Ziggo Q3 results show continuing growth in internet, mobile and business bundles

16 Oct 2014

Ziggo has released its results for the third quarter of 2014, reporting revenue of EUR402.6 million (USD511 million), an increase of 2.9% from EUR391.3 million in the year-ago period, due largely to growth in internet, mobile and business bundles. Adjusted EBITDA rose 3.4% year-on-year (y-o-y) to EUR228.0 million, while net profit totalled EUR2.7 million, compared to EUR86.5 million in Q3 2013. The outlook for full-year 2014 remains unchanged; Ziggo expects adjusted EBITDA to be flat compared to 2013 with CAPEX in the region of EUR370 million.

The Dutch cable TV, broadband and mobile provider added another 20,000 broadband internet subscribers to its base in the quarter ending 30 September 2014, increasing its total to 1.99 million, representing 1.0% quarterly growth and 6.2% y-o-y growth. Internet revenue totalled EUR126.5 million, up by 8.3% y-o-y. Revenue from the company’s All-In-1 bundle increased 4.4% from EUR183.4 million in Q3 2013 to EUR191.6 million in Q3 2014, with total All-In-1 subscriber numbers increasing to 1.56 million, representing y-o-y growth of 2.9%. In addition, Ziggo Mobile gained 32,000 new subscribers in the quarter, taking the total to 116,000 for its SIM-only service at end-September 2014.

Ziggo’s CEO, Rene Obermann, commented: ‘We are pleased to have another quarter of solid performance in what continues to be a competitive marketplace. The ongoing growth for Ziggo Mobile and B2B, combined with the continuing increase in the number of customers with a subscription to our internet products, confirms the attractiveness of our product portfolio … In addition, we noticed that the increase in mobile-only households in the Dutch market stimulates interest for our dual-play services (TV + internet). Particularly strong revenue growth was reported for broadband internet and mobile services, which, in combination with the price increase as at 1 April, resulted in a rise in total consumer revenue excluding revenue from other sources of 3.6% … Until the closing of the acquisition by Liberty Global, which is expected to happen in Q4, we will run Ziggo as a completely independent company. Our management team continues to be committed to delivering the targeted financial results.’