Vonage Holdings posts increased losses

Vonage Holdings posts increased losses

Internet phone carrier Vonage Holdings Corp. has posted its first result as a public listed company and they have failed to impress the market.

The company said that its losses increased 17 percent in the second quarter. They continue to suffer from high cost of customer acquisition.

Vonage managed to raise nearly $500 million with a May 24 initial public offering, which ended up becoming a financial disaster for investors. It has fallen down from the debuted price of USD 17 to around USD 7 now.

The company posted losses of $74.1 million, or $1.16 per share. This has gone worse from loss of $63.6 million in the same quarter last year.

The revenues for Vonage were at $143.4 million. This also failed to meet the market expectations of $148.3 million. However, it is an impressive improvement from revenues of $59.4 million in the same quarter a year ago.