Virgin Media Reports Second Quarter 2008 ResultsThursday, August 7th, 2008
TV subscribers net additions of 24,800 (Q2-07: 2,200); BBC iPlayer launched on VOD platform, achieving 10.5m views in June; Record triple-play penetration of 53.1% (Q2-07: 45.2%)
LONDON — Virgin Media Inc. (Nasdaq:VMED) announces results for the quarter ended June 30, 2008.
Total TV net additions were 24,800 in the quarter (Q1-08: 36,800; Q2-07: 2,200). Net additions were up compared to the same quarter last year which was negatively affected by BSkyB’s removal of its basic TV channels from our platform.
During the quarter, we launched the BBC’s iPlayer service on our VOD platform offering hundreds of hours of BBC “catch-up” content. Virgin Media is the first TV platform to make BBC iPlayer available in full screen picture quality directly to its 3.4m digital TV subscribers. Developments like this give VOD a new impetus and help establish on-demand as a genuinely mainstream TV service.
Customers are increasingly using our VOD services. On a monthly basis, 1.6m of our TV customers are now using VOD, representing a reach of 48%. Average views per user per month in the quarter were 24 compared to 14 a year ago. Average monthly views were 38m in the quarter, up 5% on the previous quarter and up 92% on the same quarter last year.
During the quarter, we added 60,700 V+ DVR subscribers to reach an installed base of 424,900. This represents a penetration level of just 13% of our digital subscribers and so the growth opportunity remains strong. In addition, based on our experience, V+ DVR subscribers and VOD users are less likely to churn.
Group Residential Operations Statistics (‘000s):
Q2 2008 Q1 2008 Q2 2007 -------- -------- -------- Group RGUs On-net TV 3,538.8 3,514.9 3,396.6 On-net Digital TV 3,353.5 3,311.4 3,125.3 Net RGU adds On-net TV 24.8 36.8 2.2 On-net Digital TV 42.1 57.9 40.0
More: Earnings Release