& cplSiteName &

Interoute Acquisition Boosts GTT's Q2 Revenues

Light Reading
News Wire Feed
Light Reading
8/3/2018
50%
50%

MCLEAN, Va. -- GTT Communications, Inc. (NYSE: GTT), the leading global cloud networking provider to multinational clients, announced today its financial results for the quarter ended June 30, 2018.

Second quarter highlights:

  • Revenue of $326.8 million grew 71.9% over 2Q17 and grew 25.4% over 1Q18.

  • Net loss was $136.3 million, compared to net income of $0.7 million in 2Q17 and net loss of $30.7 million in 1Q18. 2Q18 net loss was primarily the result of several non-recurring costs related to the Interoute acquisition, including $13.7 million in exit, transaction and integration costs, $13.8 million loss on extinguishment of debt and $88.6 million of expense related to a foreign currency hedge which was entered into at the time the Interoute acquisition was announced and subsequently settled at closing.

  • Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (“Adjusted EBITDA”) of $74.9 million grew 39.2% over 2Q17 and grew 19.5% over 1Q18. Adjusted EBITDA margin was 22.9% compared to 28.3% in 2Q17 and 24.1% in 1Q18.

  • Capital expenditures were $19.3 million (5.9% of revenue) compared to $9.3 million in 2Q17 (4.9% of revenue) and $13.2 million in 1Q18 (5.1% of revenue). Using constant currency, (i) 2Q18 revenue and Adjusted EBITDA would have been lower than reported by $7.9 million and $1.9 million, respectively, compared to 2Q17, and (ii) 2Q18 revenue and Adjusted EBITDA would have been higher than reported by $3.2 million and $0.7 million, respectively, compared to 1Q18.

    On a pro forma basis, assuming (i) Interoute and Global Capacity's historical results had been included for all periods presented, and (ii) constant currency:

  • 2Q18 revenue and Adjusted EBITDA grew 1.2% and 0.7%, respectively, over 2Q17.

  • 2Q18 revenue and Adjusted EBITDA declined 0.6% and 3.1%, respectively, compared to 1Q18.

    GTT Communications Inc.

    (0)  | 
    Comment  | 
    Print  | 
  • Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
    Featured Video
    From The Founder
    John Chambers is still as passionate about business and innovation as he ever was at Cisco, finds Steve Saunders.
    Flash Poll
    Upcoming Live Events
    September 12, 2018, Los Angeles, CA
    September 24-26, 2018, Westin Westminster, Denver
    October 9, 2018, The Westin Times Square, New York
    October 23, 2018, Georgia World Congress Centre, Atlanta, GA
    November 6, 2018, London, United Kingdom
    November 7-8, 2018, London, United Kingdom
    November 8, 2018, The Montcalm by Marble Arch, London
    November 15, 2018, The Westin Times Square, New York
    December 4-6, 2018, Lisbon, Portugal
    All Upcoming Live Events
    Hot Topics
    T-Mobile to Play the Customer Care Card With Layer3 TV
    Jeff Baumgartner, Senior Editor, Light Reading, 8/15/2018
    Australia Could Open 5G Door to Huawei
    Robert Clark, 8/16/2018
    Video Navigation Gets an AI Assist
    Jeff Baumgartner, Senior Editor, Light Reading, 8/16/2018
    Eurobites: Deutsche Telekom Pulls Out of Iran
    Iain Morris, International Editor, 8/17/2018
    Animals with Phones
    When Your Cat Hijacks Your Tech Click Here
    Latest Comment
    Live Digital Audio

    A CSP's digital transformation involves so much more than technology. Crucial – and often most challenging – is the cultural transformation that goes along with it. As Sigma's Chief Technology Officer, Catherine Michel has extensive experience with technology as she leads the company's entire product portfolio and strategy. But she's also no stranger to merging technology and culture, having taken a company — Tribold — from inception to acquisition (by Sigma in 2013), and she continues to advise service providers on how to drive their own transformations. This impressive female leader and vocal advocate for other women in the industry will join Women in Comms for a live radio show to discuss all things digital transformation, including the cultural transformation that goes along with it.

    Like Us on Facebook
    Twitter Feed