IP Democracy: Vonage Files for IPO, Names New CEO

After a period of mystery regarding what steps it would take, VoIP start-up Vonage has filed for an IPO. (See filing here. If this link doesn’t work, go here and search under company filings.) In the filing, Vonage also announces that the new CEO is Mike Snyder, formerly President of ADT Security Services. Founder Jeff Citron will become Chairman of the Board and “Chief Strategist.”

According to the filing, Vonage had $75.9 mil. in revenue for 2004, up from only $797,000 in 2004. For the first nine months of 2005, however, revenue skyrocketed to $167.3 mil.

But losses are steep — Vonage posted a net loss of $69.9 mil. in 2004 and $189.6 mil. for the first nine months of 2005. Still, net cash flow is strong although it seems that most comes from “financing activities” Vonage net cash flow from financing activities for the first nine months of 2005 was $195.9 mil.

Vonage ended the first nine months of 2005 with 1.062 mil. customers, up from approximately 391,000 at year-end 2004. The average monthly revenue generated per line was $26.63 for the first nine months of 2005.

More later.

Posted by Cynthia Brumfield on February 8, 2006 12:30 PM to IP Democracy