Knology Posts Solid 2Q7/27/2004 10:16 AM Eastern
Knology Inc. said Tuesday that second-quarter total revenue was $52.7 million, up 23% from $42.9 million in the prior-year quarter.
The MSO posted adjusted EBITDA (earnings before interest, taxes, debt and amortization) of $9.1 million, a gain of 5% from $8.6 million in the second quarter of 2003.
The company also said it expects the sale of its 8,000-subscriber cable system in Cerritos, Calif., to Orange Broadband for $14.8 million in cash to close during the fourth quarter.
Knology bought the Cerritos system in December 2003 as part of a larger $17 million deal with Verizon Media Ventures Inc. in which it acquired systems in Pinellas County, Fla., with about 53,000 subscribers.
“The proceeds expected from the sale of the Cerritos property, combined with the anticipated closing of a new credit facility, will provide the business with added financial strength and position the company for continued success and growth,” vice president and chief financial officer Robert K. Mills said in a prepared statement.