Metro PCS 2007 Annual Report Download - page 103

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F-4
MetroPCS Communications, Inc. and Subsidiaries
Consolidated Statements of Income and Comprehensive Income
For the Years Ended December 31, 2007, 2006 and 2005
(in thousands, except share and per share information)
2007 2006 2005
REVENUES:
Service revenues .................................................................................. $ 1,919,197 $ 1,290,947 $ 872,100
Equipment revenues............................................................................. 316,537 255,916 166,328
Total revenues..................................................................................... 2,235,734 1,546,863 1,038,428
OPERATING EXPENSES:
Cost of service (exclusive of depreciation and amortization expense
of $157,387, $122,606 and $81,196, shown separately below) ......... 647,510 445,281 283,212
Cost of equipment................................................................................ 597,233 476,877 300,871
Selling, general and administrative expenses (exclusive of
depreciation and amortization expense of $20,815, $12,422 and
$6,699, shown separately below)....................................................... 352,020 243,618 162,476
Depreciation and amortization............................................................. 178,202 135,028 87,895
Loss (gain) on disposal of assets.......................................................... 655 8,806 (218,203)
Total operating expenses..................................................................... 1,775,620 1,309,610 616,251
Income from operations........................................................................ 460,114 237,253 422,177
OTHER EXPENSE (INCOME):
Interest expense ................................................................................... 201,746 115,985 58,033
Accretion of put option in majority-owned subsidiary......................... 1,003 770 252
Interest and other income..................................................................... (63,936) (21,543) (8,658)
Impairment loss on investment securities ............................................ 97,800 — —
Loss on extinguishment of debt ........................................................... — 51,518 46,448
Total other expense............................................................................. 236,613 146,730 96,075
Income before provision for income taxes............................................ 223,501 90,523 326,102
Provision for income taxes................................................................... (123,098) (36,717) (127,425)
Net income............................................................................................ 100,403 53,806 198,677
Accrued dividends on Series D Preferred Stock .................................. (6,499) (21,006) (21,006)
Accrued dividends on Series E Preferred Stock................................... (929) (3,000) (1,019)
Accretion on Series D Preferred Stock ................................................ (148) (473) (473)
Accretion on Series E Preferred Stock................................................. (106) (339) (114)
Net income applicable to common stock .............................................. $ 92,721 $ 28,988 $ 176,065
Net income............................................................................................ $ 100,403 $ 53,806 $ 198,677
Other comprehensive income:
Unrealized gains (losses) on available-for-sale securities, net of tax... 6,640 (1,211) (28)
Unrealized (losses) gains on cash flow hedging derivatives, net
of tax.................................................................................................. (13,614) 1,959 1,914
Reclassification adjustment for (gains) losses included in net
income, net of tax .............................................................................. (8,719) (1,307) 168
Comprehensive income......................................................................... $ 84,710 $ 53,247 $ 200,731
Net income per common share: (See Note 17)
Net income per common share — basic .............................................. $ 0.29 $ 0.11 $ 0.71
Net income per common share — diluted............................................ $ 0.28 $ 0.10 $ 0.62
Weighted average shares:
Basic .................................................................................................... 287,692,280 155,820,381 135,352,396
Diluted ................................................................................................. 296,337,724 159,696,608 153,610,589
The accompanying notes are an integral part of these consolidated financial statements.