Sequential quarter Adjusted EBITDA growth of $14.7 million was driven by revenue growth (both organic and acquisition related) and the realization of cost savings associated with the AboveNet acquisition.
Loss from continuing operations decreased by $33.4 million in the quarter ended December 31, 2012 as compared to the previous quarter. The decrease in the loss is attributed to the aforementioned growth and cost savings. Additionally, a $65.0 million loss on extinguishment of debt was recognized in the first quarter of Fiscal 2013 as compared to a loss on extinguishment of debt of $5.7 million recognized in the second quarter of Fiscal 2013. Also contributing to the decrease in loss was a reduction in transaction costs (costs incurred as a result of acquiring companies) of $9.7 million and a reduction to interest expense of $9.9 million resulting from the Company's October 2012 debt refinancing. Transaction costs represent expenses which are directly related to the Company's acquisitions. Partially offsetting the quarter-over-quarter decreases to loss from continuing operations were a $23.0 million increase in non-cash stock-based compensation and a $33.3 million increase in the Company's provision for income taxes during the current quarter.
Three Months Ended December 31, 2012 and December 31, 2011Figure 1.1Zayo Group Summary Results($ in millions) Three months ended ---------------------------- December 31, December 31, 2012 2011 ------------- -------------Revenue $ 243.5 $ 89.0 Revenue growth 174%Gross profit 208.6 69.7 Gross profit % 86% 78%Operating income 44.1 13.4Earnings from continuing operations before taxes (14.0) 1.9Provision for income taxes 6.0 3.0 ------------- -------------(Loss)/earnings from continuing operations $ (20.0) $ (1.1) ============= ============= ----------------------------Adjusted EBITDA $ 137.3 $ 45.1Purchases of property and equipment 58.9 31.4 ------------- -------------Unlevered free cash flow $ 78.4 $ 13.7 ============= ============= EBITDA growth 204% Adjusted EBITDA margin 56% 51%
Revenue increased $154.5 million over the second quarter of fiscal year 2012 principally as a result of our Fiscal 2012 and Fiscal 2013 acquisitions. The remaining increase in revenue recognized during the three months ended December 31, 2012 as compared to the three months ended December 31, 2011 was a result of organic growth. Since December 31, 2011, the company has received acceptance on gross installations that have resulted in additional monthly revenue of $12.5 million as of December 31, 2012 as compared to December 31, 2011. This increase in revenue related to our organic growth is partially offset by total customer churn of $9.3 million in monthly revenue since December 31, 2011.
