NASDAQ$TCX

Tucows Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Reported financial results with a decrease in net revenue and gross profit due to decreases in the Ting Mobile business, and gross margin was impacted by a non-recurring asset impairment charge related to Ting Internet TV product strategy change.

Tucows reported a decrease in net revenue and gross profit for the second quarter of 2020. The Domains business performed well, benefiting from increased transaction activity. The Ting Mobile business faced challenges, but the transition to the new Mobile Services Enabler model is expected to improve the outlook. Ting Internet continued to make progress, achieving a record quarter for capital expenditure on the network.

  • Net revenue decreased by 2.4% to $82.1 million compared to Q2 2019.
  • Gross profit decreased by 6.3% to $23.0 million compared to Q2 2019.
  • Net income was $0.2 million, or $0.01 per share, compared to $2.6 million, or $0.25 per share in Q2 2019, and included two non-cash, non-recurring charges for asset impairments totalling $2.3 million, or $0.22 per share.
  • Adjusted EBITDA increased by 6% to $12.2 million from $11.5 million for the second quarter of 2019.

Headline financials

Total Revenue

$82.1M

Previous: $84.1M-2.4%
EPS (adj)

$0.23

Previous: $0.24-4.2%
Capital Expenditures

-$12.2M

Previous: -$10.4M-16.7%
Free Cash Flow

-$12M

Previous: -$7.8M-53.8%
Net Income

$157K

Previous: $2.62M-94.0%
Operating Income

$1.54M

Previous: $5.75M-73.3%
Gross Profit

$23M

Previous: $24.5M-6.3%
Cash & Equivalents

$8.86M

Previous: $12M-26.2%
Total Assets

$442M

Previous: $414M+6.7%
Stock-Based Comp

$847K

Previous: $685K+23.6%

Revenue & EPS history

Tucows · Revenue · Quarterly

$82.1M

Q2 2020-2.4%vs Q2 2019
Beat estimate in 3 of 12 quarters(25%)
ActualEstimate

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+0.4%

Avg return

Earnings day

-2.0%

Avg return

5 days after

-1.9%

Avg return

30 days after

49%

32 / 65 earnings

Positive

+31.1%

Q3 2012

Best reaction

-20.7%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.0%-7.2%-14.7%
Q4 2025+5.6%-2.2%-11.2%
Q3 2025+4.6%+11.1%+8.1%
Q1 2025-2.2%+0.0%+11.7%
Q4 2024+26.6%-11.1%-16.4%
Q3 2024-8.0%-10.2%+2.7%
Q2 2024-7.1%-10.1%-14.6%
Q1 2024+4.3%+16.0%+22.5%
Q4 2023-5.7%-13.5%-15.9%
Q3 2023+23.5%+26.4%+41.9%
Q2 2023-10.7%-21.6%-9.2%
Q1 2023-12.2%-10.8%+11.0%
Q4 2022-0.7%+0.9%-32.8%
Q3 2022-20.7%-20.0%-25.5%
Q2 2022+12.6%+9.9%-5.9%
Q1 2022-11.2%-11.5%-11.5%
Q4 2021-2.1%-1.0%-18.1%
Q3 2021+5.1%+3.5%-6.9%
Q2 2021+2.1%-0.9%+1.1%
Q1 2021+5.0%+6.2%+6.0%
Q4 2020-7.4%-7.5%-10.7%
Q3 2020-5.6%-2.3%+2.3%
Q2 2020-6.7%-9.3%-11.3%
Q1 2020+6.4%+1.3%+15.3%
Q4 2019-4.5%-4.6%-21.1%
Q3 2019+5.9%+7.2%+4.3%
Q2 2019+4.3%+4.0%+17.8%
Q1 2019-19.2%-23.1%-27.1%
Q4 2018+0.5%+5.1%+12.1%
Q3 2018+16.9%+9.4%+14.9%
Q2 2018-4.1%-2.3%-1.7%
Q1 2018-4.8%-3.8%+0.1%
Q4 2017+5.0%-1.9%-0.9%
Q3 2017-3.8%-1.1%+2.1%
Q2 2017+12.4%+1.8%-2.8%
Q1 2017-5.7%-2.6%-0.8%
Q4 2016-5.6%-4.2%-4.6%
Q3 2016+5.1%+9.0%+20.2%
Q2 2016-5.2%-5.8%-3.8%
Q1 2016+6.0%
Q4 2015+4.0%
Q3 2015-2.4%
Q2 2015-4.3%
Q1 2015+7.5%
Q4 2014-0.1%
Q3 2014+2.4%
Q2 2014+2.3%
Q1 2014-3.2%
Q4 2013-2.4%
Q3 2013+8.0%
Q2 2013+9.2%
Q1 2013-9.5%
Q4 2012-12.4%
Q3 2012+31.1%
Q2 2012-4.4%
Q1 2012-8.1%
Q4 2009+5.9%
Q1 2011+5.9%
Q4 2011+5.9%
Q3 2010+1.1%
Q3 2011+1.1%
Q4 2010+0.0%
Q2 2011+0.0%
Q2 2010-3.8%
Q1 2010-4.2%

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