Leap revenues up 14.6% to USD 729.5 mln in Q4

Leap Wireless International saw its service revenues for the fourth quarter increase 14.6 percent over the prior year quarter to USD 729.5 million. The company reported adjusted operating income before depreciation and amortisation (OIBDA) of USD 135.1 million for the fourth quarter, compared to USD 107 million for the comparable quarter of the prior year. Leap also reported a fourth quarter 2011 operating loss of USD 3.5 million, compared to an operating loss of USD 27 million for the fourth quarter of 2010. Capital expenditures were USD 152.4 million for the fourth quarter of 2011. The company gained approximately 179,000 customers during the fourth quarter of 2011. Net customer additions for the fourth quarter were comprised of approximately 209,000 voice net customer additions and net deactivations of approximately 30,000 broadband customers, bringing total net customer additions for the full-year 2011 to approximately 416,000. The company ended the year with approximately 5.9 million customers. Customer churn for the fourth quarter of 2011 was approximately 3.9 percent, a decrease from 4 percent for the comparable period of the prior year. Voice churn for the fourth quarter of 2011 was 3.7 percent, compared to 3.6 percent for the comparable period of the prior year. ARPU for the fourth quarter of 2011 was USD 42.09, an increase of USD 3.95, or 10.4 percent, over the comparable period of the prior year, and USD 0.84, or 2 percent, from the third quarter of 2011. The year-over-year increase in ARPU primarily reflected increased customer acceptance of the company's smartphones, Muve Music devices and higher-value, "all-inclusive" service plans and increased service plan pricing for the company's broadband service.