Published on 1 Mar 2024 on Zacks via Yahoo Finance

Cogent (CCOI) Q4 Loss Narrower Than Expected, Top Line Up Y/Y

Cogent Communications Holdings, Inc. CCOI reported mixed fourth-quarter 2023 results, with the bottom line surpassing the Zacks Consensus Estimate but the top line missing the same. However, the Washington, DC-based leading Internet service provider reported a top-line expansion year over year, driven by solid demand trends in Corporate and NetCentric business.

Net Income

The company reported a net income of $200.2 million or $4.17 per share compared with $851 million or 2 cents per share in the year ago quarter. Despite higher operating expenses, the gain on the bargain purchase of Sprint business led to an improvement in the net income. Adjusted net income was reported at 16 cents per share. The bottom line beat the Zacks Consensus Estimate by 79 cents.In 2023, net income was $1.27 billion or $26.62 per share compared with $5.1 million or 11 cents in 2022. The improvement is driven by gain on the bargain purchase of Sprint assets.