Why did ATLN's EPS remain flat in recent quarters?

The EPS of Atlantic Tele-Network (ATLN) has remained flat in recent quarters due to a combination of factors:

1. Revenue Decline: There has been a decline in total revenue, which is a key indicator of the company's profitability. For instance, the revenue for the fourth quarter was $192 million, and the full-year revenue was $729.1 million, representing a 4% decline year-over-year. This reduction in revenue contributes to the flattening of EPS.
2. Cost Management: Despite the revenue decline, the company has managed to control costs, which has helped maintain EPS. For example, in the fourth quarter, the company reported a loss of $1.4 million, with a loss of 18 cents per share. The fact that the loss per share is relatively consistent despite the revenue decline suggests effective cost management.
3. Strategic Focus: ATLN is transitioning to focus on fiber and enterprise services, which requires significant investment and may impact short-term profitability. The company has scaled back capital expenditures to $90-$100 million for 2025. This strategic shift may temporarily flatten EPS as the company invests in long-term growth.
4. Market Conditions: The telecommunications sector is facing challenges, including cautious spending by clients and price pressures. These market conditions can impact revenue and, consequently, EPS.

In summary, the flat EPS is a result of a combination of declining revenues, effective cost management, strategic shifts, and challenging market conditions.