Bouyant GTT targets $2bn sales in four years
Global cloud networking provider GTT Communications has reported third quarter revenue of $198.9m, up 50.8% over 3Q16, and a 6.8% increase over 2Q17. Net loss was $9.5m, compared to net income of $5.1m in 3Q16 and net income of $0.6m in 2Q17. The 3Q17 net loss included $17.5 million in non-recurring costs related to the Global Capacity acquisition and the term loan repricing.
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortisation (“Adjusted EBITDA”) of $56.2m grew 75% over 3Q16, and grew 4.6% over 2Q17. Capital expenditures were $9.1m (4.6% of revenue), compared to $5.5m in 3Q16 (4.2% of revenue) and $9.3m in 2Q17 (5.0% of revenue).
“GTT delivered another good quarter of growth,” stated Rick Calder, GTT president and CEO. “We have great momentum in our business, and with our previously announced financial objectives now well within reach, today we are establishing our next set of financial objectives of $2bn in revenue and $550m in Adjusted EBITDA within the next four years.”
“Our clients continue to demonstrate tremendous demand for our cloud networking services given our strong value proposition,” stated Mike Sicoli, chief financial officer. “Our investment in rep-driven growth, combined with our proven acquisition strategy, is the foundation to drive future growth and margin expansion.”