Record Horizon TV growth as Liberty Global posts solid Q1

DetailsJoseph O'Halloran | 08 May 2015

Rebased revenue growth of 3% to $4.5 billion has been the stand out for cable giant Liberty Global as it posted its first quarter 2015 results.

For the three-month period ended 31 March 2015, the company's results showed over 150,000 broadband additions and record a quarter for growth in the Horizon TV connected video service. As of 31 March 2015, Liberty was delivering a total of 56 million subscription services — 24.2 million of which were video in nature — to 27.3 million unique customers across its cable footprint of 52.1 million homes passed.

Customer ARPU increased 5% year-over-year on an FX-neutral basis while overall organic revenue generating unit additions of 68,000 were principally impacted by higher video losses. The results pointed to marked under-performance in Germany, the Netherlands and Ireland.

Commenting on the results, CEO Mike Fries said: "Although our Q1 subscriber additions were impacted by higher video losses ... consumer appetite for our next-generation services remained strong with 150,000 new broadband subscribers and record Horizon TV additions. Price increases across our footprint contributed to a 5% ARPU increase and provide a foundation for further growth in 2015. We remain in a strong competitive position with our market leading broadband speeds and our advanced video platforms, and expect to add over one million net new RGUs this year."

Looking as to where growth could come from in the next quarter, Fries noted that the company would be introducing Horizon TV across the former Ziggo footprint in the Netherlands and that the company was already seeing early success in the UK from Virgin's Project Lightning before network construction began in earnest during the second half of 2015.