Broadband Growth Drives Cox's Quarter

Third-quarter numbers are in line with estimates at the big cable operator.
Author:
Publish date:

Cable operator

Cox Communications

(COX)

posted solid quarterly results Tuesday, led by a record number of high-speed Internet customer additions.

The Atlanta-based company posted a third-quarter loss of $215 million, or 35 cents a share, against the year-ago loss of $73 million, or 12 cents a share. Revenue rose 15% from a year ago to $1.46 billion, in line with Wall Street analysts' estimates.

The company said operating income rose 46% from a year earlier to $161.4 million, while operating cash flow jumped 20% to $543.5 million.

Cox attributed the third quarter's top-line growth to rising advanced service subscriptions (including digital cable, high-speed Internet access and telephony), higher basic cable rates and a $5 price increase on monthly high-speed Internet access. An increase in Cox Business Services customers, with customer locations now surpassing 100,000, also contributed to overall revenue growth, Cox said.

The company said it added 169,290 high-speed Internet customers, a record net-add quarter, ending the quarter with 1.8 million. Cox also added 73,019 Cox Digital Telephone customers, ending the quarter with 900,000 customers, representing year-over-year growth of 40%.

Cox shares closed Monday at $33.30.