Virgin Media’s first ever profit boosted by TiVo

Wednesday, 08 February 2012 11:49

Virgin Media has announced its first annual profit, encouraged by a surge in demand for TiVo digital recorders and superfast broadband.

The cable company reported revenues of £4 billion for 2011, up three per cent, with net income totalling £76 million.

It also announced that the number of TiVo subscribers more than doubled in the fourth quarter, with 273,000 additions bringing the total customer base to 435,000.

At the same time, internet users signing up for superfast broadband – 30Mb and above – resulted in 133,000 customer growth.

Mobile contract customers also increased by 26 per cent during the year to 1.5 million.

Chief executive Neil Berkett said: “Our strategy of focusing on customers who want more from the digital world is paying off.

“The combination of the best TV experience and the best broadband has enabled us to acquire more new customers in the quarter.”

Mr Berkett said the company would advance its plans for a further round of share buybacks, with a $250 million repurchase scheme to start right away.

Virgin Media was formed in 2006 following the merger of Virgin Mobile, Telewest and NTL.

The TiVo on-demand service launched in the middle of last year and the company aims to double customer numbers over the next 18 months.

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