BSkyB revenues rise as subscriptions grow

LONDON - UK satellite broadcaster BSkyB said first-quarter pre-tax losses narrowed to £89.2m from £123.6m as subscriber growth surpassed expectations, bringing the number of Sky Digital customers to just shy of 5.5m.

The company's Ebitda grew 32% year on year to £65m on revenues of £643m, an increase of 24%, as direct-to-home revenues grew £91m to £438m as a result of the increase in subscribers.



The company added 190,000 subscribers in the three months to September 30, beating expectations of 140,000. BSkyB switched off its analogue signal on September 27 and had been expected to lose around 115,000 of its 145,000 analogue subscribers after the switch-off.



The company said average revenue per user (Arpu) grew 8% to £317 a year, including interactive Arpu of £13.



The group's churn increased slightly to 10.4%, although still substantially lower than its cable rivals and digital terrestrial broadcaster ITV Digital, which has a churn rate of 23.1%.



Shares in the broadcaster climbed 3.1% to 770p in the first half-hour of trading this morning.




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