Canadian cableco Cogeco has posted its fiscal 2020 first-quarter results for the three months ending 30 November 2019. Revenue decreased by 0.5% year-on-year to CAD320.8 million (USD245.6 million) mainly as a result of a decline in pay-TV customers and lower consumer pricing. Adjusted EBITDA improved by 4.8% to CAD170.9 million largely due to a reduction in operating expenses.
Cable internet customers reached 794,895 following 6,652 net additions in the three-month period (compared to net losses of 3,281 in the year-ago quarter) helped by sustained customer interest in bundled offers and continued demand from internet resellers. Cable telephony customers also rose during the quarter, by 4,971 to 377,511 (compared to net losses of 18,940 during the year-ago quarter) due to more telephony bundles being marketed during the most recent quarter, offsetting the longer-term ongoing trend of users cancelling fixed phone services for wireless-only options. Video (CATV) customers dropped by 3,257 in three months to 646,326 (improved from losses of 13,069 in the same period of fiscal 2019), with the ongoing decline attributed to ‘highly competitive offers in the industry and a changing video consumption environment’.
At 30 November 2019 69% of Cogeco’s Canadian broadband customers subscribed to double-play or triple-play bundled services.