Competition takes chunk of earnings
Cablevision reported wider net losses in the third quarter as competition started to show an impact on the cabler.
The net loss for the period ending Sept. 30 grew to $79.3 million from $59.2 million, even as net revenue rose 10% to $1.5 billion.
About 16,000 basic video subscribers canceled their service during the quarter, a much higher number than analysts expected, though there were strong gains in digital areas, especially in phone service, which added 91,000 subscribers.
Cablevision, the sixth-largest U.S. cabler but a dominant feature of the Gotham media landscape, lowered its full-year guidance for adjusted operating cash flow from 10% to 9%. It also said the ned addition of “revenue generating units,” a key metric for cable companies, would come in at 800,000, down from an earlier forecast of 825,000 to 900,000.
Wall Street dinged the company’s shares for the results, sending them down about 2.5% to $25.89 at mid-day, though trading was light.