Time Warner Cable's earnings seem to reflect a common theme in the cable MSOs in the third-quarter: Internet and voice continue to grow amidst a loss of basic video subscriptions. Fellow cable MSOs Comcast and Cablevision reported similar trends in their respective third-quarter earnings reports. Although Time Warner Cable saw its basic video losses fell below analyst expectations, growth in voice and Internet more than made up for those losses.
During the third-quarter, Time Warner Cable reported it lost 84,000 basic video subscribers. This was steeper than the 65,000 subscriber loss Collins Stewart analyst Thomas Eagan expected for the third-quarter.
The stars of Time Warner Cable's third-quarter growth engine were Internet and phone service. The MSO reported that it brought on an additional 117,000 new Internet subscribers and 62,000 phone subscribers. Overall, high speed Internet revenue shot up 8 percent, while phone service revenue was up 14 percent in the third quarter.
- see the company earnings release here(pdf)
- Reuters also has this coverage
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