LGI books net loss of USD25.1 million

11 May 2012

International cable company Liberty Global Inc (LGI) has reported total revenues of USD2.54 billion for the three months ended 31 March 2012, up from USD2.26 billion recorded a year earlier. The growth was attributed primarily to the acquisitions of Kabel BW (KBW) and Aster (in Germany and Poland respectively) last year, offsetting negative foreign currency movements. EBIT for the period under review was USD494.3 million, an increase of 14.2% compared to the year earlier. CAPEX for the first quarter rose to USD512.3 million from USD489.6 million in the year-ago period, though CAPEX as a percentage of revenue dipped to from 21.7% to 20.5% over the same period. LGI booked a net loss of USD25.1 million for the quarter, compare to a net profit of USD342.4 million in Q1 2011. The decline was due to higher realised and unrealised losses on derivative instruments.

In terms of revenue generating units (RGUs), LGI reported 33.376 million total RGUs across all operations, up from 32.790 million in Q4 2011. Of these, 18.349 million were video RGUs, 8.481 million were broadband internet and 6.547 million were telephony. LGI’s customer base at end-March 2012 was 19.587 million, up 16.5% year-on-year, and 0.2% quarter-on-quarter. The number of subscribers on multi-play packages continued to increase, with double-play customers increasing 0.3% q-o-q to 2.921 million and triple-play users grew 5.1% q-o-q to 5.435 million whilst single-play customers dipped 2.0% to 11.232 million.

LGI CEO Mike Fries commented: ‘We had the best quarter in the company’s history for broadband and telephony RGU additions, which drove a record result for LGI’s overall subscriber growth in the quarter as we continue leveraging our superior triple-play bundles. This robust volume growth fuelled further acceleration of our revenue, representing our best revenue result in six quarters…We feel optimistic about our outlook and are reconfirming all of our full-year guidance targets.’

United States, Liberty Global (incl. LGI)