Feeds

Virgin Media sales are a bit flat under the Cable Cowboy's reign

Get off your horse and drink your milk

Boost IT visibility and business value

Virgin Media has been part of Cable Cowboy John Malone's Liberty Global family for almost a year now. Yet the takeover hasn't boosted the UK telco's flat first quarter sales, which the City was told about this morning.

Although growth in consumer and mobile revenue had rose, overall sales climbed a slender one per cent, to £1.044bn, compared with the £1.042bn the company posted for the same period a year ago.

During Virgin Media's first quarter, ending 31 March, the firm was cheered by the number of new subscribers it hooked up to its fibre broadband network, which is now connecting more than 4.9 million Brits to the internet. It pulled in 21,200 customers in Q1, up from 8,600 in 2013.

Last week, rival BSkyB watched its broadband customer growth shrink rapidly in the pay-TV giant's third quarter, for which it partly blamed its takeover of O2's home broadband network, whereupon as many as 30,000 subscribers quit the service.

Virgin Media's earnings before interest, taxes, depreciation and amortisation rose six per cent to £445m. Operating income stood at £19m, compared with £149.9m a year ago, which the company put down to "acquisition accounting" as a result of its buyout by Liberty Global.

The ISP no longer breaks out its net income and profit figures now that it is part of Liberty Global, which noted that VM's bottom line would be hit by a change in UK law for charging VAT in connection with prompt payment discounts.

Sales, operating income and operating cash flow could drop as much as $50m (£29m) from May through to the end of the year, Virgin Media's London-based parent company warned.

Liberty Global, which is now a UK PLC, saw revenues rocket to $4.53bn from $2.67bn a year earlier when it was set to scoop up Virgin Media. ®

Seven Steps to Software Security

More from The Register

next story
Apple orders huge MOUNTAIN of 80 MILLION 'Air' iPhone 6s
Bigger, harder trouser bulges foretold for fanbois
Major problems beset UK ISP filth filters: But it's OK, nobody uses them
It's almost as though pr0n was actually rather popular
Yorkshire cops fail to grasp principle behind BT Fon Wi-Fi network
'Prevent people that are passing by to hook up to your network', pleads plod
Google Nest, ARM, Samsung pull out Thread to strangle ZigBee
But there's a flaw in Google's IP-based IoT system
US freemium mobile network eyes up Europe
FreedomPop touts 'free' calls, texts and data
'Two-speed internet' storm turns FCC.gov into zero-speed website
Deadline for comments on net neutrality shake-up extended to Friday
Oh girl, you jus' didn't: Level 3 slaps Verizon in Netflix throttle blowup
Just hook us up to more 10Gbps ports, backbone biz yells in tit-for-tat spat
Want to beat Verizon's slow Netflix? Get a VPN
Exec finds stream speed climbs when smuggled out
GoTenna: How does this 'magic' work?
An ideal product if you believe the Earth is flat
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.