Windstream tells shareholders wireline company is thriving

With fewer housing starts, there are fewer opportunities to bring in new customers, but with residential customers staying put, he said fewer customers have moving as an impetus to change service.

"Net-net, it's kind of a wash," Gardner said.

The company is working to bundle services as it strives to increase penetration.

"We're among the industry leaders in bundling, which is key," he said.

Though Windstream's most basic offering is traditional landline phone service, Gardner said the company is in good position to be profitable for many years.

"We're wired, but we're changing rapidly," he said.