Click here to close now.

Welcome!

.NET Authors: Carmen Gonzalez, Elizabeth White, Liz McMillan, Greg O'Connor, Jason Bloomberg

News Feed Item

Lightyear Network Solutions Announces Third Quarter 2012 Financial Results

Lightyear Network Solutions, Inc. (the “Company”) (OTC Markets: LYNS), an established provider of data, voice and wireless telecommunication services to business and residential customers throughout North America, announced today its financial results for the third quarter ended September 30, 2012.

Financial highlights for the Third Quarter of 2012 include:

  • Wireless services revenue grew by approximately $293,000 (or 27%) in the third quarter of 2012 compared with the third quarter of 2011, while local services revenue decreased by approximately $208,000 (or 11%) for the same period
  • Operating expenses declined by approximately $667,000 (or 10%) in the third quarter of 2012 compared with the year-ago third quarter
  • Cash generated from operations increased to approximately $331,000 for the third quarter of 2012 compared with approximately $177,000 for the second quarter of 2012
  • Non-GAAP EBITDA (Earnings Before Interest, Taxes, Depreciation, Amortization and Non-Cash Stock-Based Compensation) decreased to approximately ($111,000) in the third quarter of 2012 compared with approximately $418,000 in the second quarter of 2012

“We continue to manage through these challenging economic times and the continued decrease in residential local phone service throughout the industry,” said Stephen M. Lochmueller, Lightyear’s Chief Executive Officer. “While we were disappointed with our EBITDA results, we were pleased with the increase of cash generated from operations and the growth of our wireless services revenue. The Company will continue to focus of providing the highest quality services in the most efficient manner possible. We are implementing plans that we expect will improve our EBITDA performance in coming quarters.”

About Lightyear Network Solutions, Inc.

Through its wholly owned subsidiaries, Lightyear Network Solutions, Inc. provides telecommunication services to large, medium and small businesses and to residential consumers throughout North America. Lightyear’s product offerings include local PRI and digital T1, enhanced Internet services, MPLS, Ethernet, Voice over Internet Protocol (VoIP), local and long distance service, and conferencing. Lightyear also offers wireless services to customers in the U.S. through wholesale contracts with multiple wireless providers. Lightyear built its own VoIP network in 2004 to enhance its product offerings and has partnered with some of the most prominent names in telecom including: Sprint, Verizon, AT&T, Level 3, Windstream, CenturyLink, tw telecom, XO Communications and Cisco. Lightyear Network Solutions is headquartered in Louisville, Ky. Additional information can be found at: www.lightyear.net.

Forward-Looking Statements

This press release contains "forward-looking statements" for purposes of the Securities and Exchange Commission's "safe harbor" provisions under the Private Securities Litigation Reform Act of 1995 and Rule 3b-6 under the Securities Exchange Act of 1934. These forward-looking statements are subject to various risks and uncertainties that could cause Lightyear’s actual results to differ materially from those currently anticipated. These forward-looking statements may include, without limitation, statements about our marketing and acquisition opportunities, business strategies, competition, expected activities and expenditures as we pursue our business plan. Although we believe that the expectations reflected in any forward-looking statements are reasonable, the risks and uncertainties which could cause our actual results to differ materially from those currently anticipated includes changes in market conditions, our ability to integrate acquired operations, the ability to obtain additional financing on satisfactory terms, customer acceptance of products, regulatory issues, competitive factors, or other business circumstances and risk factors described in our Form 10-K for the year ended December 31, 2011, filed on March 30, 2012, and other filings with the Securities and Exchange Commission. Lightyear undertakes no obligation to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this press release.

 
Lightyear Network Solutions, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
 
  September 30,   December 31,
2012 2011
(unaudited)
Assets
 
Current Assets:
Cash $ 27,841 $ 108,133
Accounts receivable, net 4,730,574 5,237,404
Vendor deposits 1,898,788 1,771,028
Inventories, net 244,707 335,964
Prepaid expenses and other current assets   1,525,112     2,523,039  
 
Total Current Assets 8,427,022 9,975,568
 
Property and equipment, net 6,862,059 7,161,057
Intangible assets, net   1,601,249     1,928,749  
 
