Leap reported results. Sub growth looks good, need to go through the financials to determine the rest.
biz.yahoo.com
Leap Reports Results for First Fiscal Quarter of 2002
~ Network Operations Costs for Cricket Service Falls to Less Than One Cent Per Minute Delivered ~
SAN DIEGO, April 24 /PRNewswire-FirstCall/ -- Leap Wireless International, Inc. (Nasdaq: LWIN - news), an innovator of wireless communications services, today reported results for the first quarter of fiscal year 2002. Leap reported net additions of approximately 268,000, ending the quarter with 1.387 million Cricket customers, up approximately 24 percent from the 1.119 million customers reported as of Dec. 31, 2001. Leap offers Cricket, its unlimited local wireless service, in 40 markets in 20 states stretching from New York to California.
(Photo: newscom.com )
``On the heels of our rapid expansion in 2001, our first quarter results and the actions we have taken signal another strong year ahead for Leap,'' said Harvey P. White, Leap's chairman and CEO. ``We are pleased with our business performance during the quarter, from top-line growth in revenue and customers to improvement in our bottom line. In March, we worked with our vendors to amend our financing agreements to better align them with the expanded scope of our business. We remain pleased with both our continued customer growth and our further reduction in our non-selling cash costs. We expect to be EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) positive on a consolidated basis for the fourth quarter of 2002.''
``We are focused on continuing to deliver operational excellence in markets from coast to coast,'' said Susan G. Swenson, Leap's president and chief operating officer. ``We are committed to driving fixed and variable costs out of every aspect of our business, from network operations to general and administrative and selling and marketing expenses. At the same time, our team is dedicated to creating a quality experience for our growing Cricket customer base. Because of Cricket's predictability and simplicity, more than three- quarters of our customers are completely new to wireless or returning to the category after at least a year. Our Cricket Comfortable Wireless service continues to attract the growth segments of the wireless industry.''
Cricket Operational Highlights:
Operational highlights from the first fiscal quarter of 2002 include:
Overall non-selling cash costs per user (CCU) for Leap's consolidated
business was approximately $26, down $9 from the previous quarter.
Billed average revenue per user per month (ARPU) rose to $38.40, up from the approximately $38 reported for the fourth quarter of 2001.
Leap launched Cricket service in Buffalo, N.Y., completing the launch of all markets in Leap's 40 Market Plan, and bringing the total potential customers covered by Cricket networks to 25.4 million. Throughout this release and until further announcement, Leap will report its licensed and covered POPs based on 2002 population estimates as reported by Claritas Inc.
Overall cost per gross customer addition (CPGA), including pre-launch marketing expenses incurred during the launch of the Buffalo market, was approximately $246 for the quarter, consistent with CPGA reported for the previous quarter.
Aggregate average minutes of use across all of Leap's markets was 1,230 minutes per month.
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