CENTURY TELEPHONE CONTINUES GROWTH IN THIRD QUARTER, SURPASSES HALF MILLION TELEPHONE ACCESS LINES.MONROE Monroe. 1 Industrial city (1990 pop. 54,909), seat of Ouachita parish, SE La., on the Ouachita River; founded c.1785, inc. as a city 1900. The center of the great Monroe Natural Gas Field (discovered 1915), it has important chemical plants, as well as , La.--(BUSINESS WIRE)--Oct. 24, 1996--Century Telephone Enterprises Inc. (NYSE NYSE See: New York Stock Exchange :CTL See control key. 1. CTL - Checkout Test language. 2. CTL - Compiler Target Language. 3. CTL - Computational Tree Logic ) announces operating results for third quarter 1996. -- Revenues rose 15.4% to $193,096,000 from $167,304,000 in third quarter 1995. -- Net income jumped 14.0% to $36,350,000 from $31,880,000 a year ago. -- Earnings per share increased 11.1% to $.60 from $.54 in the prior-year third quarter. -- Telephone revenues grew 6.9% and cellular service revenues grew 26.5% in third quarter 1996. -- Metro The code name for Microsoft's XPS document format. See XML Paper Specification. Access Networks Inc. (MAN) had 156 route miles The number of miles that are spanned by a telecommunications network. It does not include combined wire mileage due to multiple wires or fibers within a single cable or by overlapping segments, just the total geographic distance between cities or other terminal points. of fiber and 61 buildings lit at the end of the third quarter. -- Average monthly cellular service revenue per subscriber subscriber, n the person, usually the employee, who represents the family unit in relation to the prepayment plan. Other family members are dependents. Also called certificate holders or enrollees. was $66 during third quarter 1996. -- Net cellular additions were 12,110 for the quarter. -0-
Third Quarter Highlights
(Dollars, except per share data, and shares in thousands)
Quarter Ended Quarter Ended Percent
9/30/96 9/30/95 Change
Revenues $ 193,096 $ 167,304 15.4%
Net Income $ 36,350 $ 31,880 14.0%
Fully Diluted Earnings Per Share $ .60(1) $ .54 11.1%
Average Fully Diluted Shares
Outstanding 60,881 59,193 2.9%
EBITDA(2) $ 101,429 $ 91,136 11.3%
Telephone Revenues $ 113,785 $ 106,468 6.9%
Mobile Communications Revenues $ 66,694 $ 53,204 25.4%
Other Operations Revenues $ 12,617 $ 7,632 65.3%
Telephone Access Lines 500,647 477,802 4.8%(3)
Cellular Units in Majority-Owned
Markets 337,151 261,122 29.1%
(1) $.59 Excluding gain on sale of assets
(2) Earnings Before Interest, Taxes, Depreciation, Amortization
and gain on sales of assets
(3) 4.4% exclusive of the effect of acquisitions
"Century experienced strong revenue, cash flow and net income growth during the third quarter," Glen F. Post III, president and chief executive officer, said. "Year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. revenues have increased 17.5%, EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become 15.6% and net income 16.4%. While we are pleased with these results, we believe there are opportunities to improve our performance and enhance shareholder value by stimulating stim·u·late v. stim·u·lat·ed, stim·u·lat·ing, stim·u·lates v.tr. 1. To rouse to activity or heightened action, as by spurring or goading; excite. See Synonyms at provoke. 2. additional growth in our wireline and wireless businesses." Net income for the quarter increased 14.0% to $36,350,000 from $31,880,000. Fully diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of increased 11.1% to $.60 (of which $.01 was gain on sale of assets) from $.54, and consolidated con·sol·i·date v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates v.tr. 1. To unite into one system or whole; combine: revenues increased 15.4% to $193,096,000 from $167,304,000. Earnings before interest, taxes, depreciation, amortization and gain on sales of assets (EBITDA) grew to $101,429,000 from $91,136,000, an 11.3% increase. Telephone revenues grew 6.9% to $113,785,000 in 1996, compared with $106,468,000 in third quarter 1995. Telephone operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. increased 6.5% reaching $38,933,000 from $36,555,000, and operating cash flow Operating cash flow Earnings before depreciation minus taxes. Measures the cash generated from operations, not counting capital spending or working capital requirements. increased 6.4% to $62,712,000 from $58,932,000 a year ago. "Surpassing the half million access line mark is a significant milestone “Milemarker” redirects