Qwest Revenue Is Light
Qwest
(Q)
swung to a fourth-quarter loss as expenses rose and revenue fell more than expected.
The Denver telephone company lost $307 million, or 17 cents a share, on revenue of $3.50 billion in the latest quarter, compared with earnings of $2.74 billion, or $1.61 a share, on revenue of $3.71 billion a year ago. The year-ago quarter included a $1.7 billion gain.
Qwest said it had earnings from continuing operations of $282 million in the latest quarter; it didn't give a per-share equivalent. Analysts surveyed by Thomson One Analytics were forecasting a loss of 8 cents a share on revenue of $3.57 billion in the latest quarter.
"Growth of long-distance and business and consumer data revenue in the quarter partially offset the continued competitive pressures in local voice and wireless services, as well as the de-emphasis of certain non-core services," Qwest said in a release.
By segment compared with the year-ago quarter, Qwest said local voice service revenue fell 11.2% to $1.67 billion, long-distance revenue rose 4.7% to $494 million, access revenue fell 4.4% to $237 million, data and Internet revenue was unchanged at $948 million, and wireless revenue fell 4.9% to $137 million.
The company said total debt was cut $5 billion since a year ago through various debt and equity exchanges and cash repurchases.
Qwest shares last traded on the Island ECN at $4.47, down 10 cents from their close Wednesday.