Virgin Media saw its revenue increase to £1,081.6 million in the fourth quarter of 2006, up from £1,024.9 million in Q3.
Year on year revenue growth in Q4 was £597 million, which Virgin Media says is due to the merger with Telewest and the acquisition of Virgin Mobile.
Consumer revenue in the fourth quarter of 2006 was £644.4 million, up from £642.8 million in Q3.
Business revenue in the fourth quarter was £168.8 million, up £6.5 million compared to the third quarter primarily due to increased wholesale revenues from voice and fibre circuit kit sales, and an increase in retail data sales of £1.9 million.
Total mobile revenue in Q4 was £151.7 million, comprising £141.8 million service revenue and £9.9 million equipment revenue.
Steve Burch, chief executive officer of Virgin Media, said: “Our first set of figures released under our new name show continued improvement, with revenue growth across all segments, good growth in ARPU and triple play penetration, reduced churn and strong broadband and TV net additions.
“Underlying OCF growth was strong before the impact of merger implementation, rebrand and M&A costs. Overall, the performance of the underlying business is on track and provides a strong foundation for the rebranding to Virgin Media. Consumer reaction to the rebrand, announced on February 8, has been very encouraging. Our rebrand and the ongoing improvements to our business that it reflects, signal a great opportunity for our customers and investors and poses a serious challenge to our competitors.”
Earlier in the week, Sky claimed that the dispute over Virgin Media’s carriage of its basic channels, which will see an outcome by the end of today, could reduce the satellite braodcaster’s operating profits by £15 to £20 million (see Sky’s Profits Could Be Hit By Virgin Channel Row).
Related Links
