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Virgin Media Q1 2015 results: A pause in momentum - Venture Insights

Report Overview

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Virgin Media Q1 2015 results: A pause in momentum

PublisherEnders Analysis.
Publish Date May 27, 2015
Sector Fixed Line (Internet and Voice), Telecom.
Company Virgin Media.

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Virgin Media’s subscriber trends were a little weak in Q1 compared to previous trends, with intense promotional activity from competitors hurting, but it still expanded its base.

ARPU was also relatively weak due to various VAT and pricing changes, but it still grew, leading to cable revenue growth of 3% versus 4% in the previous quarter, and OCF growth of 5% versus 9% in the previous quarter.

This growth level is likely to accelerate over the year as subscriber momentum improves and one-off effects annualise out, with the benefits of footprint extension mainly impacting from 2016.