Cable One continues to position itself as a tier 2 model for cable operators looking to move away from video and emphasize high-speed internet services.
The Phoenix-based MSO lost another 30,277 video customers in the second quarter and only has 293,237 left.
But total Q2 revenue was up 6.4% year over year to $285.7 million. (The figure is a still-impressive 3.9% increase when the acquisition of Clearwave is factored out.) Residential broadband revenue increased by 8.5% to $132.82 million, amid customer additions of 20,393.
With Cable One up-selling more than half of its customers to take more than the 100 Mbps base-tier speed, average revenue per user was up 4.9% year over year to $71.80.
Meanwhile, revenue from business services increased to $49.8 million.
MoffettNathanon analyst Craig Moffett noted that almost 50%, Cable One margins are the highest in the cable industry. “We suspect they will keep climbing higher,” he said.
As for video, Cable One, which now operates under the consumer-facing brand Sparklight, is mulling a partnership with a virtual MVPD, according to Light Reading.
Daniel Frankel is the managing editor of Next TV, an internet publishing vertical focused on the business of video streaming. A Los Angeles-based writer and editor who has covered the media and technology industries for more than two decades, Daniel has worked on staff for publications including E! Online, Electronic Media, Mediaweek, Variety, paidContent and GigaOm. You can start living a healthier life with greater wealth and prosperity by following Daniel on Twitter today!
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