Recovering from a tough 2003, Insight Communications posted strong revenue and profit growth for the second quarter. The New York-based cable operator says revenues for the three months ended June increased 12% to $244 million and operating cash flow rose 13% to $107 million.
Insight also disclosed that is has stopped managing small systems serving 90,000 subscribers owned by Comcast. The properties were managed as part of a broader joint venture of Insight and AT&T Broadband, which Comcast acquired two years ago. That partnership, which covers 90% of Insight's 1.4 million subscribers, is up for renegotiation at the end of 2005.
Basic subscribers dipped 1%, weak but not unusual in for the spring quarter, when college students go home. But the pace of high-speed Internet sales increased from 11,000 a quarter last year to 15,000 this quarter.
MTVN Winners and Losers
In a continuing management shuffle, Viacom Co-President Tom Freston promoted one of his key lieutenants at MTV Networks (MTVN) and handed out consolation prizes to two of the losers in the contest to fill Freston's old job as MTVN chairman.
The big winner is Bob Bakish, MTVN head of ad sales and strategy, who was promoted to executive VP and close adviser to Freston. Smaller gains were scored by MTVN Group President and Nickelodeon chief Herb Scannell, who will now manage Paramount Parks and licensing of Paramount entertainment characters and properties. Bill Roedy, president, MTV Networks International, adds cable networks Paramount Comedy Channel UK and Paramount Comedy Spain. Scannell and Roedy were candidates for Freston's old job, which went to Judy McGrath. The big loser: Tom McGrath, who ran the parks and other operations. He's leaving the company.