Total Assets $ 16,890,330   $ 19,065,374  
 
Liabilities and Stockholders' Deficiency
 
Current Liabilities:
Accounts payable $ 6,781,160 $ 7,216,117
Interest payable - related parties 46,370 47,282
Accrued agent commissions 520,717 530,268
Accrued agent commissions - related parties 986 1,069
Deferred revenue 489,636 427,715
Other liabilities 1,616,476 1,876,163
Other liabilities - related parties 127,111 81,718
Current portion of notes payable 921,907 895,918
Current portion of capital lease obligations   174,355     239,203  
 
Total Current Liabilities 10,678,718 11,315,453
Notes payable, non-current portion 2,638,783 3,334,992
Capital lease obligation, non-current portion 741,730 758,750
Note payable - related party 6,250,000 6,250,000
Deferred tax liability, non-current portion, net   326,683     326,683  
 
Total Liabilities   20,635,914     21,985,878  
 
Commitments and contingencies
 
Stockholders' Deficiency:

Common stock, $0.001 par value; 70,000,000 shares authorized; 22,086,641 shares issued and outstanding at September 30, 2012 and December 31, 2011

22,087 22,087
Note receivable from affiliate (1,223,203 ) (1,223,203 )
Additional paid-in capital 10,067,172 9,490,226
Accumulated deficit   (12,611,640 )   (11,209,614 )
 
Total Stockholders' Deficiency   (3,745,584 )   (2,920,504 )
 
Total Liabilities and Stockholders' Deficiency $ 16,890,330   $ 19,065,374  
 
 
Lightyear Network Solutions, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
 
(unaudited)
 
    For The Three Months     For The Nine Months
Ended September 30, Ended September 30,
2012   2011 2012   2011
 
Revenues $ 16,690,248 $ 17,409,514 $ 50,484,592 $ 53,886,561
 
Cost of revenues   11,535,727     11,089,139     33,786,834     34,735,187  
 
Gross Profit   5,154,521     6,320,375     16,697,758     19,151,374  

Operating Expenses

Commission expense 1,355,499 1,544,955 4,246,221 4,581,358
Commission expense - related parties 18,435 13,734 54,912 (2,834 )
Depreciation and amortization 332,423 437,182 999,335 1,282,970
Bad debt expense 314,423 195,429 774,301 698,937
Selling, general and administrative expenses 3,677,626 4,098,751 11,578,934 13,341,507

Selling, general and administrative expenses - related party

- 75,159 96,769 125,231
 
Total Operating Expenses   5,698,406     6,365,210     17,750,472     20,027,169  
Loss From Operations   (543,885 )   (44,835 )   (1,052,714 )   (875,795 )
 
Other (Expense) Income
Interest income 5,704 8,151 8,779 24,183
Interest income - related parties - 192,664 - 570,967
Interest expense (57,424 ) (77,180 ) (182,256 ) (234,878 )
Interest expense - related parties (70,075 ) (98,459 ) (209,985 ) (296,276 )
Other income   32,723     122,304     34,150     233,372  
 
Total Other (Expense) Income   (89,072 )   147,480     (349,312 )   297,368  
 
(Loss) income before income taxes (632,957 ) 102,645 (1,402,026 ) (578,427 )
Income tax benefit   -     -     -     123,800  
Net (Loss) Income (632,957 ) 102,645 (1,402,026 ) (454,627 )
 
Cumulative Preferred Stock Dividends   -     (383,122 )   -     (1,136,877 )
 
Loss Attributable to Common Stockholders $ (632,957 ) $ (280,477 ) $ (1,402,026 ) $ (1,591,504 )
 
Net Loss Per Common Share - Basic and Diluted $ (0.03 ) $ (0.01 ) $ (0.06 ) $ (0.07 )

Weighted Average Number of Common Shares Outstanding - Basic and Diluted

  22,344,829     22,242,475     22,312,119     21,641,444  
 

Non-U.S. GAAP Financial Measures

The Company has utilized the non-GAAP information set forth below as an additional device to aid in understanding and analyzing its financial results for the three months ended September 30, 2012. Management believes that these non-GAAP measures will allow for an evaluation of the operating performance of the Company’s business and facilitate meaningful comparison of the results in the current period to those in prior and future periods. Reference to these non-GAAP measures should not be considered a substitute for results that are presented in a manner consistent with GAAP.

A limitation of utilizing these non-GAAP measures is that GAAP accounting does in fact reflect the underlying financial results of the Company’s business. Therefore, management believes that the GAAP measures as well as the corresponding non-GAAP measures of the Company’s financial performance should be considered together.

