Posted 5/10/2012 08:30 am
Updated 3 years ago
Windstream Corp. of Little Rock on Thursday reports that first-quarter net income more than doubled, reaching $65 million as the company realized boosts to broadband revenue after its 2011 purchase of Paetec Holding Corp.
Windstream said first-quarter earnings of $65 million or 11 cents per share, up from $29 million or 6 per share in the first-quarte of 2011. Total revenue and sales hit $1.5 billion, up from about 1 billion last year.
"Our business and consumer channels delivered a strong performance during the first quarter," Jeff Gardner, president and CEO of Windstream, said in a news release.
"The business channel has gained significant traction with the acquisition of Paetec, and our combined team is having tremendous success driving new sales opportunities. Our consumer business also had a very solid quarter driven by growth in broadband service revenues and continued success with our bundling strategy."
The telecommunications company, which held its annual meeting in Little Rock on Wednesday, completed the $2.3 billion purchase of Paetec in December. The deal expanded Windstream's geographic footprint and added to its fiber network, allowing the company to build out its broadband business.
Launched as a spinoff of wireless company Alltel, Windstream began primarily as a wireline telecommunication company. But it has rapidly expanded into more profitable, growing businesses, mainly broadband services for consumers and business.
On Thursday, the company noted that business and consumer broadband revenues represented about 68 percent of its total revenue and sales in the quarter.