Virgin Media reports best customer growth in three years

Virgin Media reports best customer growth in three years

Virgin Media has reported its best quarter for mobile customer growth in three and a half years after its customer base increased by 23% to 1.35 million.

The company announced continued financial growth for the quarter ended 30 June 2011 after profits grew 2.2% to £986m in the three-month period.

It attributed the strong results to higher value customers paying for quality services.

Virgin Media reported that its Q2 operating cashflow rose 6.1 % to £392m and its free cashflow increased 13% to £123m.

The company said that although there were 36,000 cable disconnections during Q2, 90% of net disconnections were ‘lower-value single’ or ‘dual-play’ customers. It claimed that half of new broadband customers at Virgin Media took up a 30MB tier or higher.

Virgin Media CEO Neil Berkett said:As digital media services become more central to our professional, family and social lives, the combination of our leading network and a clearly differentiated range of products makes Virgin Media uniquely equipped to exploit the growth opportunity that this presents.

‘During the quarter, we have seen an encouraging early take-up of Virgin Media TiVo, our new game-changing entertainment platform, and we have recently unveiled a high impact advertising campaign which will see this compelling service marketed to new customers for the first time.

‘The significant increases in free cashflow and OCF, together with steady revenue growth, are testimony to the resilience of our targeted strategy during a difficult economic climate and discount-led competitor activity. ‘

Meanwhile, the company also announced its new £850m capital return programme, which is designed to take the total amount of stock repurchased since mid-2010 to £1bn.

Written by Mobile Today
Mobile Today


Quite good considering in my opinion the coverage is not the best until it shares with Orange.
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