KDG narrows Q1 net loss to EUR2.1m

24 Aug 2010

German cable operator Kabel Deutschland (KDG) has announced its results for the first fiscal quarter ended 30 June 2010, reporting a 6.1% year-on-year rise in revenues to EUR389.5 million (USD494.3 million) on the back of increased broadband and fixed telephony sales. The company’s first-quarter adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) reached EUR176.2 million, an increase of 11.2% compared to the EUR158.5 million posted in the same quarter of 2009. Profit before tax amounted to EUR7.9 million in Q1 2010, up from a loss of EUR4.3 million a year earlier, while the company narrowed its net loss to EUR2.1 million from a loss of EUR10.5 million in the three months ended 30 June 2009. KDG invested a total of EUR61 million in the three months ended 30 June 2010, down from EUR71.6 million a year earlier. Operating free cash flow increased to EUR115.2 million, up 32.6% compared to EUR86.9 million in the same period a year earlier. KDG has confirmed its outlook of adjusted EBITDA of between EUR715 million and EUR725 million for the full fiscal year ended 31 March 2011.

At 30 June 2010 KDG reported a total of 12.2 million revenue generation units (RGUs), up 3.6% year-on-year. ‘Internet and Phone’ RGUs remained the company’s main driver of growth, totalling 2.097 million at the end of June 2010, an increase of 32.3% compared to 1.584 million the previous year, while the number of ‘Premium TV’ RGUs rose by 12.8% during the same period to 1.108 million. At 30 June 2010 KDG customers subscribed to an average of 1.37 products, up from 1.30 products at the end of Q1 2009.

Germany, Kabel Deutschland