Premium network Starz reached a new subscriber milestone in the third quarter with 22 million customers, helping to drive revenue up 11% and cash flow up 5% in the quarter.
The premium channel added about 200,000 subscription units in the period, rising from 21.8 million in the second quarter to 22 million in the current period. Starz said it lost about 100,000 Encore subscribers – ending the period with 35 million, down from 35.1 million in the second quarter.
The subscriber boost helped raise revenue to $446.1 million in the period, up 11%. Adjusted operating income before depreciation and amortization rose 5% to $113.7 million and operating income increased 1% to $10.8 million.
"Our financial results in the third quarter show that our business is performing well and STARZ subscribers grew for the eighth consecutive quarter," said Starz CEO
Chris Albrecht in a statement. "We are in the early stages of executing on our strategy to create compelling original programming that when combined with exclusive first-run movies offers a significant value proposition for our distributors and consumers."