CALGARY – Shaw Communications acquired 6,524 new basic cable TV subscribers for a total of 2,241,503 at the end of the second quarter ended February 29, according to financial figures released Friday.
Its digital TV base grew 48,006 to 850,642, and the number of its Internet subscribers rose 31,517 to a total of 1,517,992. The number of its Digital Phone lines increased 56,536 to a total of 492,232. Its DTH satellite TV operator, Star Choice, signed on 4,977 new customers to bring the total number to 886,106.
“Quarterly subscriber gains in Digital Phone and Digital were the strongest additions we have had, exceeding last quarter’s record gains. We also achieved several milestones, reaching 1,500,000 Internet customers in the quarter, and most recently, surpassing 500,000 Digital Phone lines,” said Shaw CEO Jim Shaw in a statement.
The company recorded a net income of $298.8 million, compared with 79.8 million for the same quarter last year. Several non-operating items, and a tax recovery of $188 million related to reductions in enacted income tax rates were included in this quarter’s results.
Cable revenues increased 13% to $582 million in the quarter from the same period a year earlier. The improvement was primarily driven by customer growth and rate increases.
The satellite division’s revenues were up 6% to $181 million in the second quarter of 2007, from 2006.
“The quarter produced solid financial results and subscriber gains,” said Shaw. “Increased revenue and improved service operating income before amortization reflect the underlying strength of the business and the continued focus on managing our assets to deliver long-term sustainable growth in a competitive market.”
The financial results also note that Shaw is planning to participate in the upcoming auction of spectrum licences for advanced wireless services. The purchase of any such licences will be paid for through Shaw’s free cash flow and, as may be required, their bank.
