Virgin Media has reported revenues of £991 million in Q3, down from £1 billion a year earlier.
Operating income before depreciation, amortisation and other charges (OCF) fell to £325 million from £342 million but was in line with forecasts.
Earlier this week Virgin and BSkyB resolved a dispute which had seen the satellite broadcaster’s basic channels removed from the cable platform.
Two new deals – lasting until 2011 – were agreed, which will see the basic channels, including Sky1, Sky News and Sky Sports News, return to Virgin Media on November 13.
Virgin said today that it would pay Sky a license fee of £30m a year for the channels, plus a capped performance-based adjustment.
The adjustment allows for maximum additional payments of £6 million and £8 million in years one and two respectively and £7.9 million in the final seven months of the term.
The average revenue per user was up slightly at £41.94 from £41.55 last year.
The cable company added a net 8,300 new subscribers in the third quarter, according to a trading statement released today.
Total net TV customer additions were 37,800 in Q3, up from 24,800 in the second quarter and 20,400 in Q3 2007.
Broadband users reached 68,700, down from 115,800 in 2007, although Virgin said that 78% of them were on its highest speed packages. Virgin Media now has 3.88 million broadband users.
The company’s VoD service had a record 45 million average monthly views in Q3, up from 23 million in Q3 2007.
Related Links