here. For the American indie rock band, see Milemarker (band). A milestone or kilometre sign is one of a series of numbered markers placed along a road at regular intervals, typically at the side of the road or in a median. for Century," Post said. "Century's access line growth rate consistently ranks among industry leaders." Mobile communications revenues grew 25.4% to $66,694,000 in 1996, compared with $53,204,000 in third quarter 1995. Mobile communications operating income increased 8.8%, reaching $20,153,000 from $18,517,000, and operating cash flow increased 15.8% to $28,914,000 from $24,970,000 a year ago. Century's cellular operations continue to produce high operating and cash flow margins by industry standards. Third quarter operating cash flow margin was 43.4% and operating income margin was 30.2%. Average monthly cellular service revenue per subscriber was $66 during third quarter 1996, only a 4.3% decrease from $69 a year ago. Century is currently participating in the Federal Communications Commission Federal Communications Commission (FCC), independent executive agency of the U.S. government established in 1934 to regulate interstate and foreign communications in the public interest. auctions for Personal Communications Services See PCS. (PCS (1) (Personal Communications Services) Refers to wireless services that emerged after the U.S. government auctioned commercial licenses in 1994 and 1995. This radio spectrum in the 1. ) licenses to acquire additional wireless spectrum for expansion purposes in and around its current market areas. "Although we expect Century's markets to experience less PCS competition and at a later date than in larger urban markets, we will proactively deploy digital service and PCS-type features in selected cellular markets beginning in November November: see month. ," Post said. Revenues from other operations grew 65.3% to $12,617,000 in 1996, compared with $7,632,000 in third quarter 1995. MAN, Century's competitive access provider, continued to expand its existing networks in Dallas Dallas, city (1990 pop. 1,006,877), seat of Dallas co., N Tex., on the Trinity River near the junction of its three forks; inc. 1871. The second largest Texas city, after Houston, and the eighth largest U.S. , Fort Worth, Arlington Arlington, county, United States Arlington, county (1990 pop. 170,936), N Va., across the Potomac River from Washington, D.C. Arlington is a residential and commercial suburb of Washington. , Austin Austin. 1 City (1990 pop. 21,907), seat of Mower co., SE Minn., on the Cedar River, near the Iowa line; inc. 1868. The commercial and industrial center of a rich farm region, it is noted as home to the Hormel meatpacking company, whose Spam Town museum , and San Antonio, Texas “San Antonio” redirects here. For other uses, see San Antonio (disambiguation). San Antonio is the second most populous city in Texas, the third most populous metropolitan area in Texas, and is the seventh most populous city in the United States. As of the 2006 U.S. , and experienced operating losses operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. of $1,657,000. In early October October: see month. , Century surpassed the 100,000 customer mark in its long distance operations. During the first nine months of 1996, net income increased 16.4% to $98,956,000 from $85,047,000. Fully diluted earnings per share increased 12.3% to $1.64 from $1.46 (a 15% increase excluding gain on sales of assets and the first quarter 1996 loss related to the withdrawal from the GO Communications PCS investment), and consolidated revenues increased 17.5% to $555,448,000 from $472,898,000. EBITDA grew to $286,922,000 from $248,146,000, a 15.6% increase. At Sept. 30, 1996, Century provided service to more than 500,000 telephone access lines and 337,000 cellular customers. Century Telephone Enterprises Inc., headquartered in Monroe, La., is a diversified diversified (di·verˑ·s telecommunications company See telecom company. . Century is the 16th largest local exchange telephone company based on access lines and the 15th largest cellular company based on population equivalents owned, in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . Visit Century's corporate website at www.centurytel CenturyTel, Inc. (NYSE: CTL) formerly named Century Telephone Enterprises, Inc. is a United States telecommunications firm, headquartered in Monroe, Louisiana. .com. -0-
CENTURY TELEPHONE ENTERPRISES INC.
