Report Overview

Virgin Media UK: subscribers fall but ARPU grows

Virgin Media’s results were quite mixed, with the subscriber base shrinking in a very slow market, but ARPU and revenue returning to growth despite pricing pressure and regulatory drags

The outlook remains challenging, but market pricing does seem to be easing with no repeat of the damaging Openreach price cuts on the horizon

‘Full fibre’ roll-outs will bring further challenges, but opportunities as well, with the accompanying focus on higher speeds likely to be a significant operational upside in the short to medium term   

Contents

Subscribers drop, but ARPU grows

Outlook helped by pricing

OCF weak, cashflow boosted by much lower capex

Project Lightning and full fibre: options abound

List of charts/tables

Figure 1. Subscriber and ARPU growth

Figure 2. Premises passed with gigabit speeds by end 2021 (millions)

Figure 3. Virgin Media UK consumer cable operating performance – net adds and churn

Figure 4. Virgin Media UK cable revenue and operating statistics (residential and SOHO)

Figure 5. Virgin Media UK cable revenue and operating statistics (residential and SOHO)

Figure 6. Broadband high speed pricing, new customers (£/month)

Figure 7. Virgin Media selected recent price changes

Figure 8. Virgin Media Group operating performance

Figure 9. Project Lightning progress (000)