ARPU growth boosts buoyant Telenet
11.27 Europe/London, July 29, 2011 By Julian Clover
Belgian cabler Telenet has increased its amount of per subscriber revenue by 8% year on year, despite lower revenue from its telephony business.
In the six months to June 30, 2011, Telenet booked an ARPU of €41. The growth has come from a continued rise in triple play revenues that have outweighed price pressure on individual products.
Digital TV also continues to grow with 59% (1,319,000) now signed up to digital services from where the operator can derive greater revenues through the provision of VOD services.
There remains a loss of 40,100 basic cable subscribers; invariably lost to competitor products such as Belgacom’s IPTV service.
Revenue of €669.9 million, was up by 5% year-on-year. Net profit of €58.5 million, a 168% year-on-year increase, included a €20.4 million cash gain on derivatives.
“The second quarter has been very eventful for Telenet. These three months were characterized by a couple of significant strategic directions that will allow us to grow the company even further, both in the mid? and long?term future. We are very pleased with the potential the fourth mobile license will offer and the new excitement in the market following the acquisition of the Belgian top football matches,” commented Telenet CEO Duco Sickinghe.
Reiterating the company’s concerns over the Open Cable proposals of the Conference of Regulators (CRC), Sickinghe said he could not accept that other players could take free credit for the heavy investments Telenet had made in its network infrastructure.