Net income attributable to ATN’s stockholders was $4.1 million, or $0.27 per diluted share, inclusive of $2.4 million or $0.16 per diluted share in a non-cash impairment charge noted above. Fourth quarter 2011 net income attributable to ATN’s stockholders increased 26% from the $3.3 million, or $0.21 per diluted share, earned in the fourth quarter of 2010. Excluding the effect of the non-cash impairment charge, net income attributable to ATN’s stockholders would have doubled as compared to the fourth quarter of 2010.
Commenting on full year 2011 results, Mr. Prior said, “This was a year of significant achievement for ATN. We completed the transition of the customer base and retail operations we acquired in the Alltel asset transaction to our own networks and operating platforms, and we considerably expanded our international wireless business. Despite the negative impact of certain transition initiatives and related overlapping expenses, we were able to report year-over-year increases in Adjusted EBITDA and operating cash flow of 24% and 31%, respectively. In 2012, we will focus both on improving operating efficiencies across our organization and pursuing additional opportunities to build value.”
Fourth Quarter 2011 Operating Highlights
U.S. Wireless Service RevenuesU.S. wireless service revenues include voice and data service revenues from the Company’s prepaid and postpaid retail operations as well as its wholesale roaming operations. Total service revenues from the U.S. wireless businesses amounted to $134.4 million in the fourth quarter of 2011, compared to $150.2 million in the fourth quarter of 2010. U.S. retail wireless service revenues were $86.0 million for the fourth quarter of 2011, a decrease of 16% from the $102.8 million reported in the 2010 fourth quarter. Retail service revenue declined as a result of the net subscriber attrition that the Company experienced during the year. At the end of the fourth quarter of 2011, the Company had approximately 582,000 U.S. retail subscribers, of which approximately 458,000 were postpaid subscribers and approximately 124,000 were prepaid subscribers. Additional operating data on our U.S. retail wireless business can be found in Table 4 of this release. U.S. wholesale wireless revenues were $48.4 million, an increase of 2% over the $47.4 million reported in the fourth quarter of 2010. Data revenues accounted for 46% of wholesale wireless revenues for the quarter, compared to 34% a year earlier. Data volume growth has largely offset the impact of the previously-reported revenue losses in certain areas of the Company’s legacy “roam only” markets and rate reductions for voice and data. International Wireless Revenues International wireless revenues include retail and wholesale voice and data wireless revenues from international operations in Bermuda and the Caribbean, including the U.S. Virgin Islands. Total revenues from international wireless were $19.5 million in the fourth quarter of 2011, an increase of $6.0 million, or 44%, over the $13.5 million reported in the fourth quarter of 2010. This increase was primarily due to the Company’s merger of its Bermuda operations with one of its competitors on May 2, 2011 and growth in the number of wireless subscribers in the U.S. Virgin Islands.