Telewest today announced that 51,000 internet and 12,000 household subscribers were added during quarter one, helping to reduce the group net loss to £36 million from £187 million on the same period last year.
Acting Chief Executive, Barry Elson, said: “Today’s results reflect a good first quarter. Broadband growth, successful marketing and the value of our product bundles are helping us to deliver good results in an increasingly competitive environment.”
Operating loss was down to £7 million for the period ending 31 March 2004, from £25 million on quarter one 2003, while operating profit rose to £2 million from a loss of £22 million last year. Elson said: “Customer and RGU growth, increased ARPU and continued cost control are producing positive cash flow before financing.”
‘Triple play’ penetration – customers paying to have telephone, TV and internet broadband services provided by Telewest – is now subscribed to by 18.9% of its customers. Improving customer care has also helped to maintain existing customer base with churn – the proportion of customers canceling subscription, being down to less than 1% a month.
Telewest now has 77,000 revenue generating household customers; with total revenues per user reaching a record average of £45.05, says the statement.
Looking forward, Elson said: “We expect our focus on customer care, broadband and cost control will help us continue to produce customer growth, good operating results and positive free cash flow for the full year.”
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