Website: Rapid TV News
Austar’s subscriber growth continues only to inch higher, with the Australian regional pay-TV provider reporting subscriber figures up just 2,112 for the quarter.
Total subscribers at the end of March stood at 743,759. But penetration of the MyStar PVR service, continues to show stronger growth, up 9% over the quarter to 144,256 subscribers.
The MyStar figure represents 24% of Austar’s residential subscriber base, with 22% of MyStar subscribers taking MyStar HD.
However, growth is weaker for the company’s additional outlets option. 31% of residential subscribers have additional outlets, but that is only an improvement of 21,357 on a year ago.
Austar accentuated the positive in the results.
Chief Executive Officer, John Porter, said: “The first quarter is seasonally slower for the industry and this is reflected in our subscriber figure.
“However our customers are even more satisfied with their AUSTAR service and as such we’ve seen a substantial reduction in churn compared with the two previous corresponding periods [1.39% compared with 1.52% in Q1 09 and 1.53% in Q1 08] as well as a significant increase in ARPU [ up from A$79.94 in Q1 09 to A$83.85].
“I’m also pleased with the continued growth in MyStar HD. These customers are our biggest advocates, with 90% saying they’d recommend the product to a friend.”
Revenues were up 7% on Q1 09 to A$174 million, with operating expenses down 2% to A$35 million.
Profit before interest and tax was A$34 million, a 22% increase. Cash capital expenditure decreased 8% to A$30.8 million for the quarter. Free Cash Flow increased 63% to A$10.1 million.
Austar will launch online and on-demand products, Austar AnyWhere and Austar AnyTime, this year.
Excerpted from:
MyStar shines in Australia