A reconciliation of the Company’s GAAP net (loss) income for the quarters ended September 30, 2012, and June 30, 2012, to its non-GAAP EBITDA for the same periods are set forth below:

 
  For The Three Months
Ended
 
September 30, 2012 June 30, 2012
(unaudited) (unaudited)
 
GAAP Net (Loss) $ (632,957 ) $ (147,850 )
 
Depreciation and Amortization 332,423 332,342
Interest expense, net 121,795 130,797
Non-Cash Stock-Based Compensation   67,992     102,546  
 
Non-GAAP EBITDA adjusted for non-cash
stock-based compensation $ (110,747 )   $ 417,835  
 

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
Chuck Piluso will present a study of cloud adoption trends and the power and flexibility of IBM Power and Pureflex cloud solutions. Speaker Bio: Prior to Data Storage Corporation (DSC), Mr. Piluso founded North American Telecommunication Corporation, a facilities-based Competitive Local Exchange Carrier licensed by the Public Service Commission in 10 states, serving as the company's chairman and president from 1997 to 2000. Between 1990 and 1997, Mr. Piluso served as chairman & founder of International Telecommunications Corporation, a facilities-based international carrier licensed by t...
There are lots of challenges in IoT around secure, scalable and business friendly infrastructure for enterprises. For large corporations, IoT implementations are one of the top priorities of the decade. All industries are seeing a competitive need to sustain by investing in IoT initiatives. The value addition comes from improved customer service, innovative product and additional revenue streams. The data from these IP-connected devices can be leveraged for a variety of business applications as well as responsive action controls. The various architectural building blocks of an IoT ...
“In the past year we've seen a lot of stabilization of WebRTC. You can now use it in production with a far greater degree of certainty. A lot of the real developments in the past year have been in things like the data channel, which will enable a whole new type of application," explained Peter Dunkley, Technical Director at Acision, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
WebRTC is an up-and-coming standard that enables real-time voice and video to be directly embedded into browsers making the browser a primary user interface for communications and collaboration. WebRTC runs in a number of browsers today and is currently supported in over a billion installed browsers globally, across a range of platform OS and devices. Today, organizations that choose to deploy WebRTC applications and use a host machine that supports audio through USB or Bluetooth can use Plantronics products to connect and transit or receive the audio associated with the WebRTC session.
The best mobile applications are augmented by dedicated servers, the Internet and Cloud services. Mobile developers should focus on one thing: writing the next socially disruptive viral app. Thanks to the cloud, they can focus on the overall solution, not the underlying plumbing. From iOS to Android and Windows, developers can leverage cloud services to create a common cross-platform backend to persist user settings, app data, broadcast notifications, run jobs, etc. This session provides a high level technical overview of many cloud services available to mobile app developers, includi...
SYS-CON Media announced today that @WebRTCSummit Blog, the largest WebRTC resource in the world, has been launched. @WebRTCSummit Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. @WebRTCSummit Blog can be bookmarked ▸ Here @WebRTCSummit conference site can be bookmarked ▸ Here
SYS-CON Events announced today that Ciqada will exhibit at SYS-CON's @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Ciqada™ makes it easy to connect your products to the Internet. By integrating key components - hardware, servers, dashboards, and mobile apps - into an easy-to-use, configurable system, your products can quickly and securely join the internet of things. With remote monitoring, control, and alert messaging capability, you will meet your customers' needs of tomorrow - today! Ciqada. Let your products take flight. For more inform...
Health care systems across the globe are under enormous strain, as facilities reach capacity and costs continue to rise. M2M and the Internet of Things have the potential to transform the industry through connected health solutions that can make care more efficient while reducing costs. In fact, Vodafone's annual M2M Barometer Report forecasts M2M applications rising to 57 percent in health care and life sciences by 2016. Lively is one of Vodafone's health care partners, whose solutions enable older adults to live independent lives while staying connected to loved ones. M2M will continue to gr...
Dave will share his insights on how Internet of Things for Enterprises are transforming and making more productive and efficient operations and maintenance (O&M) procedures in the cleantech industry and beyond. Speaker Bio: Dave Landa is chief operating officer of Cybozu Corp (kintone US). Based in the San Francisco Bay Area, Dave has been on the forefront of the Cloud revolution driving strategic business development on the executive teams of multiple leading Software as a Services (SaaS) application providers dating back to 2004. Cybozu's kintone.com is a leading global BYOA (Build Your O...
