Hawaiian Telcom Reports $26.2M Profit in 2011
By Sonia Isotov
Hawaiian Telcom Holdco, Inc. generated fourth quarter and full year 2011 net income of $6.5 million and $26.2 million, respectively.
Revenue was $98.9 million for the fourth quarter and $395.2 million for the year. Business revenue increased 2% over 2010 as a result of continued growth in IP-based voice, data and managed services, and an increase in equipment sales.
Wholesale revenue increased 1.8% for the full year 2011 driven by the fiber-to-the-tower initiative that supports wireless carriers’ need for greater bandwidth. Wholesale revenue growth is being driven by fiber-to-the-tower build growth as seen with the completion of 43 fiber builds in the fourth quarter. This increases the total number of sites installed in 2011 to 184. The company expects to build another 62 towers in 2012.
“2011 was an important year in which we took key steps to improve our growth profile and continue our transformation into a next-generation communications company,” said Eric K. Yeaman, Hawaiian Telcom’s president and chief executive officer.
“We delivered solid financial results in the fourth quarter and full year 2011 by growing business and wholesale revenues year-over-year, successfully executing our initial rollout of HTTV in the consumer market, improving Adjusted EBITDA margins over 200 basis points for the year and delivering full year positive free cash flow for the first time.”