Unitymedia reports growth in customers, revenues and EBITDA

22 May 2008

German cableco Unitymedia has reported its financial results for the three months ending 31 March 2008. Revenues and EBITDA showed year-on-year increases of 11% and 15% respectively, on the back of strong growth in revenue-generating units (RGUs).

Total cable revenues in the quarter amounted to EUR200.4 million (USD312.4 million), up 11% from EUR180.8 million in the first quarter of 2007. New services accounted for EUR35.2 million, up 59% year-on-year from EUR22.2 million, while basic cable revenues (for analogue and basic digital TV access) increased 2% yearly to EUR136.5 million, primarily as a result of a 17% price hike introduced on 1 January for the analogue service, designed to encourage the switch from analogue to digital reception. 20% of Unity´s basic cable subscribers had digital access at 31 March. Internet revenues increased by 78% to EUR8.9 million for the first quarter, highlighting the introduction of new single, dual and triple-play products. Turnover in the telephony business increased from EUR4.5 million in 1Q 2007 to EUR11.9 million in 1Q 2008, representing an increase from 2% to 6% of total revenues, mirroring the growth in internet business; over 90% of new retail broadband customers also take telephony. Net profit for the quarter was EUR39.5 million, compared with a loss of EUR4 million in the year-earlier period.

By 31 March, Unity had a total of 5.8 million RGUs; 4.7 million were basic cable TV subscribers, a fall of 3.1% compared to 31 March 2007, while 1.1 million took Unity’s ‘New Services’, up 71.4% in the same period. These comprised 485,000 digital TV subscribers (up 20.6%), 244,000 retail broadband users (up 137.5%), 132,000 takers of the ‘Multimedia Anschluss’ service (wholesale broadband for landlords – up 176.4%) and 222,000 telephony customers (up 181%).

Germany, Unitymedia