Charter Communications Posts Unexpected Profit
October 29 2015 - 8:40AM
Dow Jones News
Charter Communications Inc. posted an unexpected profit Thursday
as its third quarter was helped by stronger revenue, especially
from its Internet operations, as well as a tax benefit.
The company has seen strength in its Internet and commercial
revenue of late. Internet revenue was up 17% at $762 million in the
latest quarter, helped by an increase of 430,000 customers over the
last year and price adjustments. Commercial revenue, meanwhile,
jumped 13%.
Video revenue grew 3.1% to $1.1 billion in the third quarter,
helped in part by annual and promotional rate adjustments and an
increase in expanded basic and digital customers. Voice revenue,
meanwhile, fell 4.8% to $135 million.
Overall, Charter posted a profit $54 million, or 48 cents a
share, compared with a year-earlier loss of $53 million, or 49
cents a share. The latest quarter saw a $142 million tax benefit
versus a $59 million tax expense in the same period of 2014.
Revenue increased 7.1% to $2.45 billion.
Analysts had expected a loss of seven cents a share on revenue
of $2.46 billion.
Shares were inactive premarket.
Charter is trying to win regulatory approval for its $ 55
billion cash-and-stock deal to buy Time Warner Cable as well as
smaller operator Bright House Networks LLC. The deal was struck
only a month after Time Warner Cable went back on the block after
Comcast in April terminated the companies' planned $45.2 billion
merger in the face of serious pushback from Washington
regulators.
Charter could eventually use its larger size to push back on big
TV channel owners, like Time Warner Inc.'s HBO, as they experiment
with new Web products outside of the TV bundle.
Write to Anne Steele at anne.steele@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires
(END) Dow Jones Newswires
October 29, 2015 09:25 ET (13:25 GMT)
Copyright (c) 2015 Dow Jones & Company, Inc.
Charter Communications (NASDAQ:CHTR)
Historical Stock Chart
From Jun 2024 to Jul 2024
Charter Communications (NASDAQ:CHTR)
Historical Stock Chart
From Jul 2023 to Jul 2024