ATN International, Inc. (NASDAQ:ATNI) Q4 2015 Earnings Conference Call - Final Transcript

Feb 25, 2016 • 10:00 am ET


ATN International, Inc. (NASDAQ:ATNI) Q4 2015 Earnings Conference Call - Final Transcript


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Good day, ladies and gentlemen, and welcome to the Atlantic Tele-Network Q4 Earnings Conference Call and Webcast. [Operator Instructions] Later we will conduct a question-and-answer sessions and instructions will follow at that time. [Operator Instructions]

I'd like to introduce your host for today's conference Mr. Justin Benincasa. Sir, please begin.

Justin D. Benincasa

Great. Thank you operator. Good morning, everyone, and thank you for joining us on our call today to review our fourth quarter and full-year results. As usual with me here is Michael Prior, ATN's President and Chief Executive Officer. During this call, I'll be covering the relevant financial information and certain operational data and Michael will be providing an update on the business.

Before I turn the call over to Michael for his comments, I'd like to point out that this call and our press release contain forward-looking statements, concerning our current expectations, objectives and underlying assumptions regarding our future operating results and are subject to risks and uncertainties that could cause actual results to differ materially from those described. Also in an effort to provide useful information to investors, our comments today include non-GAAP financial measures. For details on these measures and reconciliations to comparable GAAP measures and for further information regarding factors that may affect our future operating results, please refer to our earnings release on our website at or the 8-K filing provided to the SEC.

And with that, I'll turn the call over to Michael.

Michael T. Prior

Okay. Thank you, Justin. First, I'll start with some highlights for both the quarter and the year. So, the most important one, I want to start with a headline from the release as we have been pointing to a falloff in U.S. Wireless wholesale revenues and margins for several quarters. And we expected that the combination of seasonality and the accounting for pricing tiers would make the impact most pronounced in the 2015 fourth quarter and it was. And it was largely inline with expectations although still, I will admit a disappointing ending to what was a solid year with a number of key strategic wins.

Our results were also negatively impacted by some fairly significant transaction charges, partly related to previously announced transactions and partly related to our review of potential investments in the renewables arena. While such charges are uneven and rarely that high in a given quarter or even a full fiscal year, they are a cost of doing business according to our model of growing both organically and through additional strategic investments and transactions. And I think that model by and large acquitted itself well in 2015.

We've signed telecom deals that strengthen our position in two existing markets, both have the potential to provide healthy and consistent long-term cash flows and to further fund other growth opportunities. And as I noted in our press release, I think the results of those deals and activity on other fronts has brought us to an inflection point in 2016. This year, we need to continue the transition of our