AYLMER, Ont. – Amtelecom Income Fund, which owns telecom and cable firm Amtelecom Communications, said during the fourth quarter of 2005, ended December 31st, it reported net earnings of $1 million and declared cash distributions of $1.79 million.
For the year ended December 31, 2005, the fund reported net earnings of $4.5 million and declared cash distributions of $7.1 million.
" Fourth quarter earnings were in line with our expectations." said Michael Andrews, president and CEO. "As expected, we completed our Service Improvement Plan during the year and this $10.2 million investment in Amtelecom’s network infrastructure over the last five years positions Amtelecom for future growth through the introduction of new services such as advanced calling features and highspeed Internet access."
In January, Amtelecom bought People’s Communications Inc. for about $25.6 million in cash and adds approximately 5,200 network access services and 4,600 Internet customers. The results of People’s subsequent to January 24, 2006 will be consolidated with those of the Fund and reported at the end of the first quarter in 2006.
Telecommunications revenues, excluding the effects of contribution subsidy and direct toll, grew by $270,000 to $3.7 million. Total telecommunications revenues inclusive of contribution subsidy and direct toll were $4.4 million.
Cable television revenues held steady at $720,000 in the quarter ended 2005 compared to 2004.
Internet revenues of $740,000 in the fourth quarter were $200,000 more than in 2004 due to continued strong growth in the highspeed Internet business.
