Tucows Initiates $40M Stock Buyback Following Dismal Q4 Earnings

Toronto’s Tucows Inc. (NASDAQ: TCX) announced a share buyback program of $40 million to commence from February 10, 2021, and expire by February 9, 2022.
The previous $40 million buyback program between February 13, 2020, and February 12, 2021, has concluded. Tucows had 10.615 million shares outstanding as of February 8, 2021.
The company’s net revenue for the fourth quarter of FY20 declined 18% year-on-year to $70.8 million following the sale of its Ting Mobile customer relationships to DISH Network Corp (NASDAQ: DISH).
The gross profit declined 33% to $17.4 million. As a result, the net income fell 64% to $2.1 million, translating into an EPS of $0.19.
Cash and cash equivalents declined from $20.4 million to $8.3 million, and operating cash flow declined from $13.2 million to $1.6 million.
Price action: TCX shares closed lower by 6.69% at $83.74 yesterday.

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