Shenandoah Telecommunications Misses Q3 Earnings Expectations

Trending News 🌧️

Shenandoah Telecommunications ($NASDAQ:SHEN) missed Q3 earnings expectations, reporting a GAAP EPS of -$0.05. This missed the consensus estimate by $0.07. Shenandoah is a regional telecommunications provider serving customers in Virginia, West Virginia, and Maryland. The company offers a variety of services, including voice, data, and video.

This was due to higher costs for network access and maintenance, as well as marketing and advertising expenses. Looking ahead, Shenandoah expects to continue to invest in its network to support future growth. The company also plans to expand its product offerings and enter new markets.

Earnings

Shenandoah Telecommunications reported its earnings for the second quarter of its fiscal year 2022, ending June 30. The company earned a total revenue of 255.3 million USD, and a net income of 890.4 million USD. Compared to the previous year, this represented a 4.1% increase in total revenue, and a 10.9% decrease in net income.

Shenandoah Telecommunications’s total revenue has been growing steadily over the past three years, reaching 255.3 million USD in the most recent quarter. Despite the decline in net income, Shenandoah Telecommunications remains a financially strong company.

Market Price

On Wednesday, Shenandoah Telecommunications stock opened at $21.4 and closed at $19.2, plunge by 14.4% from last closing price of 22.5. So far media sentiment mostly are negative. The company’s wireless segment offers voice and data services to consumers and businesses through its own wireless network and roaming agreements with other carriers. The company’s wireline segment provides voice, data, and video services over a fiber-to-the-premises network to residential and business customers in Shenandoah County, Virginia.

VI Analysis

The company’s wireless subsidiary, NTELOS Holdings Corp., provides wireless voice and data communications services to customers in Virginia, West Virginia, Pennsylvania, Kentucky, Ohio, and Maryland. The company’s wireline subsidiary, Shenandoah Telephone Company, provides voice, video, and data communications services to customers in Virginia and West Virginia.

VI Peers

In the telecommunications industry, Shenandoah Telecommunications Co competes with Swoop Holdings Ltd, PT Link Net Tbk, and AT&T Inc. All four companies offer similar services, including wireless, Internet, and television.

However, each company has its own strengths and weaknesses. For example, Shenandoah Telecommunications Co has a strong presence in rural areas, while AT&T Inc has a strong presence in urban areas.

– Swoop Holdings Ltd ($ASX:SWP)

Swoop Holdings Ltd is a company that provides online marketing and advertising services. The company has a market cap of 74.47M as of 2022 and a Return on Equity of -13.81%. The company’s main business is providing online marketing and advertising services to businesses and individuals. The company also provides other services such as web design, web development, and social media marketing.

– PT Link Net Tbk ($IDX:LINK)

PT Link Net Tbk is an Indonesia-based company engaged in the provision of internet service provider (ISP) and pay television (TV) services. The Company offers its services under the brand names of First Media and Nexmedia. It operates in two segments: ISP and Pay TV. The Company’s ISP segment offers high speed internet access, while its Pay TV segment provides digital TV services. The Company offers its services to residential, small and medium enterprises and corporate customers. As of December 31, 2011, the Company operated in 33 provinces in Indonesia and served approximately 1.5 million subscribers.

– AT&T Inc ($NYSE:T)

AT&T Inc. is an American multinational conglomerate holding company headquartered at Whitacre Tower in Downtown Dallas, Texas. It is the world’s largest telecommunications company, the second largest provider of mobile telephone services, and the largest provider of fixed telephone services in the United States through AT&T Communications. Since June 14, 2018, it is also the parent company of mass media conglomerate WarnerMedia, making it the world’s largest entertainment company in terms of revenue. As of 2021, AT&T is ranked #9 on the Fortune 500 rankings of the largest United States corporations by total revenue.

AT&T Inc. has a market capitalization of 126.06 billion as of 2021 and a return on equity of 12.91%. The company is the world’s largest telecommunications company and the second largest provider of mobile telephone services. AT&T Inc. is also the largest provider of fixed telephone services in the United States. The company’s main business is providing telecommunications services, including wireless, data, and voice services. AT&T Inc. also provides pay TV services through its DirecTV and U-verse subsidiaries.

Summary

Shenandoah Telecommunications is a publicly traded company that provides voice, video, and data services to customers in Virginia, West Virginia, and parts of Maryland and North Carolina. Investors interested in Shenandoah Telecommunications may want to consider the company as a long-term investment. The company has a history of paying dividends and has increased its dividend payout in each of the last five years.