Tucows Inc. (NYSE AMEX:TCX, TSX:TC), reported its financial results for the first quarter ended March 31, 2013 after the market closed today
According to reports Tucows missed expectations as to both earnings and revenue.
Net revenue for the first quarter of 2013 increased 9% to a record $30.0 million from $27.5 million for the first quarter of 2012.
Net income for the first quarter of 2013 was $0.1 million, or $0.00 per share, compared with $1.7 million, or $0.04 per share, for the first quarter of 2012.
It looks like domain name slowed to just over $1.1 million dollars for the quarter which is down from $1.9 million from the same quarter a year ago.
While those in the domain community know Tucows as a domain name registrar, a new gTLD application and an owner of a very nice domain portifollo it seems the company is most excited about its wireless service Ting.
“The first quarter was a solid start to 2013, highlighted by our twelfth consecutive quarter of year-over-year revenue growth to another record total,” said Elliot Noss, President and Chief Executive Officer, Tucows Inc. ”
“We are even more excited about Ting, which is now demonstrating real momentum”.
Our customer base grew by 2,000 in Q2 2012, 3,000 in Q3, 5,000 in Q4 and now over 6,300 in Q1 2013.
Gross margin per account is growing as customers gain confidence in the service and add additional devices.
More customers are referring more of their friends to Ting. Timelines are shortening between our network provider, Sprint, getting coveted devices like the HTC One and the Samsung Galaxy 4 and us offering these devices to our customers. With all these trends in our favor, we have every reason to believe our momentum will continue.”
Cash and cash equivalents at the end of the first quarter of 2013 were $4.3 million compared with $6.4 million at the end of the fourth quarter of 2012 and $6.4 million from the end of the first quarter of 2012.
The Company used $6.5 million to repurchase shares under its modified “Dutch auction” tender that concluded on January 7, 2013, under which the Company repurchased 4,114,121 million shares at a purchase price of $1.50 per share.
We will be listening in to the earnings call set for 5pm.