Report Overview


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Skys Europe 2014 results: Mixed in Germany, resilient in Italy


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BSkyB’s Sky Europe project has added a new layer of interest in results of its Continental sister platforms. Sky Italia is almost profitable but with meagre growth prospects, while Sky Deutschland is loss-making but with significant expansion potential.
In Germany Sky’s underlying subscriber growth trend is improving while churn is at a historical low. But ARPU growth has stalled, leading us to expect slower revenue growth in fiscal 2015. The latter would be consistent with Sky’s guidance for subscribers and EBITDA.
Despite a double dip recession and erosion of its subscriber base, Sky Italia has improved profitability in fiscal 2014. Lower churn points to a possible return to growth – if the economy stabilises.