Dutch cable operator Ziggo reported third-quarter sales up 2.9 percent from a year earlier to EUR 391.1 million. Net profit rose 19.4 percent to EUR 86.5 million. Free cash flow fell 25.7 percent to EUR 136.3 million, due to higher capital expenditure and increased spending on sales and retention.
The company saw an improvement in customer growth in the quarter, which it attributed to the roll-out of its Wifispots and speed increases in the past year. Ziggo added 46,000 internet customers in the three months for a total 1.878 million at the end of September. The number of triple-play customers rose by 37,000, or 8.2 percent on an annual basis. Over half (53.9%) of Ziggo's customers now use a triple-play plan. Revenues from fixed telephony were largely stable, with a small increase of 0.3 percent, while digital TV revenues were down almost 3 percent.
While the market is expected to remain highly competitive, Ziggo maintained its full-year outlook for organic revenue growth of around 1 percent and stable EBITDA. This includes increased investment in sales and retention and additional campaigns supporting its recent mobile launch.
