Enventis (formerly Hickory Tech) isn't trying to reinvent the
wheel; it just offers good old telecom services to homes and
businesses in the upper Midwest. Through subsidiaries, the company
provides almost 40,000 residential and business customers with
access lines in Iowa and Minnesota. It counts 20,000 broadband
Internet customers and 11,000 digital television customers. It also
offers fiber and data across five states with advanced data
solutions, Ethernet, high-capacity transport, Internet, VoIP and
unified hosted communications. In addition, its Enventis
Information Solutions unit provides data processing services to
other telecommunications companies.
Enventis operates in three segments: fiber and data; equipment;
and telecom. Each segment accounts for roughly a third of sales.
Its fiber network spans 4,200 fiber route miles with
facilities-based operations in Iowa, Minnesota, North Dakota, South
Dakota, and Wisconsin. The equipment division serves businesses
with IT network design, and its telecom segment offers traditional
bundled telecom services with voice, Internet, and digital
The company has a regional footprint in the upper Midwest --
Iowa, Minnesota, North Dakota, South Dakota, and Wisconsin.
The company has enjoyed growing revenues since 2010, with
overall sales growing 3% in 2013 to $189.2 million. The fiber and
data segment saw double-digit growth of 11%, and the equipment
segment also grew mainly through service revenue, as part of a plan
to maximize this higher margin service revenue.
Only its legacy telecom business saw a decline of 4% from
intense competition and alternative communication options as more
customers choose VoIP products and services (which is offered by
the fiber and data segment) but Enventis does sometimes lose out to
As fewer families use landlines, Enventis has been able to
reposition itself from a regional telephone company to a 21st
century advanced communications firm. Its long-term growth strategy
focuses on business and broadband services by making strategic
investments to grow the fiber and data segment (B2B and wholesale)
to offset its legacy telecom business.