported $13.9 million in enterprise service revenue, while data and Internet offerings rose 16 percent, a factor it attributes to its roll out of Ethernet and IP-based services. On the loss side, tw telecom saw a $1.9 million decline in wholesale services while voice sales remained flat and network service revenue declined five percent.
As it heads into the current year, tw telecom plans to focus its attention on enhancing its earnings potential with better customer service and new offerings. "In 2010, we plan to further invest in growth initiatives including equipping our networks with new capabilities, launching new products and services, and implementing tools to better serve enterprise customers," CEO and President Larissa Herda said in a written statement. "All of these initiatives are focused on capturing greater market share and driving revenue growth."
For more:
- Denver Business Journal has this article
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