As enterprises move to all-IP networks and cloud-based applications, communications service providers (CSPs) – facing increased competition from over-the-top providers delivering content via the Internet and independently of CSPs – must be able to offer seamless cloud-based communication and collaboration solutions that can scale for small, midsize, and large enterprises, as well as public sector organizations, in order to keep and grow market share. The latest version of Oracle Communications Unified Communications Suite gives CSPs the capability to do just that. In addition, its integration ...
The 17th International Cloud Expo has announced that its Call for Papers is open. 17th International Cloud Expo, to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, APM, APIs, Microservices, Security, Big Data, Internet of Things, DevOps and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal today!
While not quite mainstream yet, WebRTC is starting to gain ground with Carriers, Enterprises and Independent Software Vendors (ISV’s) alike. WebRTC makes it easy for developers to add audio and video communications into their applications by using Web browsers as their platform. But like any market, every customer engagement has unique requirements, as well as constraints. And of course, one size does not fit all. In her session at WebRTC Summit, Dr. Natasha Tamaskar, Vice President, Head of Cloud and Mobile Strategy at GENBAND, will explore what is needed to take a real time communications ...
The IoT Bootcamp is coming to Cloud Expo | @ThingsExpo on June 9-10 at the Javits Center in New York. Instructor. Registration is now available at http://iotbootcamp.sys-con.com/ Instructor Janakiram MSV previously taught the famously successful Multi-Cloud Bootcamp at Cloud Expo | @ThingsExpo in November in Santa Clara. Now he is expanding the focus to Janakiram is the founder and CTO of Get Cloud Ready Consulting, a niche Cloud Migration and Cloud Operations firm that recently got acquired by Aditi Technologies. He is a Microsoft Regional Director for Hyderabad, India, and one of the f...
In 2015, 4.9 billion connected "things" will be in use. By 2020, Gartner forecasts this amount to be 25 billion, a 410 percent increase in just five years. How will businesses handle this rapid growth of data? Hadoop will continue to improve its technology to meet business demands, by enabling businesses to access/analyze data in real time, when and where they need it. Cloudera's Chief Technologist, Eli Collins, will discuss how Big Data is keeping up with today's data demands and how in the future, data and analytics will be pervasive, embedded into every workflow, application and infra...
From telemedicine to smart cars, digital homes and industrial monitoring, the explosive growth of IoT has created exciting new business opportunities for real time calls and messaging. In his session at @ThingsExpo, Ivelin Ivanov, CEO and Co-Founder of Telestax, shared some of the new revenue sources that IoT created for Restcomm – the open source telephony platform from Telestax. Ivelin Ivanov is a technology entrepreneur who founded Mobicents, an Open Source VoIP Platform, to help create, deploy, and manage applications integrating voice, video and data. He is the co-founder of TeleStax, a...
As Marc Andreessen says software is eating the world. Everything is rapidly moving toward being software-defined – from our phones and cars through our washing machines to the datacenter. However, there are larger challenges when implementing software defined on a larger scale - when building software defined infrastructure. In his session at 16th Cloud Expo, Boyan Ivanov, CEO of StorPool, will provide some practical insights on what, how and why when implementing "software-defined" in the datacenter.
How is unified communications transforming the way businesses operate? In his session at WebRTC Summit, Arvind Rangarajan, Director of Product Marketing at BroadSoft, will discuss how to extend unified communications experience outside the enterprise through WebRTC. He will also review use cases across different industry verticals. Arvind Rangarajan is Director, Product Marketing at BroadSoft. He has over 19 years of experience in the telecommunications industry in various roles such as Software Development, Product Management and Product Marketing, applied across Wireless, Unified Communic...
SYS-CON Events announced today that MangoApps will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY., and the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. MangoApps provides private all-in-one social intranets allowing workers to securely collaborate from anywhere in the world and from any device. Social, mobile, and easy to use. MangoApps has been named a "Market Leader" by Ovum Research and a "Cool Vendor" by Gartner...
SYS-CON Media announced today that @ThingsExpo Blog launched with 7,788 original stories. @ThingsExpo Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. @ThingsExpo Blog can be bookmarked. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago.
The world's leading Cloud event, Cloud Expo has launched Microservices Journal on the SYS-CON.com portal, featuring over 19,000 original articles, news stories, features, and blog entries. DevOps Journal is focused on this critical enterprise IT topic in the world of cloud computing. Microservices Journal offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. Follow new article posts on Twitter at @MicroservicesE