Revenues up 14pc at NTL

12 Nov 2003

International cable carrier NTL’s Irish operations saw first-half 2003 revenues increase 14pc to £17.9m sterling (€25.8m) from £15.7m sterling (€22.6m) for the same period last year.

The company said that the revenue increase is due to increased sales of premium services such as digital television, a price increase in January 2003 and an increase in business sector revenues. Some of these revenues were offset by customers disconnecting themselves as a result of a more rigorous credit enforcement instigated by NTL.

For the three months ended 30 September, NTL’s segment profit rose by 66.7pc to £7.5m sterling (€10.8m) from £4.5m (€6.4m) sterling the year earlier. This increase was due to revenue growth together with a reduction in the bad debt charge as a result of the company’s new credit policy.

The company ended the quarter with approximately 346,200 residential customers in Ireland. Digital television customers, including MMDS customers, grew by 6,300 to 59,600.

Average revenue per user (ARPU) increased 14.9pc year over year to £14.15 sterling (€20.38) in the third quarter from £12.31 sterling (€17.73) a year earlier.

Globally, NTL saw revenues increase to £555.2m sterling (€799.7m) and 56,200 new customers during the third quarter. It emerged that over 30pc of NTL customers adopted NTL Home’s broadband service.

The company has also revealed that it plans to raise £824.3m sterling (€1,187.3m) through a rights offering, which will be used to repay high cost debts and for general corporate purposes.

By John Kennedy