(VMED) Virgin Media Remains Challenged

November 2nd, 2009

Virgin Media Inc. (VMED) declared mixed financial results for the third quarter 2009. Quarterly total revenue of $1,536 million was up 1.3% year-over-year. Third quarter total revenue was also better than the Zacks Consensus Estimate of $1,511 million. The company added 8,100 net users in the reported quarter and pushed its customer’s average spend to a record high level. However, net loss, in the same quarter was $96.8 million or 29 cents per share compared to a net loss of $232.8 million of 72 cents per share in the prior-year quarter. Third quarter net loss of 29 cents per share was well below the Zacks Consensus Estimate of a loss 19 cents per share.

Quarterly cost of sales was $646 million compared to $756 million in the prior-year quarter. Quarterly operating expenses were $804.6 million compared to $927.8 million in the year-ago quarter.

Consumer Segment
Overall quarterly revenue from the Consumer segment was $1,250.4 million, up 2.5% year-over-year. On-net (fiber optic cable) revenue was $1,011 million, an improvement of 5.3% over the prior-year quarter. ARPU (average revenue per user) from On-net services also increased 5.3% to $71.3 in the reported quarter. Quarterly Broadband subscriber net addition was 39,000, TV net addition was 37,000, and Telephony net addition was 16,000. Average monthly On-net churn remained stable year-on-year at 1.5%. Mobile revenue, in the third quarter, was $216 million, down 7.8% year-over-year. Mobile contract net additions in the reported quarter were 88,000. Quarterly Off-net (non-cable) revenue was $23.2 million, down 3.4% year-over-year.

Business Segment
Overall Business segment revenue, in the third quarter, was $230.9 million, down 6.6% year-over-year. The high-margin Retail data revenue was $89.3 million, up 12% year-over-year. Retail voice revenue was $71.4 million, down 6.7% year-over-year. LAN solutions revenue was $12.3 million, down 44.1% year-over-year. Wholesale revenue was $58 million, 16.3% year-over-year.

Content Segment
Quarterly revenue of this segment was $54.8 million, up 10% year-over-year.

Zacks Investment Research
View original at: Zacks.com News Feed

More on this topic (What's this?)
Virgin Media Inc (NASDAQ:VMED) Stock Picks Services Sector Sizzled The Investors (Penny Stock DD, 1/16/12)
NGA news: Australia, Virgin Media and 3-D (Communications Breakdown, 3/20/09)
Sprint To Buy Virgin Mobile USA (Telecom Ramblings, 7/28/09)
Virgin Media Unveils Savvis-Powered Cloud (Telecom Ramblings, 9/28/11)
Read more on Virgin Media at Wikinvest

Related Posts:

  1. (DM) Dolan Media Company – Revenues Soared 61.3% in the Second QuarterDolan Media Company (DM) is making big profits from its counter cyclical mortgage default processing...
  2. (R) Ryder System Beats, Remains ChallengedRyder System Inc. (R) reported adjusted earnings per share [EPS] of 50 cents for the...
  3. (VMED) Virgin Media Chooses CiscoVirgin Media Inc (VMED) has decided to upgrade its IPTV distribution platform and legacy digital...
  4. ($S) FTC OKs Sprint-Virgin Mobile MergerSprint Nextel (S) reportedly received approval from the Federal Trade Commission for its acquisition of...
  5. (DM) Dolan Media Co. – Aggressive Growth – Zacks Rank BuyDolan Media Co. (DM) beat Wall Street estimates on strong revenues as shares and estimates...
  6. (VVTV) Asset Play with ValueVision Media Inc.Every now and then I like to give guest authors a chance to share their...


Search Posts by Tag: | | CATV Systems | Services

RSS Feeds by Tag: Virgin Media | VMED | CATV Systems | Services |

Other Posts by: | RSS Feed for this author