BSkyB Announces 3rd Quarter Results

[Gareth]

source

BROADCASTING group BSkyB turned up the pressure on rival Virgin Media yesterday by unveiling much better than expected customer numbers.

BSkyB signed up 340,000 customers in the three months to the end of March knocked down to 51,000 after taking into account the large number of viewers that also quit the group, but still almost double the figure forecast by analysts.

...

Investors were cheered by the strong set of results, which sent shares 6%, or 34p, to 618.5p.


Sky’s operating profits were 9% ahead of consensus forecasts at £221m for the quarter, while revenues were 1% above market expectations at £1.16bn.


The group also said its recent decision to axe discounts to dissuade subscribers from leaving and returning on a lower rate had seen the average revenue per user rise by £11 year on year to £406.

Better than expected results for new broadband customers, operating profit and revenue - BSkyB must be doing something right. Next quarter's results should be interesting.

[deadite66]

bet the subs still rise though.

[Mick]

Originally Posted by Gareth

source

Better than expected results for new broadband customers, operating profit and revenue - BSkyB must be doing something right. Next quarter's results should be interesting.

Sky losing 290,000 customers and you say they are doing something right? Don't make me laugh.

[Paul]

Sky have gained their custom by the same tactics as always but for a change it seems that some of their long term customers are now getting sick of them and jumping ship. Competition in a market is always a good thing for the end users but only if it's competition on a level playing field.
I'm thinking that with numbers like this Sky will be pushing on with a new aggressive recruitment drive soon to try and shore up the steady flow of customers leaving their services. Without that user base they will struggle to win any arguement about the value of their channels if they cannot show that their own customers are actually seeing any value in their service at the moment.

[Ignatius]

Originally Posted by Paul

Sky have gained their custom by the same tactics as always but for a change it seems that some of their long term customers are now getting sick of them and jumping ship. Competition in a market is always a good thing for the end users but only if it's competition on a level playing field.
I'm thinking that with numbers like this Sky will be pushing on with a new aggressive recruitment drive soon to try and shore up the steady flow of customers leaving their services. Without that user base they will struggle to win any arguement about the value of their channels if they cannot show that their own customers are actually seeing any value in their service at the moment.

Remember that the new sign-ups also include those who moved from virgin because they couldn't tolerate life without their fix of 24/lost etc. - so even the figure of 51,000 is artificially high....

[TheBlueRaja]

Disagree with this completely, Sky have been excellent to me and im a long term customer.

I wonder how many have left NTL recently?

[Paul]

I think the number quoted was "thousands" not hundreds of thousands IIRC

[Gareth]

Originally Posted by Mick

Sky losing 290,000 customers and you say they are doing something right? Don't make me laugh.

Sky still have more customers at the end of the reporting period than they did at the beginning. And they're still posting higher-than-expected profits as a result.

Also, unlike NTL, Sky has taken a hard-nose stance towards those customers who consistently phone the retentions department requesting discounts or else they'll defect. If NTL took a similar approach, I wonder how many customers NTL would lose (and how many posters on this forum too).

Oh, and I'd consider earning £220 million per quarter from £1.16bn revenue to be pretty good going. What was NTL's last quarter's earnings? Correct me if I'm wrong, but I believe they only made £9.2 million from £1.08bn revenue.

Unlike NTL, I'd say that BSkyB are doing something right... they're earning a considerable amount of money for their shareholders.

[TheBlueRaja]

Originally Posted by Gareth

Sky still have more customers at the end of the reporting period than they did at the beginning. And they're still posting higher-than-expected profits as a result.

Also, unlike NTL, Sky has taken a hard-nose stance towards those customers who consistently phone the retentions department requesting discounts or else they'll defect. If NTL took a similar approach, I wonder how many customers NTL would lose (and how many posters on this forum too).

Oh, and I'd consider earning £220 million per quarter from £1.16bn revenue to be pretty good going. What was NTL's last quarter's earnings? Correct me if I'm wrong, but I believe they only made £9.2 million from £1.08bn revenue.

Unlike NTL, I'd say that BSkyB are doing something right... they're earning a considerable amount of money for their shareholders.

Dont worry Gareth, i think there are a few, how can i put this, NTL loyals on here who dont quite see wood for the trees.

[Mick]

Originally Posted by TheBlueRaja

Dont worry Gareth, i think there are a few, how can i put this, NTL loyals on here who dont quite see wood for the trees.

