Virgin Mobile sinks with wider 3Q loss
Business Law
Despite an analysts' upgrade, shares of Virgin Mobile USA Inc. fell Friday to their lowest point since the company's recent trading debut after the company said its third-quarter loss widened as operating expenses rose.
The wireless service provider's shares fell $1.54, or 14.4 percent, to $9.19 Friday. Earlier, the shares traded as low as $8.07.
Virgin Mobile said late Thursday that its third-quarter loss widened to $7.3 million, compared with a loss of $5.1 million in the year-ago quarter.
The company said its pro-forma loss totaled 15 cents per share, compared with a loss of 10 cents per share in the year-ago period.
Revenue rose year over year to $319.5 million from $271 million, as an increase in service revenue overshadowed a decline in equipment sales.
In a note to clients Friday, Stanford Group Company analyst Michael Gary Nelson upgraded the stock to "Hold" from "Sell," saying challenges the company faces -- such as increasing competition -- are well balanced with opportunities for raising shareholder value.
The analyst called Virgin Mobile's third-quarter results "mixed" and its fourth-quarter outlook for between 350,000 and 400,000 net customer additions "weak." But he also said its guidance for 2008 EBITDA -- or earnings before interest, taxes, depreciation and amortization -- of between $155 million and $175 million is strong.
Related listings
-
Wall Street Falls After Merrill Report
Business Law 10/24/2007Stocks fell in early trading Wednesday as Wall Street grew more cautious after Merrill Lynch & Co.'s earnings revealed severe credit-related losses.The investment bank said it wrote down $7.9 billion in fixed-income instruments called collaterali...
-
Charles Schwab 3rd-Quarter Profit Soars
Business Law 10/15/2007Brokerage firm Charles Schwab Corp. said Monday its third-quarter earnings soared, mainly due to a big gain on the sale of its U.S. Trust wealth management business.Schwab reported earnings of $1.53 billion, or $1.28 per share, for the quarter ended ...
-
Nomura to exit U.S. residential mortgage securities
Business Law 10/15/2007Nomura Holdings, Japan's largest brokerage, said it would pull out of the U.S. residential mortgage-backed securities market and cut a quarter of its U.S. workforce, pushing it to a big quarterly loss.Nomura is the latest global investment bank force...
Victorville CA DUI defense Attorneys
The outcome of a DUI defense will have a long-term effect on anyone’s life, making the decision to receive legal representation an easy one. The fact is, most people accused of a DUI are first offenders with no criminal background. Whether this is your first run in with the law or you have had previous convictions, you are in need of a DUI defense attorney.
The charges you are facing for a DUI range from fines, a 12-month suspension on your license and worst-case scenario, prison time. Your attorney will be able to analyze your situation to decide the best way to go about your case.
Our attorneys know the tricky ways to challenge all of the DUI tests and know how to claim improper collection of evidence. We will be able to negotiate on your behalf and free you from charges and help you keep your drivers license. The DUI process can last up to several months, we can make this process easier on you. .