Canal Digital doubles revenues as subs fall

By Julian Clover
February 10, 2010 09.10 UK

Canal Digital was hit by more subscriber losses in the fourth quarter of 2009. The number of DTH subscribers fell by 11,000 on the quarter, while cable households decreased by a further 4,000.

However, Telenor’s Broadcast division was able to maintain revenues from the sale of additional services to its cable customers – 11,000 cable TV internet access customers were added in Q4 – and price increases for its DTH subscribers.

As of December 31, 2009 Canal Digital had 1,060,000 DTH, 729,000 cable and 246,000 cable TV internet access subscribers.

Operating profit within the Canal Digital Group more than doubled from NOK43 million (€5.29 million) in Q4 2008 to NOK89 million in 2009 and from NOK174 million to NOK 364 million over the year.

Increased capital expenditure in the fourth quarter included NOK 950 million on Thor 6, the latest satellite to join Telenor’s fleet at one degree West, launched on October 29.

Lower sales of conditional access for Telenor’s Conax subsidiary were compensated by higher satellite transmission revenues, delivering slightly reduced profits for the year of NOK754 million.

Total operating profit for Telenor Broadcast in 2009 of NOK1,005 million is significantly ahead of the NOK745 million recorded in 2008.

It has also emerged that the terrestrial transmission division Norking has acquired an additional 26% in Norkring België for NOK69 million.