UPC revenues up 1.3% in Q2

22 aug 2010 Autor: Adrian Seceleanu

UPC, the number two of the local TV service market, posted 30.8 million euros in revenues in the second quarter of the year, an increase of 1.32% in euros compared with the same time of last year, reveal the financial results published by US-based Liberty Global (LGI), the owner of the operator. The company posted 62.3 million euros in revenues in the first half, an increase of 2.3% in euros on the previous year.
Although UPC is one of the few major telecoms in Romania to have posted higher revenues on a dwindling market, LGI in its financial report emphasises the difficult operating conditions on the local market, given that its Romanian subsidiary continued to lose subscribers in the second quarter, as a result of the harsh competition with rivals such as RCS&RDS and Romtelecom (NextGen).
The document, however, does not reveal the reasons for the growth of UPC's revenues, but they can be guessed from the changes in the structure of its customer base. One of them is the increase in the subscribers of more expensive services, such as DVR and HDTV, launched after the company invested several tens of millions of euros in its network.