Shares of Boingo Wireless Inc. took a dive Friday following the company’s disappointing earnings.
The stock closed down $1.21, or more than 15 percent, to $6.77 on the Nasdaq. Shares had fallen as low as $6.45, a nearly 20 percent drop, during morning trading.
The Westwood Wi-Fi provider reported earnings Thursday after market close.
Revenue for the fourth quarter was up 8 percent to $28 million, just slightly ahead of Wall Street expectations of $27.5 million. Net income was 3 cents per share, which missed the expected 6 cents.
Boingo also reported that it now estimates first quarter revenue between $21 million to $23 million, below Wall Street’s estimated $27.9 million. The company estimates a loss for the quarter, while Wall Street estimated 7 cents per share.
Boingo Chief Executive David Hagan called 2012 a transition year for the company as it repositions its business to focus more on mobile data.
For reprint and licensing requests for this article, CLICK HERE.
Stories You May Also Be Interested In
- No Bounce in Boingo’s Earnings
- Boingo Shares Rise as Revenue Beats Estimates
- Boingo Earnings Beat Expectations
- EARNINGS: Air Lease, Boingo Wireless, Demand Media Marcus & Millichap
- Online Postage Company Finds Way on Wall Street
- Boingo Shares Slip on Outlook
- Wall Street Cools to Provider of Wi-Fi Hot Spots
- Boingo Beats Guidance