Throwing out that I am a cable loyalist is a pathetic cop out, but if you are going to throw a weak arguement across (as you always usually do) I could stoop myself as low as you and throw out that you are Sky loyalist.

So, the trees must be very high around your vicinity then.

Let's have a look at some facts shall we:

290,000 customers lost. Sky One viewing figures down 34%. Sky not got their own way with Virgin Media. Absolutely no signs of any MASS exodus of customers from Virgin Media to Sky due to loss of Sky's basic crap channels, by the way, yes its Virgin Media, its not ntl anymore, do keep up.

Let's see what else, oh yes - advertisers demanding refunds due to poor audience shares. Sky could be forced to sell its ITV stake as it gets referred to the Competition Commission.

And lets not get started on Sky's absolutely crap broadband service that is about as much useful as a chocolate tea pot, here is a review taken off a certain review site:

I have had endless problems since changing to Sky broadband, which are still ongoing. So many things are going wrong it would take hours to list them. I have been without an internet connection for nearly 3 weeks and I was told by Sky that the longest I would be offline would be 3 hours! If you want to stay connected to the internet, stick with your current isp.

Before you come back and throw other weak arguements across about Virgin Media having the same amount of problems with its customers, I know it does, I haven't disputed that but what gets my goat is you and others on here at times painting this wonderful picture of Sky being absolute angels and always being the better service - well the proof is in the pudding, they aren't and nowhere near it.

[TheBlueRaja]

Originally Posted by Mick

Throwing out that I am a cable loyalist is a pathetic cop out, but if you are going to throw a weak arguement across (as you always usually do) I could stoop myself as low as you and throw out that you are Sky loyalist.

So, the trees must be very high around your vicinity then.

Let's have a look at some facts shall we:

290,000 customers lost. Sky One viewing figures down 34%. Sky not got their own way with Virgin Media. Absolutely no signs of any MASS exodus of customers from Virgin Media to Sky due to loss of Sky's basic crap channels, by the way, yes its Virgin Media, its not ntl anymore, do keep up.

Let's see what else, oh yes - advertisers demanding refunds due to poor audience shares. Sky could be forced to sell its ITV stake as it gets referred to the Competition Commission.

And lets not get started on Sky's absolutely crap broadband service that is about as much useful as a chocolate tea pot, here is a review taken off a certain review site:



Before you come back and throw other weak arguements across about Virgin Media having the same amount of problems with its customers, I know it does, I haven't disputed that but what gets my goat is you and others on here at times painting this wonderful picture of Sky being absolute angels and always being the better service - well the proof is in the pudding, they aren't and nowhere near it.

Sky share price up 11.5%

[Stuart C]

Originally Posted by TheBlueRaja

Sky share price up 11.5%

Wonder what the effect will be when Advertisers re-negotiate their contracts to include the loss of viewers for the Sky basic channels?

[awibble]

More looking forward to next quarters, you know, when they have had to refund advertisers, sell ITV shares, not have the boost of people joining from the Sky Basic Channels Spit.

Sky are the dominet force, at the moment, when it comes to TV, and always will be, due to their coverage. However when it comes to multiplay packages, Sky cannot Match VM in cabled areas..... Just a shame there isnt more cable for VM to buy.

Next Quarter will be one to watch

P.S.

I used to have Sky, and only moved when i moved house and needed better than 512Kb Broadband.... Apart from the problems with Sky Movies, Sky Sports, and the offshore call centers.... They are way better than sky....notice the channels i have problems with :s

[Stuart C]

In terms if installed numbers of boxes, they aren't the dominant force now. Freeview is.

http://www.digitalspy.co.uk/digitalt...takes-sky.html

[TheBlueRaja]

Originally Posted by awibble

More looking forward to next quarters, you know, when they have had to refund advertisers, sell ITV shares, not have the boost of people joining from the Sky Basic Channels Spit.

Sky are the dominet force, at the moment, when it comes to TV, and always will be, due to their coverage. However when it comes to multiplay packages, Sky cannot Match VM in cabled areas..... Just a shame there isnt more cable for VM to buy.

Next Quarter will be one to watch

P.S.

I used to have Sky, and only moved when i moved house and needed better than 512Kb Broadband.... Apart from the problems with Sky Movies, Sky Sports, and the offshore call centers.... They are way better than sky....notice the channels i have problems with :s

Still hanging around waiting for "next months figures" eh...