GCI profit drops 81 percent in 3Q

The company also upgraded its revenue and operating profit guidance for the year.

Net income in the quarter ended Sept. 30 fell to $564,000, or a penny per share, from $3 million, or 5 cents per share, a year earlier.

Chief Financial Officer John Lowber blamed the net income drop on "increases in depreciation and interest expense resulting largely from our ongoing capital expenditures programs."

Revenue grew 13 percent to $151.2 million from $134.1 million a year ago.

Earnings before interest, taxes, depreciation, amortization and share-based compensation grew 20 percent to $46.7 million from $38.9 million.

Analysts surveyed by Thomson Reuters expected, on average, earnings per share of 6 cents per share on revenue of $141.5 million.

The company said it now expected revenue for all of 2008 to be between $560 million and $570 million, up $10 million from a previous forecast. It also boosted EBITDAS guidance for the year by $5 million to more than $170 million.

The third-quarter earnings were preliminary because the company still had to complete depreciation calculations after acquiring operating control of Alaska DigiTel in the quarter.

Shares added 9 cents to $7.64 in afternoon trading.