Business
LICT Corporation Reports Fourth Quarter and Full Year Results
LICT Corporation Reports Fourth Quarter and Full Year Results.
About this update from Lict Corp.
[{"type":"text","content":"\n \n LICT Corporation (“LICT”; OTC Pink®:LICT) reports \n preliminary, unaudited results for the fourth quarter and full year \n ended December 31, 2016.\n \n \n FOURTH QUARTER RESULTS – In 2016, fourth quarter revenues increased by \n $1.4 million, or 6.2%, to $23.7 million compared to the corresponding \n quarter in 2015. Non-regulated revenues grew by 12.2% to $11.0 million \n from the prior year’s $9.8 million due to increased broadband and \n competitive local exchange carrier (“CLEC”) revenues. Regulated revenues \n rose to $12.8 million from $12.6 million in 2015, due to increased \n intra-state revenues, primarily at our New Mexico operation offset by \n lower interstate revenues at most rest of our other RLECs.\n \n \n EBITDA before corporate costs was $9.8 million, as compared to $9.3 \n million in the previous year’s fourth quarter. Non-regulated EBITDA, \n including affiliate distributions, increased $0.7 million to $5.1 \n million, while regulated EBITDA declined by $0.2 million. Unallocated \n Corporate expenses of $649,000 were reported in the fourth quarter of \n 2016 as compared to $494,000 in the fourth quarter of 2015.\n \n \n ALTERNATIVE CONNECT AMERICA COST MODEL (“A-CAM”) – As we previously \n disclosed, beginning in early 2017, the Federal Communications \n Commission (“FCC”) instituted a revised, voluntary Universal Service \n Fund (“USF”) mechanism for rate-of-return Incumbent Local Exchange \n Carriers (“ILECs”) called A-CAM. A-CAM replaces the prior Interstate \n Common Line Support (“ICLS”) and High Cost Loop Support (“HCLS”) \n cost-based methods, which were based on specific company or industry \n actual yearly expenditures for operations and capital. The A-CAM program \n was designed by the FCC to expedite the deployment of broadband \n capabilities throughout the nation’s rural areas, that are served by \n rate-of-return carriers. Seven of LICT’s nine operating areas elected to \n participate in A-CAM. The A-CAM program will provide a fixed amount of \n annual funding for a period of ten years, effective back to January 1, \n 2017. As part of the A-CAM model, our ILECs must meet certain service \n requirements over the ten-year period.\n \n \n FULL YEAR RESULTS ...