United States cable operator Charter reported second quarter pro-forma revenues up 6.6 percent from the year before to Dollars 10.0 billion, after closing its transactions with Time Warner Cable and Bright House on 18 May. Second-quarter revenue rose 6.6 percent to just shy of $10.0 billion. Analysts anticipated $9.94 billion, the average of projections compiled by Bloomberg.
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Needless to say, the company focused heavily on promising great things thanks to its recent $79 billion acquisition of Time Warner Cable and Bright House Networks.
The Stamford, Conn. -based company, which is backed by billionaire John Malone, is now the second-largest cable operator in the US behind Comcast Corp.
Charter is trying to find ways to sign up more people for cable amid competition from online streaming services.
The second quarter is seasonally weak for pay TV companies, including because students and snowbirds end their subscriptions to go home for the summer.
Charter also reported adding 236,000 residential Internet customers in the quarter, compared to157,000 a year ago.
At the same time, Charter’s ability to sign up new internet subscribers continues to drive sales growth. Charter says the company added 236,000 net broadband subscribers last quarter, up from the 157,000 net subscribers added during the second quarter previous year. As of June 30, Charter had 16.9 million residential video customers. SMB PSUs increased 82,000, compared to 69,000 during the second quarter of 2015. The cable operator also added 220,000 internet customers, the most for a second quarter in eight years. Adjusted earnings before interest, taxes, depreciation and amortization grew 9% to $3.54 billion, beating analysts’ estimates of $3.49 billion.
On a pro forma basis, total customer relationships increased 173,000 during the second quarter, compared to 54,000 during the second quarter of 2015.
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Pro forma video revenue grew 1.7% to $4.1 billion; Internet revenue 12% higher to $3.1 billion; and voice revenue was up 3.3% to $730 million.
