Commercial, HSD Gains Drive Charter Q4

Video losses improve

By Mike Farrell, Multichannel News -- Broadcasting & Cable, 2/22/2013 9:30:32 AM

Charter Communications lost about 36,000 basic video customers in the fourth quarter, an 18% improvement over the prior year, and gains in commercial services revenue and high-speed data helped drive overall results in the period.

Revenue increased 4.3% in the period to $1.9 billion and cash flow increased 1.7% to $698 million, mainly fueled by a 9% rise in high speed data sales and a 20% increase in commercial services revenue. It was the seventh consecutive quarter of 20% growth or greater in the segment.

Charter added about 54,000 residential data customers in the period, less than the 68,000 added in the prior year. The MSO added 34,000 telephone customers, ahead of the 27,000 additions in the prior year.
Those gains helped drive total customer relationships up by 20,000 in the quarter, a four-fold increase over the prior year.

"Our fourth quarter results provide early evidence that our strategic changes are working as planned," said Charter CEO Tom Rutledge in a statement. "We are providing a more competitive product and service, and as a result, customer relationships are growing and underlying subscription revenue is accelerating. Across both our residential and commercial businesses, our strategies are designed to drive higher market penetration and sustainable growth."

Charter is scheduled to hold a conference call with analysts to discuss quarterly results at 10 a.m.