Rogers weighed down by $434 million debt
Toronto, - Losses piled up at Rogers Communications Inc. last year as the company struggled with rising interest expenses.
The multimedia company lost $176.29 million (90 cents a share) in the quarter. In the same period of last year, the company lost $21.1 million (19 cents a share).
For the full year, Rogers lost $434.29 million, or $2.41 a share. In 2000, Rogers turned a profit of $141.4 million, or 42 cents a share.
Rogers faced rising interest payment on its debt load. In 2001, the company's interest costs rose 39.6 per cent to $185.1 million. At the end of 2001, Rogers' long-term debt stood at $4.99 billion, up from $3.96 billion a year earlier.
"We are again encouraged by the continued strong growth in each of the operating divisions, especially in this very challenging economic climate," RCI chief executive Ted Rogers said in a release.
"Cable again posted double-digit revenue and operating income growth, while wireless posted its second straight quarter of improved year-over-year results under the direction of its dynamic new leadership team," Rogers said.
"Media has continued to leverage its category leading brands and rapidly adjust its cost structure to weather the current advertising slowdown and is poised for continued strong growth going forward. We enter 2002 with all of our businesses extremely well-positioned strategically in their respective markets," he added.
Meanwhile, Rogers Wireless, which is 52-per-cent owned by Rogers Communications, reported a $199 million net loss for 2001, up from $71.7 million in 2000. Rogers Wireless lost $1.47 per share last year, compared with 59 cents a share in 2000.
Higher interest expenses were again the story at Rogers Wireless. Interest costs rose by $68.3 million, to $201.4 million.
Revenues at Rogers Wireless were up 7 per cent to $1.75 billion in the year
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