EchoStar Communications reported Wednesday that its fourth-quarter profit surged 90 percent, as the satellite company benefited from onetime gains and subscriber gains. However, the company missed Wall Street’s revenue estimate for the quarter.
The Englewood, Colo.-based company reported earnings of $133 million, up from a year-earlier profit of $70 million. Revenue advanced nearly 13 percent to $2.18 billion, falling shy of Wall Street’s consensus of $2.19 billion.
For the year, EchoStar’s profit hit $1.51 billion, versus $215 million a year ago. Revenue for the year jumped 18 percent to $8.43 billion, compared with a year-earlier $7.15 billion.
The company attributed the year-over-year profit growth to a noncash tax benefit of around $593 million and a $134 million gain tied to the settlement of insurance claims related to a satellite failure.
EchoStar said it added about 330,000 net new subscribers in the quarter, driving the company’s total subscriber base to just over 12 million.
EchoStar’s Q4 Profit Up 90 Percent
Mar 15, 2006 • Post A Comment