FINANCIAL HIGHLIGHTS
THREE MONTHS ENDED SEPT. 30, 1996 AND 1995
(UNAUDITED)
In thousands, except per share amounts
1996 1995 Increase
(Decrease)
TELEPHONE OPERATIONS
Operating revenues
Local service $ 31,248 28,455 9.8%
Network access and long distance 68,433 65,596 4.3%
Other 14,104 12,417 13.6%
------- -------
113,785 106,468 6.9%
Operating expenses
Plant operations 22,885 21,801 5.0%
Customer operations 10,936 9,759 12.1%
Corporate and other 17,252 15,976 8.0%
Depreciation and amortization 23,779 22,377 6.3%
------- -------
74,852 69,913 7.1%
------- -------
Telephone operating income 38,933 36,555 6.5%
MOBILE COMMUNICATIONS OPERATIONS
Operating revenues
Cellular service 65,621 51,858 26.5%
Equipment 1,073 1,346 (20.3%)
------- -------
66,694 53,204 25.4%
Operating expenses
Cost of sales 3,167 2,083 52.0%
Other operating 10,279 6,831 50.5%
General, administrative and customer
service 13,529 10,072 34.3%
Sales and marketing 10,805 9,248 16.8%
Depreciation and amortization 8,761 6,453 35.8%
------- -------
46,541 34,687 34.2%
------- -------
Mobile Communications operating income 20,153 18,517 8.8%
OTHER OPERATIONS
Operating revenues 12,617 7,632 65.3%
Operating expenses
Cost of sales and other 11,930 5,710 108.9%
Depreciation and amortization 757 602 25.7%
------- -------
12,687 6,312 101.0%
-------- --------
Other operating income (loss) (70) 1,320 -
TOTAL OPERATING INCOME 59,016 56,392 4.7%
OTHER INCOME (EXPENSE)
Interest expense (11,023) (10,924) 0.9%
Income from unconsolidated cellular
entities 8,990 6,602 36.2%
Gain on sales of assets 815 - -
Minority interest (1,418) (2,440) (41.9%)
Other income and expense 1,544 1,150 34.3%
Income tax expense (21,574) (18,900) 14.1%
------- -------
NET INCOME $ 36,350 31,880 14.0%
EARNINGS PER SHARE
Primary $ 0.60 0.54 11.1%
Fully diluted $ 0.60 0.54 11.1%
SHARES OUTSTANDING
Primary 60,111 58,734 2.3%
Fully diluted 60,881 59,193 2.9%
DIVIDENDS PER COMMON SHARE $ 0.09 0.0825 9.1%
CENTURY TELEPHONE ENTERPRISES, INC.
