SwingTrade Member Forum

[Zephyr]

KNOL - good numbers out should continue move up tomorrow... Knology Reports Record Revenue and EBITDA in Second Quarter 2005

August 01, 2005 18:07:01 (ET)

WEST POINT, Ga., Aug 01, 2005 (BUSINESS WIRE) -- Highlights of the second quarter:

-- Revenue increased to $57.3 million, the highest in the company's history.

-- EBITDA, as adjusted, increased to $12.0 million, representing a 22% increase from the previous quarter and an all-time high for the company.

-- Continued strong net connection growth with the achievement of 7,927 additions, including increases in video, voice and data net connections. The 7,927 additions represent the highest second quarter net connections since 2002.

-- Average monthly connection churn of 2.9% during the second quarter of 2005 representing an improvement of 50 basis points compared to churn of 3.4 % in the same period one year ago.

-- Significantly improved the company's liquidity position with the completion of a $305 million debt refinance transaction (including an unused $25 million revolver) and the closing of $9.2 million in private equity funding.

Knology, Inc. (KNOL, Trade) today reported financial and operating results for the second quarter ended June 30, 2005. Total revenue for the second quarter of $57.3 million compared to revenue of $55.0 million for the previous quarter and $52.7 million for the same period one year ago. The second quarter revenue represented the highest quarterly revenue in the history of the Company. Knology reported EBITDA, as adjusted of $12.0 million for the second quarter of 2005, also representing an all-time high for the company. EBITDA, as adjusted was $9.8 million in the previous quarter and $9.1 million in the second quarter of 2004.

Knology reported a net loss attributable to common stockholders for the second quarter of 2005 of $15.6 million or $0.66 per share, compared with a net loss of $16.9 million, or $0.71 per share for the previous quarter and $18.7 million, or $0.79 per share for the second quarter of 2004.

Total connections increased 7,927 for the second quarter of 2005 to 414,341 as of quarter end. The increase in connections included growth in all three service offerings. The company added 3,851 data connections, 3,774 voice connections and 302 video connections during the quarter. Average monthly connection churn of 2.9% during the second quarter of 2005 represented an improvement of 50 basis points compared to churn of 3.4 % in the same period one year ago.