Cablevision turns in a quarter of growth
Despite going head-to-head with Verizon’s FiOS in many of its markets, Cablevision added customers for all of its services in its second quarter, helping the company to 9 percent revenue growth.
Cablevision tallied a total of 260,000 revenue-generating units (RGUs); the company now has more than 10 million RGUs. The RGU additions included 7,000 basic video subscribers (Cablevision still has 7,000 fewer basic video subscribers than it did at the end of Q2 2007); 120,000 digital video customers; 52,000 data customers; and 81,000 voice customers.
Average monthly revenue per basic video customer was $132.29, up $2.73 from the previous quarter.
Optimum Lightpath, the company’s business services arm, generated net revenue growth of 20.2 percent, to $61.4 million. The company attributed the increase primarily to the continued growth in Ethernet services, partially offset by the effect of the transition from traditional data service.
Second-quarter revenue grew from $1.5 billion in Q2 2007 to $1.7 billion in Q2 2008. Operating income grew 43.6 percent to $299.3 million.
Net income was less than a third what it was in the second quarter last year, having dropped from $317.4 million a year ago to $98 million in the quarter just completed. The year-ago results were inflated, however, by the sale of the company’s sports network.
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