Towerstream slides in Q3

Towerstream Corp.’s stock slipped a little more than 4% to $2.50 per share after the company reported a net loss of $1.75 million for the third quarter. Revenues for the quarter just barely surpassed the overall loss the company suffered. The fixed WiMAX service provider brought in $1.76 million, marking an almost 8% jump from the year-ago period, yet still lost nearly that much overall.
In the year-ago period, the company only posted a net loss of $121,088. “Our net loss was primarily attributable to recurring costs associated with transitioning from a private to public company, as well as (sales) and (network) expansion initiatives,” the company wrote in its earnings report. “We believe that net losses will continue as we make required additions to our sales, engineering and administrative personnel and network in order to increase revenues and subscriber growth.”
At the end of the quarter, Towerstream had cash equivalents totaling $44.7 million, long-term debt of $3.5 million and shareholder equity totaling $47.2 million, the company reported.
“We continue to stay on course for building our sales force and anticipate surpassing the 100 sales representative mark before the end of this year,” President and CEO Jeff Thompson said. “Our metrics continue to hold and we are confident that the capital raised earlier this year will be sufficient to enable us to build out the top 20 tier-one markets in the United States on schedule.”