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Liberty Global growth slows in Q2 after Dutch merger
2015-08-05 08:33:00| Telecompaper Headlines
(Telecompaper) Liberty Global added just 115,000 new revenue-generating units in the second quarter, for a total 52.9 million at the end of June, as its merger in the Netherlands led to a loss of customers there. The 87,000 RGUs lost in the Netherlands were offset by a return to growth of 92,000 in Germany, a small acquisition in Romania and improving performance in the UK. Revenue growth in the UK, Germany and Belgium also helped the cable operator achieve organic revenue growth of 3 percent year-on-year in the quarter and operating cash flow up 4 percent. Total revenues were still down slightly due to the stronger dollar, to USD 4.26 billion from USD 4.30 billion a year ago, while operating cash flow rose 2 percent to USD 2.06 billion. Liberty Global's capital expenditure increased to USD 971 million or 22.8 percent of revenue from USD 895 million or 20.8 percent in Q2 2014, driven mainly by the integration of Ziggo and UPC in the Netherlands. The company said it's taking measures to improve results in the Netherlands and expects to start benefiting from synergies there in H2 as well, leading to stronger customer, revenue and cash flow growth in the rest of the year. In addition, the company said it's finalized the 'Liberty 3.0' programme, which will lead to a new organisational structure and growth plans. Liberty said the plan should "unlock efficiencies", much of will be reinvested to drive faster revenue and operating cash flow growth in the high single digits over the medium term.
Tags: global
growth
dutch
liberty
Category:Telecommunications