Cogent Communications 1Q loss widens on higher costs

WASHINGTON - Shares of broadband technology supplier Cogent Communications Group Inc. plunged Friday after it said its first-quarter loss widened slightly on higher equity-based compensation and other costs.

Net loss widened to $9.5 million, or 21 cents per share, from $9.4 million, or 19 cents per share, in the 2007 first quarter.

Sales rose 20 percent to $52.1 million from $43.6 million.

Analysts polled by Thomson Financial expected a loss of 18 cents on sales of $52.5 million.

The company said selling, general and administrative costs rose to $20.9 million from $14.1 million last year.

The figure includes $5.3 million in equity-based compensation, up from $1.6 million last year.

Shares of the Washington-based company fell $3.74, or 16.5 percent, to $18.94 in morning trading. They have traded in the past year between $15.96 and $34.90.

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.