Towerstream Corporation (NASDAQ:TWER), a leading fixed-wireless fiber alternative company, is pleased to provide an update on its progress with its growth strategy. The company expects to have added 170 new buildings in H2 of 2016 that are equipped with its On-Net platform. This is expected to result in a nearly 70 percent increase in the total number of businesses in the company’s On-Net buildings able to purchase its On-Net services.
| ● | Expected to add 170 new buildings to On-Net footprint in H2 over H1 |
| ● | Represents a nearly 70 percent increase expected in the total number of businesses in On-Net buildings |
| ● | Recent $4 million capital raise gives Company flexibility to pursue growth initiatives |
| ● | September contracts, when installed, expected to add more than $780,000 in annual revenue. |
Towerstream recently issued guidance that it expects to add 100 new buildings to its On-Net footprint in Q4. This represents a 22 percent increase over new buildings added in Q3 and is more than double the Q2 expansion (+144 percent).
The company expects to end 2016 with a total of 437 buildings On-Net. The company will have more than 13,000 businesses within its footprint that are available to procure On-Net services, up 30 percent from Q3.
The company’s $4 million equity financing, which closed last month, gives Towerstream greater financial flexibility to pursue its expansion. Management targets ambitious growth in 2017-18 and beyond and expects the recent involvement ofErnie Ortega with Sales and Marketing will facilitate that growth.
Management Comment
“As we expand On-Net buildings and businesses, we are seeing an uptick in sales. September contracts, when installed, represent about $780,000 in annual revenue,” stated Philip Urso, interim chief executive officer.
“There is momentum in our business now,” stated Arthur Giftakis, chief operating officer. “More and more companies are recognizing the benefits of our network. When we reached positive EBITDA in 2Q, it marked a turning point in the company’s development, and we expect continued improvements in our operating metrics going forward.”
About Towerstream Corporation
Towerstream Corporation (TWER) is a leading Fixed-Wireless Fiber Alternative company delivering high-speed Internet access to businesses. The company offers broadband services in 12 urban markets, including New York City, Boston, Los Angeles, Chicago, Philadelphia, the San Francisco Bay area, Miami, Seattle, Dallas-Fort Worth, Houston, Las Vegas-Reno, and the greater Providence area.
