Virgin Media makes ‘steady progress’ in Q1

Virgin Media has released its financial results for Q1, with revenue up 2.4% year on year to £1 billion.

Operating cash flow was £376 million, which is flat but in line with guidance. At the end of the quarter, operating income increased 18% to £131 million and net income rose £4 million to £7 million. Overall cable revenue was up by £12 million year on year to £678.3 million.

The company added 21,200 net cable customer, while gross disconnects were down 3,500. Meanwhile, the TiVo customer base increased by 242,000 to 677,100, representing just under a fifth (18%) of the TV base.

Neil Berkett, chief executive officer of Virgin Media, said: “In the first quarter of 2012, we’ve made steady progress against our strategy. Demand for superfast broadband and TiVo, the UK’s first mass market connected TV service, continued to gather momentum.

“We once again demonstrated the unique power of our network by starting to double the broadband speeds of over four million customers. We have seen an increase in ARPU and greater customer loyalty with our best subscriber retention for two years, and this has reinforced our confidence that people increasingly appreciate the value of a genuinely next generation digital experience.”

Download Virgin Media’s full results here.