KDG 9M revenue up 7% on rising demand for services

23 Feb 2011

German cable operator Kabel Deutschland (KDG) has posted a 6.9% year-on-year rise in revenue to EUR1.19 billion (USD1.62 billion) for the nine months ended 31 December 2010. Turnover for the third quarter increased 7% to EUR405.3 million. The company’s earnings before interest, tax, depreciation and amortisation (EBITDA) in the first nine months of its 2010/11 fiscal year totalled EUR540.4 million, an 11.1% increase compared to EUR486.3 million in the same period a year earlier, while EBITDA for the third quarter rose to EUR185.2 million from EUR164.5 million the previous year. KDG reported a pre-tax loss of EUR46.7 million for the nine-month period, compared to a loss of EUR5.2 million a year earlier. The figure included EUR47 million in non-recurring expenses in connection with the company’s refinancing of its corporate bonds. The net loss for the nine-month period increased accordingly, to EUR43.9 million, from a loss of EUR22.3 million the previous year. For the three months ended 31 December 2010 KDG posted a net loss of EUR36.06 million, compared with a profit of EUR4.1 million a year earlier. KDG said it invested EUR226 million in the first nine months of its fiscal year 2010/11, down slightly from EUR233.2 million in the same period a year earlier.

In terms of subscribers, KDG reported a total of 12.495 million revenue generating units (RGUs) at 31 December 2010, up from 11.927 million at the end of 2009, with growth driven by strong demand for new premium TV, internet and telephony services. These services accounted for 3.565 million RGUs, representing a 28.5% share of total RGUs (up from 24.2% a year earlier). The number of internet and telephony RGUs rose from 1.844 million at end-2009 to 2.343 million a year later, while total internet and telephony subscribers rose 23.7% year-on-year to 1.273 million. Monthly average revenue per users (ARPU) increased to EUR13.32 in the third quarter ended 31 December 2010 from EUR12.30 in the year-ago period. KDG served a total of 8.792 million connected households at the end of 2010.

Germany, Kabel Deutschland