M'soft, AT&T deals boost Rogers to solid results
Quarterly results bounce back
Net income for the nine months ended Sept. 30 was up 43.6% to C$864.8 million ($580 million), or $3.06 per share, on revenues of $1.48 billion, up 7.3% from the previous year's nine-month period.
For the third quarter the company reported net income of $522 million, or $2.78 per share, up dramatically from a loss in the third quarter of 1998, in which the company bled $28.5 million, or 19¢ per share. Revenues on the quarter were $525 million, up 11.7% from the previous year.
"Proceeds provided to RCI from our new partners (Microsoft, AT&T and British Telecom) gave the company the financial flexibility it needed to make significant progress toward its goal of becoming an investment grade credit," said Rogers founder, prexy and CEO Ted Rogers in a statement.
Company also announced that it will initiate an issuer bid for as many as 12.1 million Class B nonvoting shares over the next year. "In our view, the public market value of RCI's Class B nonvoting shares has become increasingly undervalued in recent months," said Rogers in a press release. "RCI believes this use of cash on hand will enhance shareholder value."
Toronto-based Rogers is engaged in wireless communication, cable, and radio, TV, publishing, and new-media businesses across Canada.
