Sky pay channel halves loss
The pay-TV channel Sky Deutschland gained more subscribers in the second quarter of 2011 and halved its loss. After deducting cancellations, 33,000 subscribers were added. This is significantly more than the 6,000 customers gained in the second quarter of 2010.
According to Kress.de, Sky generated revenues of 276.7 million euros, 17 percent more than in the previous year. After earnings before interest, taxes, depreciation and amortization (EBITDA) of EUR -47.4 million in the previous year, the loss was halved to EUR -23.4 million.
The total number of customers rose from 2.476 million to 2.759 million. The churn rate fell from 16.3 percent in the previous year to 9.4 percent. Each subscriber also spent more on Sky: The average revenue per customer increased from EUR 28.62 in the second quarter of 2010 to EUR 30.69 in the second quarter of 2011.
In recent months, Sky has launched various new products, including Sky Anytime, which allows time-shifted viewing, as well as additional HD channels. Later in the year, Sky will venture onto end devices such as the Apple iPad with Sky go. For the 2011 financial year, the pay-TV broadcaster expects slightly higher revenue per customer and 300,000 more net customers. Nevertheless, 2011 is likely to end with a loss. According to Sky, this will be between -145 million and -175 million euros. Things should continue to improve in 2012.
