EDINBUG, Va.—The fourth quarter of 2005 was kind to Shenandoah Telecommunications Co., which outpaced analysts’ expectations as it brought in total revenues of $39.2 million, a jump of more than 21 percent over the same quarter in 2004.
Shentel, which provides service in the Mid-Atlantic and Southeast and is a Sprint Nextel Corp. CDMA affiliate, had delayed the release of its financial results by about two weeks after discovering errors in how the company accounted for its tower leases. Shentel had expected the adjustment to have a minor, positive effect on the company’s balance sheet.
Shentel’s net income in the fourth quarter was boosted by improved performance of its wireless business and lower costs in reporting and accounting compliance, the company reported. Shentel’s net income for the quarter was $2.8 million, up from $1.9 million in the same period of 2004.
Shentel released its year-end customer numbers in January. The operator said it added about 6,500 net retail customers in the fourth quarter, up 43 percent from the same quarter in 2004. Shentel also added nearly 4,900 wholesale customers and closed out 2005 with about 123,000 retail customers and roughly 38,700 wholesale customers on its wireless network.
Shentel’s stock rose about one percent in early trading following release of the results.
