Virgin Media Adds Almost 25,000 TV Subscribers
Virgin Media added 24,800 TV subscribers during the three months ending June 30, as well as 54,600 subscribers to its cable broadband service.
The group also reported an underlying operating profit of £333 million for the second quarter, with revenues of £990.5 million.
The cable company posted an operating loss of £333 million in Q2, compared with a £3 million profit in Q2 2007.
This was mainly due to a £366m non-cash goodwill impairment charge coming from the company’s mobile business.
When this £366 million charge is taken out of the figures, the group’s underlying operating profit was £333 million in the second quarter.
Neil Berkett, chief executive officer of Virgin Media, said: “These second quarter results represent another solid operational and financial performance as we continue to lay a strong foundation for future growth.
“We have enjoyed another quarter of low churn and our customers buying more products from us than ever before. Combined with a rigorous emphasis on making the business a more efficient organization, we have seen OCF growth and strong cash generation. We have continued to focus on putting the customer at the heart of everything we do and improving the quality of the services and experience we offer. We’re also pleased with the improvement in performance of our mobile operation from the prior quarter.
“In the face of a tougher national economic environment our business has demonstrated good resilience. We continue to focus on improving our operational execution and driving unnecessary cost and inefficiencies out of the business.
“We will continue to exploit our competitive advantages in leading next generation broadband in the UK and redefining the on-demand TV experience. The second half of this year will mark a major milestone as we roll out our unrivalled 50Mb broadband service. We believe this superfast service, combined with our leading video-on-demand product, will prove extremely attractive to existing and new customers.”
Virgin Media: www.virginmedia.com