MIDDLETOWN, R.I., Jan. 12, 2011 (GLOBE NEWSWIRE) -- Towerstream (Nasdaq:TWER), a leading 4G service provider, announced that it has reached EBITDA profitability in its Dallas market. It becomes the ninth of the Company's eleven markets to reach this milestone.
"We launched Dallas at the beginning of the economic downturn and are pleased to reach EBITDA profitability," said Jeff Thompson, President and Chief Executive Officer. "Businesses recognize the advantages of our wireless solution including faster delivery and scalable service at a lower cost."
"We expect continued growth in Dallas which is the 5th largest market in the United States with more than 65,000 businesses," stated Joseph Hernon, Chief Financial Officer of Towerstream. "It is important to note that EBITDA profitability and Market Cash Flow are not recognized measures under generally accepted accounting principles. We utilize these metrics to measure the operational performance of our markets, and their respective ability to contribute cash flow to support centralized operating and corporate overhead costs."
Key Operating Metrics and Non-GAAP Financial Measures
The terms "EBITDA" and "Market Cash Flow" are measurements used by Towerstream to monitor business performance and are not recognized measures under generally accepted accounting principles, or "GAAP." Accordingly, investors are cautioned in using or relying upon these measures as alternatives to recognized GAAP measures. Towerstream's method of calculating these measures may differ from other companies and, accordingly, may not be comparable to similar measures presented by other companies. The term "EBITDA" refers to earnings before interest expense, interest income, income taxes, depreciation, amortization and stock-based compensation. "Market Cash Flow" represents the amount of cash generated in a market after deducting a market's direct operating expenses from that market's revenues. Market Cash Flow does not include (i) centralized operating costs which support all markets collectively or (ii) any network related capital expenditures incurred in a market.
About Towerstream
Towerstream is a leading 4G service provider in the U.S., delivering high-speed wireless Internet access to businesses. Founded in 2000, the Company has established networks in 11 markets including New York City, Boston, Los Angeles, Chicago, Philadelphia, the San Francisco Bay Area, Miami, Seattle, Dallas-Fort Worth, Nashville, and the greater Providence area where the company is based. For more information, visit our website at or follow us on Twitter @Towerstream.
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Safe Harbor
Certain statements contained in this press release are "forward-looking statements" within the meaning of applicable federal securities laws, including, without limitation, anything relating or referring to future financial results and plans for future business development activities, and are thus prospective. Forward-looking statements are inherently subject to risks and uncertainties some of which cannot be predicted or quantified based on current expectations. Such risks and uncertainties include, without limitation, the risks and uncertainties set forth from time to time in reports filed by the Company with the Securities and Exchange Commission. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Consequently, future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking statements contained herein. The Company undertakes no obligation to correct or update any forward-looking statements, whether as a result of new information, future events or otherwise.
CONTACT: INVESTOR CONTACT: Terry McGovern Vision Advisors 415-902-3001 mcgovern@visionadvisors.net MEDIA CONTACT: Matt Calderone LaunchSquad Public Relations 212-564-3665 towerstream@launchsquad.com