×

Time Warner Cable Reports 5% Rise In Profits

Earnings come despite subscriber losses

Time Warner Cable shares are down a little more than 1% in afternoon trading, as the conglom’s Q1 earnings were a bit of a mixed bag: On the one hand, the company lost about 119,000 video subscribers from the prior quarter, although profits rose 5%, driven largely by business services revenue growth of 25%.

In an analyst call on Thursday, TW Cable execs emphasized the steps the company has taken to retain customers, streamline business operations and aggressively return cash to investors. In the past two-and-a-half years, the conglom has devoted 110% of free cash flow to shareholders.

TW Cable reported a profit of $401 million, or $1.34 a share, up from $382 million, or $1.20 a share, a year before. That slightly missed analyst expectations of $1.37 per share (Although excluding certain one-time costs, earnings hit $1.41 a share). Revenue rose to 6.6%, driven largely by business services. Advertising rose 8%.

TW Cable execs attributed some of its subscriber losses to “discount seekers who were more likely to churn quickly.” The company has since implemented four separate “retention centers” to help keep customers without relying on heavily discounted packages. Company added 131,000 broadband subscribers but lost 35,000 voice subscribers.

Popular on Variety

More News

  • Demi Lovato Grammy performance

    Watch Demi Lovato's Emotional Grammys Performance After False Start

    Demi Lovato made a triumphant return to the stage during the Grammys on Sunday, debuting her new song “Anyone.” The pop singer had an emotional start to her performance, having to stop and restart the opening, but that didn’t stop her from ending with a bang, earning a standing ovation from the audience. Lovato, who [...]

  • Lil Nas X and BTS62nd Annual

    Lil Nas X and BTS Perform at Grammys for the First Time - Together

    Lil Nas X took the Grammy stage for the first time on Sunday night, but not without the help of some of his friends. Wearing his signature cowboy wardrobe with a dazzling silver twist, Lil Nas X was joined onstage by BTS, Diplo, Billy Ray Cyrus, Mason Ramsey and Nas to perform his two biggest [...]

  • Ariana Grande Grammys Performance

    Ariana Grande Turns Stage Into a Slumber Party at Grammy Awards

    Pop music’s reigning princess Ariana Grande gave an intimate performance at the 2020 Grammy Awards as she transformed the Staples Center stage into a bedroom and slumber party. Grande, who arrived at the Grammys in a voluminous grey tulle dress, made numerous costume changes throughout the evening. Joined by an orchestra and a team of [...]

  • Camila Cabello Grammy performance

    Camila Cabello Brings Her Dad (and Audience) to Tears at Grammys

    Camila Cabello delivered one of the most tender moments of the night at the Grammys on Sunday. Cabello performed “First Man,” from her sophomore studio album, at the 62nd Annual Grammy Awards. Old home movies played on the screen as Cabello sang the touching song dedicated to her father, who was in the audience. She [...]

  • Tyler, the Creator62nd Annual Grammy Awards,

    Tyler, The Creator Performs Fiery Medley at Grammys with Boyz II Men

    Tyler, the Creator set the Grammys ablaze on Sunday night (literally), while also making it shake in one of the night’s more explosive performances. Accompanied by Boyz II Men and the artist affectionately called “Uncle Charlie” Wilson, Tyler performed “Earfquake” before breaking into “New Magic Wand.” Both songs are featured on his latest album “Igor” [...]

  • Chris Cornell Police Report

    Chris Cornell Wins Posthumous Grammy Award

    Chris Cornell won a posthumous award at the 62nd annual Grammy Awards on Sunday in the category of Best Recording Package. The career-spanning boxed set included 15 classics and two unreleased tracks, including his cover of Sinead O’ Conner’s “Nothing Compares to U.” The album also included artwork from Jeff Ament, Barry Ament, and creative [...]

  • Lizzo Grammys performance

    Lizzo Honors Kobe Bryant With Grammys Performance: 'Tonight Is for Kobe'

    After earning a leading eight nominations, Lizzo opened the 62nd Annual Grammy Awards with a lively performance at the Staples Center in Los Angeles on Sunday. “Tonight is for Kobe,” the singer said as she took the stage in a black gown. The sports icon died earlier on Sunday in a helicopter crash. Lizzo performed [...]

More From Our Brands

Access exclusive content