FINANCIAL HIGHLIGHTS
NINE MONTHS ENDED SEPT. 30, 1996 AND 1995
(UNAUDITED)
In thousands, except per share amounts
Increase/
1996 1995 (Decrease)
TELEPHONE OPERATIONS
Operating revenues
Local service $ 90,542 $ 82,933 9.2%
Network access and long distance 205,134 189,752 8.1%
Other 40,143 36,610 9.7%
------- -------
335,819 309,295 8.6%
Operating expenses
Plant operations 67,582 64,475 4.8%
Customer operations 31,761 28,849 10.1%
Corporate and other 50,669 46,790 8.3%
Depreciation and amortization 70,459 63,256 11.4%
--------- ---------
220,471 203,370 8.4%
Telephone operating income 115,348 105,925 8.9%
MOBILE COMMUNICATIONS OPERATIONS
Operating revenues
Cellular service 182,218 139,101 31.0%
Equipment 3,068 4,129 (25.7%)
------- -------
185,286 143,230 29.4%
Operating expenses
Cost of sales 8,889 6,558 35.5%
Other operating 26,632 19,468 36.8%
General, administrative and
customer service 38,626 27,920 38.3%
Sales and marketing 31,012 25,672 20.8%
Depreciation and amortization 24,022 18,097 32.7%
--------- ---------
129,181 97,715 32.2%
Mobile Communications operating
income 56,105 45,515 23.3%
OTHER OPERATIONS
Operating revenues 34,343 20,373 68.6%
Operating expenses
Cost of sales and other 31,593 16,289 94.0%
Depreciation and amortization 1,975 1,489 32.6%
------ ------
33,568 17,778 88.8%
Other operating income 775 2,595 (70.1%)
TOTAL OPERATING INCOME 172,228 154,035 11.8%
OTHER INCOME (EXPENSE)
Interest expense (33,972) (32,771) 3.7%
Income from unconsolidated cellular
entities 21,584 14,700 46.8%
Gain on sales of assets 815 5,909 (86.2%)
Minority interest (5,947) (6,281) (5.3%)
Other income and expense 2,601 2,850 (8.7%)
Income tax expense (58,353) (53,395) 9.3%
NET INCOME $ 98,956 $ 85,047 16.4%
EARNINGS PER SHARE
Primary $ 1.65 $ 1.47 12.2%
Fully diluted $ 1.64 $ 1.46 12.3%
SHARES OUTSTANDING
Primary 59,853 57,790 3.6%
Fully diluted 60,593 58,812 3.0%
DIVIDENDS PER COMMON SHARE $ 0.27 $0.2475 9.1%
CENTURY TELEPHONE ENTERPRISES, INC.
CONSOLIDATED BALANCE SHEETS
SEPT. 30, 1996 AND DEC. 31, 1995
(UNAUDITED)
SEPT. 30, DEC. 31,
1996 1995
(in thousands)
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 15,478 $ 8,540
Other current assets 88,634 86,789
Total current assets 104,112 95,329
PROPERTY, PLANT AND EQUIPMENT
Telephone 1,273,380 1,207,347
Mobile Communications 243,947 191,594
Other 114,650 100,613
Accumulated depreciation (518,676) (451,746)
Net property, plant and equipment 1,113,301 1,047,808
INVESTMENTS AND OTHER ASSETS
Excess cost of net assets acquired 509,610 493,655
Other 233,762 225,629
Total investments and other assets 743,372 719,284
TOTAL ASSETS $ 1,960,785 $ 1,862,421
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Current maturities of long-term debt $ 21,288 $ 15,325
Other current liabilities 128,182 124,599
Total current liabilities 149,470 139,924
LONG-TERM DEBT 589,777 622,904
DEFERRED CREDITS AND OTHER LIABILITIES 222,071 211,169
STOCKHOLDERS' EQUITY 999,467 888,424
TOTAL LIABILITIES AND EQUITY $ 1,960,785 $ 1,862,421
CAPITAL EXPENDITURES
THREE MONTHS ENDED SEPT. 30, 1996 AND 1995
INC
1996 1995 (DEC)
(in thousands)
Telephone $ 30,493 $ 36,855 (17.3%)
Mobile Communications 15,375 3,560 331.9%
Corporate and other 8,703 4,698 85.2%
Total capital expenditures $ 54,571 $ 45,113 21.0%
CAPITAL EXPENDITURES
NINE MONTHS ENDED SEPT. 30, 1996 AND 1995
INC
1996 1995 (DEC)
(in thousands)
Telephone $ 79,952 $ 98,013 (18.4%)
Mobile Communications 56,783 29,989 89.3%
Corporate and other 17,157 16,289 5.3%
Total capital expenditures $ 153,892 $ 144,291 6.7%
CONTACT: Century Telephone Enterprises Inc., Monroe Jeffrey S. Glover Glov´er n. 1. One whose trade it is to make or sell gloves. Glover's suture a kind of stitch used in sewing up wounds, in which the thread is drawn alternately through each side from within outward. , 318/388-9648 jglover@iamerica.net |
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