Clearwire Juices its Stock by Announcing “Preliminary” Results for Q3
Clearwire (NASDAQ:CLWR), in an apparent attempt to juice its stock today, released what it calls “selected preliminary financial and operating results for the third quarter 2011″ which the company notes “are subject to the finalization of the company’s third quarter 2011 results.”
In other words, the company released a bunch of numbers today which may or may not bear much resemblance to their official earnings release a couple of weeks’ hence. They report:
Record quarterly revenues of approximately $332 million are expected for the third quarter of 2011, representing an increase of approximately 125% year over year.
Net wholesale subscriber additions are expected to total a record 1.9 million for third quarter 2011, representing approximately 29% sequential growth in ending wholesale subscribers. Third quarter 2011 ending subscribers are expected to be approximately 9.5 million.
As a result of growth of its subscriber base and reductions in operating expenses, Clearwire expects to have improved Adjusted EBITDA loss by more than 50% in third quarter 2011 as compared to pro forma Adjusted EBITDA loss in second quarter 2011.
Cash, cash equivalents and investments as of September 30, 2011 are expected to be approximately $700 million.
Stated more simply, the company is projecting a loss this quarter, but they plan to lose less money now than they did in the previous quarter.
The shares recently traded at $1.54, up $0.24, or 18.42%, on the day. The shares have traded in a 52-week range of $1.24 to $7.51 and its market capitalization is $1.42 billion. About the company: Clearwire Corporation provides wireless broadband services. The Company operates a wireless network in the United States as well as other countries.
(Note: Selected data regarding the company’s stock price and its performance are sourced from Google Finance. All data are assumed to be accurate.)
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