Earnings: Clearwire Expects Eight Major Mobile WiMax Markets, 100 Devices By Year-End

imageClearwire (NSDQ: CLWR), the Kirkland, Wash.-based company rolling out WiMax wireless broadband nationwide, reported fourth quarter and year-end financial results, but mostly took the opportunity to talk about the positive things happening in 2009. That forward-looking focus was likely for two reasons. The first is because Clearwire merged with Sprint (NYSE: S) Nextel’s WiMax operations during the year and received more than $3 billion in investments from a handful of cable companies, and Google (NSDQ: GOOG). The second reasons is because over the past few months so much attention has given to other companies, including Verizon Wireless (NYSE: VZ), AT&T (NYSE: T) and Vodafone (NYSE: VOD), which have chosen another technology path: LTE. The company’s stock fell 28 cents to close at $3 a share in regular trading.

Earnings elease | Webcast (1:30 p.m. PST).

The financial results and the business outlook after the jump…

The financial results: Because of the merger, Clearwire reported revenues of $20.5 billion for both the fourth quarter and year end 2008. It’s net loss was $118 million in the fourth quarter and $432.6 million for the full year. Net loss attributable to diluted shares was 28 cents for the fourth quarter. Pro forma numbers are likely a better gauge because it includes results from both Sprint and the old Clearwire. In Q4, pro forma revenue increased 32 percent to $59.7 million, compared to $45.4 million in the period 2007. Revenue growth was driven by 5,000 net new subscribers Clearwire added during the period. In all, it now has 475,000. Q4 ARPU was $39.70, which grew because of increased sales of new services to existing customers, including VoIP and PC Cards.

Expectations going forward:
— First mobile WiMax launch: The company said that its first mobile WiMax launch in Portland, Ore. saw initial sales more than double compared to any other of the company’s 47 other launches.
— Mobile WiMax expectations: It expects to reach 120 Million Americans in 80 markets in 2010; The cities it expects to launch in 2009 include: Atlanta, Las Vegas, Chicago, Charlotte, Dallas/Ft. Worth, Honolulu, Philadelphia and Seattle. Cities in 2010 include: New York, Boston, Washington, D.C., Houston and the San Francisco Bay Area.
— Clearwire expects to launch a modem that will roam between 3G and 4G networks.
— The company will launch a “personal hot spot,” which will WiMax to be rebroadcast into Wi-Fi. The device is expected by the end of the month.
— Clearwire expects there to be nearly 100 mobile WiMAX devices

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