Liberty Global 2Q11 revenues rise 21%

3 Aug 2011

International cable company Liberty Global Inc (LGI) has reported consolidated revenues of USD2.62 billion for the three months ended 30 June 2011. This figure represents an increase of 21% on the USD924.1 million recorded in the same period a year ago. Meanwhile, LGI reports that operating income increased from USD327.1 million during 2Q10 to USD530.8 million during the year-later period. For the three months ended 30 June LGI reported CAPEX of USD508 million (or 19% of revenues), down slightly year-on-year. The company has reported a net loss of USD330.7 million for the second quarter, compared to a loss of USD674.8 million a year earlier. Meanwhile, LGI’s European cable division, UPC, booked revenues of USD994.5 million for the three months ended 30 June 2011. This figure represents an increase of 7.6% on the USD924.1 million recorded in the same period a year earlier. UPC’s operating income increased 31%, to USD234 million during 2Q11. For the three months ended 30 June UPC reported CAPEX of USD202.4 million (or 20% of revenues), down slightly on USD205.8 million (22% of revenues) during the corresponding period of 2010.

UPC – which comprises companies in Germany, Netherlands, Switzerland and other countries across both Western and Eastern Europe – reported 16.8 million revenue generating units (RGUs) at end-June, up from 16.2 million one year earlier; UPC credits the customer gains to organic growth and the ‘impact of small in-market acquisitions’. Of UPC’s RGUs, 9.1 million are television subscribers, 4.5 million are broadband users and 3.2 million fixed telephony customers; the cableco had 9.9 million unique customers at the end of 2Q11. In terms of multi-play bundles, UPC single-play customers decreased 7.5% to 5.51 million, whilst double-play subscriber figures rose 1.3% to 1.91 million. Triple-play bundle users saw the largest percentage increase, growing 14.7% to 2.48 million.

Liberty Global President and CEO Mike Fries commented: ‘Our second quarter results demonstrate continued strength in our core European cable business, driven by our systems in Western Europe, which generated rebased revenue and OCF growth of 5% and 10%, respectively. Nowhere was this more evident than in Germany where strong consumer demand for our triple-play offers helped to deliver rebased revenue and OCF growth of 8% and 18%. In terms of our near-term operating outlook, we are working hard on our fall marketing campaigns and expect to generate healthy subscriber growth in the second half’.

United States, Liberty Global (incl. LGI)