Altice USA residential video RGUs down 21k in Q2 2019

Wednesday, July 31st, 2019
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NEW YORK — Altice USA (NYSE: ATUS) today reported results for the second quarter ended June 30, 2019.

Key Operational Highlights

Altice One has supported six consecutive quarters of year over year improvements in video customer trends, including in Q2 2019. Altice USA’s ongoing network investment and Altice One’s advanced WiFi router supported improved residential broadband trends as well in the quarter. Altice USA reached 429k unique Altice One customers as of Q2 2019 (approximately 13% of total video customers, up from 4% at the end of Q2 2018).

Total unique Residential customer relationships grew +0.5% YoY with quarterly net losses of -1k in Q2 2019 (vs. -4k in Q2 2018), as Altice One supported better than normal seasonality at Suddenlink:

  • Residential Video RGU quarterly net losses of -21k in Q2 2019 were better than the prior year (vs. – 24k in Q2 2018);
  • Residential Broadband RGU quarterly net additions of +13k were ahead of the prior year (vs. +10k in Q2 2018);
  • Residential ARPU per unique customer increased 2.9% YoY to $144.27 in Q2 2019, supporting Residential revenue growth of +3.4% YoY.

Advertising revenue growth of 2.8% YoY in Q2 2019 (approximately 11% growth ex-political) supported by the growth of Altice USA’s advanced advertising platform a4.

Customer Metrics (in thousands) – Total Unique Customer Relationships

                                                               Net increase
         Q1-18    Q2-18    Q3-18    Q4-18    Q1-19    Q2-19   Q2-19  YTD-19
       -------  -------  -------  -------  -------  -------  ------  ------
Video  3,375.1  3,350.9  3,322.8  3,307.5  3,297.3  3,276.5  (20.8)  (31.0)