In its second quarterly earnings report since snapping up Time Warner Cable and Bright House, Charter numbers weren’t terribly cheery when it came to video cord cutting. The operator reported shedding 47,000 residential video subs in Q3 2016, which compares to a drop of 20,000 in Q3 2015. The reason? The operator indicated it had a lot to do with subs withdrawing from TWC promotional pricing plans, but it also pointed out that the drop was offset by bumps at Charter systems that are considered legacy.
On a pro forma basis, third quarter revenues rose 7.4 percent year over year to $10 billion, driven primarily by growth in internet, commercial, and video revenues, Charter reports.
Overall, the operator’s total customer relationships increased 279,000 during the third quarter, compared to 269,000 on a pro forma basis year over year. During the third quarter of 2016, total residential and SMB primary service units reportedly increased by 409,000, vs. 669,000 on a pro forma basis in the year-ago quarter. The year-over-year decline in primary service units (PSU) net additions was primarily driven by fewer residential voice net additions in the third quarter of 2016 vs. Q3 2015, according to the company.
“The integration of Time Warner Cable and Bright House Networks is on track, and we are beginning to implement the Spectrum brand, with better products, pricing, and packaging,” Charter CEO and Chairman Tom Rutledge, says. “Improving our service operations in a way that allows consumers to recognize Spectrum as the best service provider will take time, but our proven operating strategies will work for customers, employees, shareholders, and the communities we serve.”