Charter grows revenue, cuts overall loss
Cable company Charter Communications enjoyed a significant gain in Q3 2014 revenue, but when it came time to report its net, the red ink had to come out. The company even managed to increase its video income despite a loss in subscribers.
Revenue was up 8% to $2.3B over Q3 2013. The contributors were gains in commercial (17.7%), advertising (16.0%), internet (13.4%) and video (5.9%). Voice income decreased (-12.4%), largely because the company was offering deals on the service.
Net loss was $53M, which is an improvement compared to a $70M net loss in the year-ago period.
The gain in video came despite a 1% loss in subscriptions. It said the remaining customers were buying pricier program packages.
Internet subscriptions were up 9%, and voice subscriptions were up 8%.
“Charter’s strategy to create value by delivering superior products and service, at highly competitive prices, is working. As a result, our customer growth continues to accelerate,” said Tom Rutledge, President and CEO of Charter Communications. “Our growing levels of customer and product penetration, and revenue per household, are generating faster revenue and EBITDA growth. Our new product suite, Charter Spectrum, has been deployed and is designed to further build that operating and financial momentum, delivering greater value to both customers and shareholders.”