Company hits stumbling blocks in Q1.
It is truly a quarter where it would be a lot easier to be private than public, but all of that makes me continually grateful for the nature of our investors.
That’s what Tucows CEO Elliot Noss had to say about his company’s first quarter 2019 results released yesterday.
Tucows (NASDAQ: TCX) reported declining year-over-year numbers. Revenue was down 18% and net income fell 25%.
The results weren’t nearly as bad as the headline numbers. In Q1 2018 the company accelerated revenue recognization for domains it transferred to Namecheap. Take that out and the revenue number slipped just 3%.
That’s still the wrong direction and there were some hits during the quarter, but Noss says they’re just short-term. The company had setbacks on Ting Mobile and in the domain aftermarket. Expired domain revenue was lackluster.
But Noss points to the company’s long-term trends in fiber and fixing some carrier relationships for mobile as pointing in the right direction. The Ascio acquisition will also boost the company going forward.