Qwest, a provider of fiber-optic internet service, has reported net income of $212m for the second quarter of 2009, an increase of 18% when compared to net income of $180m in the same quarter of the prior year. For the quarter, earnings per share were 12 cents, an increase of 20% when compared to 10 cents in the same period a year ago.
The company reported net operating revenue of $3.1 billion for the second quarter of 2009, a decline of 9%, from $3.4 billion in the corresponding period in the previous year. For the quarter, operating income was $491m, a decline of 13% over $564m for the second quarter of the previous year.
In the quarter, Qwest and IBM announced a 5-year agreement where Qwest is expected to sell and deliver managed services, including security, network management and unified communications, to mid-sized businesses beginning later this year.
The company recently secured new contracts with the Utah Education Network for statewide broadband services and the US General Services Administration to deploy Managed Trusted Internet Protocol Services (MTIPS).
Edward A. Mueller, chairman and CEO of Qwest, said: “Considering the economic environment, I am very pleased with our overall performance in the first half of 2009. Our commitment to disciplined management is evident in our strong cash flow results. This focus allows us to continue to augment our financial strength and provide tangible rewards for our shareholders.
“At the same time, we are laying the foundation for stronger performance when we emerge from a tough economy. While current market conditions dictate a cautious approach, we continue to invest in areas of the business that will define our future, including expanded broadband capabilities and significant product development to support continuing demand for our enterprise services.”
