Frontier Communications yesterday reported lower revenue and a $5.45 billion goodwill impairment charge, and it warned investors that its revenue will continue to decline in future quarters.
Frontier’s financial performance is so bad that the company said it wouldn’t take any questions from investors during its quarterly earnings call yesterday. Frontier reported second-quarter revenue of $2.07 billion, down from $2.16 billion in Q2 2018 and $2.1 billion in Q1 2019. Frontier also reported a net loss of $5.32 billion, though this was due to the goodwill impairment charge.
Frontier also recorded a loss of $384 million related to the “disposal” of Northwest Operations, a four-state division that it is planning to sell to WaveDivision Capital. The sale isn’t final yet.
Frontier previously reported a net loss of $87 million in Q1 2019 and $18 million in Q2 2018. Frontier’s capital expenditures—which include broadband expansions and improvements—totaled $275 million in the second quarter, down from $305 million a year ago.