Virgin Media hits forecasts

City A.M. Reporter
Cable operator Virgin Media said it added 20,200 net new cable customers in the first quarter, drawn by fast broadband speeds and pay-TV, helping it to post solid results in line with forecasts.

Virgin Media, which competes with pay-TV company BSkyB and telecoms and broadband providers such as BT, said its customers were also paying a record amount for the time of year as its momentum continued.

Revenues from its mobile phone division were up 3.8 per cent in the quarter as it continued to grow its base of those on mobile contracts.

Quad-play penetration, where a household takes TV, broadband, fixed-line and mobile phone services, increased to around 12 per cent, compared with 11 percent a year ago.

The strong operational performance enabled the group to post first quarter revenues up 5.7 percent to 982 million pounds and operating cash flow up 7.6 per cent to £376m, both in line with consensus forecasts.