Vonage Holdings Corp. (NYSE: VG) reported that first quarter revenue rose by 15% to $225 million. The company also generated an adjusted operating income of $8 million, while its net loss narrowed to $9 million or $0.06 per Share. The estimates from First Call were -$0.07 EPS and $223.17 million in revenues.
After the earning, we aren’t really concerned with the actual results today. The reason is because the company is in financing talks over its debt that is probably going to be put back to the company late this year.
In a separate announcement, recently-bought Covad announced a pact where Vonage will offer its customers with a broadband solution using Covad’s nationwide DSL network.
As far as individual metrics, Vonage’s monthly revenues per line rose by $0.51 to $27.87. Its churn rate rose to 3.3% in Q4. It added 30,000 net subscriber lines to end with 2.6 million lines.
Vonage shares are up about 6% pre-market at $2.01 in pre-market trading.
Jon C. Ogg
May 8, 2008
Jon Ogg is a producer and editor of the "10 Stocks Under $10" weekly newsletter from 247WallSt.com.