Virgin Media Reveals 2007 First QTR results
# May 9, 05:45 PM by Mick
Virgin Media have today released their first quarter results for 2007. Virgin Media said it had lost 46,900 customers in the three months to the end of March. Revenues for the quarter down 5% to Ãƒâ€šÃ‚Â£1.02billion. New Broadband internet subscribers increased by 87,900 and there were 36,100 new TV clients.
The results also signalled that its operating loss was Ãƒâ€šÃ‚Â£15.3 million pounds, compared to a profit of Ãƒâ€šÃ‚Â£9.2 million pounds in the previous quarter. Virgin Media said this was down to depreciation charge and issues regarding the merger of Telewest and the Virgin Mobile acquisition.
In March, the first week Sky channels were pulled, Virgin Media said it had received 137,000 Sky related calls to its call centre’s. In the week ending April 15th, Virgin Media had received just 2,000 Sky related calls.
Virgin Media now has 3,390,000 TV customers and 3,410,000 broadband customers.
Commenting on the results, Steve Burch, Chief executive officer of Virgin Media, said:
“Our first quarter of 2007 shows strong growth in TV and broadband, while fixed line telephone continues to struggle. We are encouraged by the decline in churn and the impact that our rebrand message is having on consumers. The GBP 25 million incremental spending on rebrand and marketing will have long term benefits as we establish our position in the marketplace. With reinvigorated products and packaging, and a focus on cash flow growth, the outlook for our business remains strong.”