QualityIsJobOne
06-27-03, 06:27 PM
For the quarter ended May 31st,2003.... :welcome:
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HIGHLIGHTS FOR THE QUARTER
- Star Choice added 8,259 customers in this quarter and surpassed the 800,000 customer level at May 31, 2003.
- Effective April 1, 2003 a $3.00 rate increase was implemented for most of the programming packages that were not included in the September 2002 rate increase affecting 150,000 customers.
- Effective June 1, 2003 Star Choice implemented a rate increase of $3.00 affecting the majority of customers, which is anticipated to generate revenues of approximately $2.0 million per month when fully implemented.
Revenue increased by 10.0% over the same quarter last year and 17.2% for the nine-month period as a result of subscriber growth and price increases. These factors, combined with the impact of cost reductions, enabled Star Choice to generate operating income of $15.0 million in the current quarter compared to $0.4 million last year. On a year to date basis, operating income was $32.6 million compared to an operating loss of $16.4 million last year. The current quarter operating income improved by $5.0 million (49.5% increase) over the second quarter as a result of the factors noted above.
Customer growth in the current quarter of 8,259 (1.0%) was consistent with second quarter experience. On a year-to-date basis, customers increased by 5.9% compared to 20.1% in the same period last year. The decline reflects a leveling off of the growth rate as the industry is approaching maturity in terms of penetration levels. Current quarter churn has significantly improved compared to the first six months of the year, and the new system for billing and customer care is now performing to expectation and provides the necessary infrastructure for the future.
www.globeinvestor.com/servlet/WireFeedRedirect?cf=GlobeInvestor/config&vg=BigAdVariableGenerator&date=20030627&archive=ccnm&slug=0627007N
HIGHLIGHTS FOR THE QUARTER
- Star Choice added 8,259 customers in this quarter and surpassed the 800,000 customer level at May 31, 2003.
- Effective April 1, 2003 a $3.00 rate increase was implemented for most of the programming packages that were not included in the September 2002 rate increase affecting 150,000 customers.
- Effective June 1, 2003 Star Choice implemented a rate increase of $3.00 affecting the majority of customers, which is anticipated to generate revenues of approximately $2.0 million per month when fully implemented.
Revenue increased by 10.0% over the same quarter last year and 17.2% for the nine-month period as a result of subscriber growth and price increases. These factors, combined with the impact of cost reductions, enabled Star Choice to generate operating income of $15.0 million in the current quarter compared to $0.4 million last year. On a year to date basis, operating income was $32.6 million compared to an operating loss of $16.4 million last year. The current quarter operating income improved by $5.0 million (49.5% increase) over the second quarter as a result of the factors noted above.
Customer growth in the current quarter of 8,259 (1.0%) was consistent with second quarter experience. On a year-to-date basis, customers increased by 5.9% compared to 20.1% in the same period last year. The decline reflects a leveling off of the growth rate as the industry is approaching maturity in terms of penetration levels. Current quarter churn has significantly improved compared to the first six months of the year, and the new system for billing and customer care is now performing to expectation and provides the necessary infrastructure for the future.