ALEXANDRIA, Va.-USA Mobility Inc., the one-year-old messaging company formed by the merger of Arch Wireless Inc. and Metrocall Holdings Inc., reported third-quarter financials and declared a special dividend of $1.50 per share that will be payable next month.
Revenue for the third quarter came in at $152 million, compared with $109.4 million in revenues reported by Arch Wireless during the third quarter last year. The increase in revenues was due entirely to the inclusion of Metrocall revenue for the quarter, said the companies. Revenues fell 3.5 percent sequentially from $157.5 million.
Net income for the third quarter totaled $355,000, or 1 cent per share, compared with Arch’s net income of $6.7 million, or 34 cents per share, during the third quarter last year.
The company said units in service dropped by 232,000 during the quarter to about 5.1 million. One-way units in serviced totaled 4.7 million while two-way units came in at 454,000.
Average revenue per user was $9.04.
“We continue to see positive trends in the rate of unit and revenue decline,” said Vincent Kelly, president and chief executive officer of the company. “Unit losses of 232,000 during the third quarter compared to 272,000 during the second quarter, 347,000 in the first quarter and 388,000 in the fourth quarter of 2004 (reflecting the inclusion of Metrocall for the entire quarter). This is an improvement in the sequential rate of decline from 6.1 percent to 5.8 percent to 4.8 percent to 4.3 percent over the past four quarters.”
Kelly also highlighted key achievements in the company’s merger integration goals, including further consolidation of the company’s operating and management structure, repositioning of the company’s sales and marketing strategy, and progress in network rationalization.
