ONEONTA, Ala., Nov. 03, 2016 (GLOBE NEWSWIRE) -- Otelco Inc. (NASDAQ:OTEL), a wireline telecommunications services provider in Alabama, Maine, Massachusetts, Missouri, New Hampshire, Vermont and West Virginia, and a provider of cloud hosting and managed services, today announced results for its third quarter ended September 30, 2016. Key highlights for Otelco include:
Total revenues of $17.4 million for third quarter 2016.
Operating income of $4.6 million for third quarter 2016.
Net income of $1.1 million for third quarter 2016.
Consolidated EBITDA (as defined below) of $6.7 million for third quarter 2016.
"The impact of the decline in revenue this quarter when compared with the same period in 2015 was once again offset by our network and operations cost improvements," said Rob Souza, President and Chief Executive Officer of Otelco. "Excluding the impact of $0.3 million of legal costs associated with an exploratory project, operating income declined by less than $0.1 million and Consolidated EBITDA declined by $0.2 million. Top line residential and access revenue remain under pressure, and our focus on both delivering continuous cost improvements and implementing top-line revenue enhancements, promotions, and, where appropriate, pricing actions, is having the desired impact. "Our marketing focus on speed and pricing options helped Internet revenue grow this quarter and year-to-date when compared with the same periods in 2015," continued Souza. "Last week, our CLEC was awarded a contract to serve the residents of a western Massachusetts community for Internet and voice services. We will deliver our services over the town-owned fiber optic facilities and expect to begin providing service to their over 600 residents during first quarter 2017. Sales and installations of our Hosted PBX product had their best quarter of the year as customers adopt Internet protocol technology and recognize the quality of our product when measured against other market offers.