HickoryTech raises earnings estimate

HickoryTech said today that it expects to report full-year 2003 earnings per share to be between 66 cents and 70 cents. That is up significantly from the 59 cents to 63 cents per share management estimated after the first quarter.

Driving the estimates upward are better-than-expected results from wireless roaming, network access and DSL service. In addition, the company has trimmed expenses and expects its CLEC group to reach positive operating cash flow this year.

“There isn’t any one thing that’s improving our results. It’s really a focus on improving cash flow," said John Duffy, president and CEO of HickoryTech. "It’s not only at the operations level but also at the balance sheet level.” On a quarterly basis, HickoryTech expects earnings per share of 17 cents to 19 cents for the second quarter ending June 30, 2003, up from the 14 cents to 17 cents in the company's previously announced guidance. The carrier reported earnings per share of 13 cents in the second quarter of fiscal 2002.

The company also said it expects the second quarter of 2003 to have the highest net income from operations, between $2.3 million and $2.6 million since the first quarter of 1999.