Cbeyond Revenues Flat While Focusing on 'Tech Dependent' Companies

By Josh Long

Cbeyond Inc. on Wednesday reported no sequential growth in the second quarter.

Revenues of $123.8 million were the same as in the previous quarter and rose 2.6 percent over the year-ago period.

The company posted a $2.7 million profit in a reversal from a year-ago net loss of $1.7 million.

Atlanta-based Cbeyond has been focusing on small- and medium-sized customers it calls “tech dependent” as the company seeks to add IT and cloud services on top of traditional communications offerings.

“We continue to execute and are on track with our transformation from being a trusted communications partner with our SMB customers to becoming their full technology ally,” said Jim Geiger, CEO of Cbeyond, in a statement.

Cbeyond, which serves about 62,000 customers, reiterated its annual guidance of $485-$490 million in revenues, $85-90 million in adjusted EBITDA and $25-$35 million in free cash flow.