Shares of Cogent Communications (CCOI) plummeted 6.52% in pre-market trading on Thursday, February 27th, following the company's disappointing fourth-quarter results. The internet service provider reported a net loss of $0.91 per diluted share for the quarter, swinging from a profit of $4.17 a year earlier. The results missed analysts' expectations of a loss of $1.21 per share.

The company's revenue for the quarter declined to $252.3 million from $272.1 million in the same period last year, also falling short of Wall Street's expectations of $258.2 million. The weak financial performance can be attributed to several factors, as outlined in the earnings release:

- Cogent Communications experienced a significant drop in service revenue, which could be indicative of challenges in retaining or attracting new customers. - The company's adjusted gross margin and gross profit margins declined compared to the previous year, suggesting higher operational costs or pricing pressures. - EBITDA and EBIT figures also deteriorated, reflecting the overall profitability challenges faced by the company during the quarter.