Little Rock-based Windstream reported Thursday a surge in fourth-quarter and full-year profit even as total revenue remained flat.
For the fourth quarter, Windstream reported net income of $118 million, or 20 cents per share, up 1,080 percent from a profit of $10 million, or 2 cents per share, in the same quarter of 2012. Revenue, flat from the previous fourth quarter, came to $1.5 billion, about 73 percent of which was derived from total business and consumer broadband customers, the company said in a statement.
In the past year, Windstream has been battling shrinking income and a smaller residential customer base. The company provides landline telephone and Internet service to mostly rural customers. Last Friday, the telecommunications company said it would cut 400 jobs companywide, including 67 in Arkansas.
The quarterly results, reported under generally accepted accounting principles, included a non-cash benefit of 13 cents per share related to an actuarial gain from the company’s pension plan, and about 2 cents in after-tax merger, restructuring and other expenses, the firm said in the statement. Without those items, adjusted earnings per share would have been 9 cents for the fourth quarter, the company said.
Windstream also reported full-year fiscal 2013 net income of $241 million, or 40 cents per share, up 43.5 percent from profit of $168 million for fiscal 2012. Revenue for the year was $6 billion, down slightly from $6.1 billion the previous year.
"2013 was a solid year for Windstream. Our business team finished the year strong, generating sequential revenue growth again, and our consumer team continued to grow broadband revenue and deliver steady results, all of which better position us to achieve our goals and deliver value to shareholders," said President and CEO Jeff Gardner said in a statement.
The company held a conference call at 7:30 a.m. Thursday to discuss its earnings results. A replay of the call will be available starting at 10:30 a.m. at (855) 859-2056, using the ID number 45208847.