May 6, 2016

Zayo Group posts $19.3M loss

BOULDER — Broadband infrastructure firm Zayo Group Holding Inc. (NYSE: ZAYO) on Thursday reported a loss of $19.3 million for the third-quarter of its fiscal year 2016 that ended March 31.

The Boulder-based firm’s loss was $8.5 million higher than the prior quarter’s loss of $10.8 million, but lower than the $53.7 million loss recorded for the same period a year ago. Basic and diluted loss per share during the third quarter was 8 cents.

Zayo recorded revenue of $478 million that included $96.1 million from Zayo Canada, the new name for Canadian firm Allstream Inc. that Zayo acquired in November last year for $378 million.

During the three months, capital expenditures were $185.1 million, including $11.1 million attributed to Zayo Canada.

Entering its fourth quarter, Zayo on April 1 acquired Clearview International LLC, a Texas-based colocation and cloud infrastructure services provider for $18.9 million.

As of March 31 the company had $215.2 million of cash and $442.1 million available under its revolving credit facility.

Zayo now has a 112,000-mile network in North America and Europe that includes metro connectivity to thousands of buildings and data centers. In addition to high-capacity dark fiber, wavelength, Ethernet and other connectivity solutions, Zayo offers colocation and cloud services in its carrier-neutral data centers.

Zayo’s stock was trading at $26.93 per share mid-day Friday. Its 52-week range is $19.59 to $29.62.

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