LVLT Earnings: Loss Narrows as Revenue Surges
Level three Communications, Inc. (NASDAQ:LVLT) reported a loss in the third quarter as its quarterly loss narrowed helped by rising revenue. Level three Communications, through its operating subsidiaries, is a facilities-based provider of a range of integrated communications services.
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Level three Communications, Inc. Earnings Cheat Sheet
Results: Loss narrowed to $166 million (loss of 76 cents per diluted share) from $207 million (loss of $1.75 per share) in the same quarter a year earlier.
Revenue: Rose 71.5% to $1.59 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Level three Communications, Inc. fell short of the mean analyst estimate of a loss of 21 cents per share. Analysts were expecting revenue of $1.6 billion.
Quoting Management: “We continue to see strong demand from enterprise customers,” said James Crowe, CEO of Level three. “Our local to global network reach and broad portfolio of services position us for continued growth.”
The company has fallen short of estimates for two consecutive quarters. In the second quarter, it missed expectations by 2 cents with a loss of 29 cents versus a mean estimate of a loss of 27 cents per share.
Looking Forward: For the past two months, analysts have become increasingly pessimistic about the results for the company next quarter. The average estimate for the fourth quarter is a loss of 10 cents per share, down from a loss of 9 cents sixty days ago. Down from a loss of $1.17 per share ninety days ago, the average estimate for the fiscal year is now a loss of $1.24.
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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
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