Profits & Losses: February 2008 Archives

Virgin Mobile USA  selected preliminary subscriber information and financial guidance for the fourth quarter and full year 2007. 

In the fourth quarter 2007, the Company expects to report net customer additions of approximately 210,000, bringing the total number of net additions for 2007 to approximately 512,000. Customer additions during the quarter reflect the company’s goal to attract and retain high value customers with positive return on investment. Having just passed its fifth anniversary in 2007, Virgin Mobile USA ended the year with 5,085,886 customers.

The Company expects to report churn of 5.1% for the fourth quarter of 2007, representing a decline of 50 bps from the same period in 2006. Churn for the full year 2007 is expected to be 4.9%, compared to 4.8% for the full year 2006. The Company is updating its guidance for Adjusted EBITDA to $95-$100 million for the full year 2007, representing minimum growth of 98% compared to the full year 2006. Based on preliminary data, the net loss for the full year 2007 is expected to be in the range of ($6)-($3) million.