Cablevision managed to improve its basic video subscriber losses in the second quarter and turned in its best customer relationship growth in two years, but adjusted operating cash flow declined as higher programming costs dragged down profits.
Cablevision said it lost about 16,000 video customers in the second quarter, an improvement over the 28,000 basic video losses in the same period last year and less than half the 34,000 deficit that most analysts’ expected.
High-speed data customers increased by 14,000 in the period (compared to a decline of 9,000 last year) and phone customers declined by 7,000 (even with 2014). That gave the Bethpage, N.Y. MSOs 3.1 million total customer relationships for the period, an increase of 5,000 over the prior year and its best performance in two years.
Total company revnue increased 1.6% to $1.7 billion in the period, whcih adusted operating cash flow declined 2.7% to $474.3 million. At the cable unit, revenue increased 1.8% to $1.5 billion while AOCF was down 3.4% to $462.7 million. Average monthly cable revenue per customer increased to $158.52, up 3.8% vs. the prior year.
“Cablevision continued to perform well in the second quarter, achieving growth in net revenue and revenue per customer” said Cablevision CEO James Dolan in a statement. “Over the past three years, we have transformed our company through strategic investments that have made our operations more efficient, increased the reliability and performance of our network, and enhanced our products and the customer experience. This has contributed to our largest quarterly gains in both customer relationships and high-speed data customers in more than two years. We will continue to focus on providing superior service and innovative products that will resonate with consumers.”