Online wireless retailer and mobile virtual network operator InPhonic Inc. reported that its MVNO activities, which currently include its Liberty Wireless and Viva Liberty offerings, generated $9.6 million in service revenues during the first quarter of this year. The result was a significant drop from the $12.5 million in revenues the MVNO services delivered during the first quarter of 2004.
MVNO expenses also dropped year-over-year from $7.7 million during the first quarter of 2004 to $6.2 million this year.
InPhonic did not release subscriber information for its MVNO offerings, which currently operate on Sprint Corp.’s wireless network.
While its MVNO revenues declined, InPhonic’s wireless activation revenues more than doubled from $25.6 million last year to $65.5 million this year. The strong growth propelled the company’s total quarterly revenues up from $40.1 million in 2004 to $76.6 million this year.
InPhonic’s net losses during the first quarter also increased slightly from $6.9 million in 2004 to $7 million this year. The company’s net losses per diluted share did, however, improve from 60 cents per share last year to 21 cents per share this year due to the company increasing its total outstanding shares from 11.5 million at the end of the first quarter of 2004 to 32.9 million this year.
InPhonic’s stock was trading down more than 25 percent early Thursday at $15.67 per share.
