ACC Corp. Reports Record Quarterly and Annual Revenue Growth

Strategic Insights -

In a significant turn of events, ACC Corp., a leading telecommunications holding company, has announced record quarterly and annual revenue growth, with a 18.6% increase in fourth quarter revenue to $36.9 million, compared to the same period in 1993. The company's annual revenue reached a record $126.4 million, a 19.3% increase from the previous year. This impressive growth can be attributed to the company's strategic investments in its Canadian equal access costs, multi-country university, alumni marketing programs, and sales force expansion.

Key Takeaways:

  • ACC Corp. reported a record quarterly revenue of $36.9 million, representing an 18.6% increase from the same period in 1993.
  • The company's annual revenue reached a record $126.4 million, a 19.3% increase from the previous year.
  • The company's US Long Distance operations posted a 21.7% increase in fourth quarter revenue, and a 20.9% increase in annual revenue compared to the same periods in 1993.
  • ACC's Canadian subsidiary, ACC TelEnterprises, Ltd., reported a 4.9% increase in revenue in Canadian dollars and a 17.6% increase in revenue in US dollars.
  • The company's UK operations had a significant revenue growth, with $2.8 million (US) in revenue for the fourth quarter, and $4.1 million (US) in revenue for the year.
  • ACC Corp. achieved several strategic and operational objectives in 1994, including becoming the first long distance competitor to negotiate and sign an interconnection agreement with British Telecom in the UK.
  • The company also completed equal access conversion in Canada in six months, opened sales offices in Calgary and Winnipeg, and installed a switching center in Vancouver to expand its presence in Western Canada.
  • Following the company's merger announcement with US One Communications Corp., ACC anticipates a significant revenue growth in 1995.

Statistics:

  • $36.9 million: Record quarterly revenue for ACC Corp. (4th quarter 1994)
  • $126.4 million: Record annual revenue for ACC Corp. (1994)
  • 18.6%: Increase in fourth quarter revenue compared to 1993
  • 19.3%: Increase in annual revenue compared to 1993
  • $15.7 million: Revenue generated by ACC's US Long Distance operations in the fourth quarter (1994)
  • 25.6%: Increase in billable minutes for the fourth quarter (1994) compared to 1993
  • 29.3%: Increase in annual billable minutes (1994) compared to 1993
  • $54.6 million: Annual revenue generated by ACC's US Long Distance operations (1994)
  • $4.9%: Increase in revenue in Canadian dollars for ACC's Canadian subsidiary (4th quarter 1994)
  • $17.6%: Increase in revenue in US dollars for ACC's Canadian subsidiary (1994)

Sources:

  • ACC Corp. press release, February 16, 1995
  • Company website: http://www.acc.com
  • Nasdaq-NNM: ACCC