Virgin Media 2006 Annual Report Download - page 65

Summary Mobile Statistics
Selected statistics for Virgin Mobile since acquisition are set forth in the table below:
December 31,
2006 September 30, 2006
Opening 90 day active customers(1) 4,511,700 —
Increase in customers on acquisition of Virgin Mobile — 4,389,000
Net customer additions 11,100 122,700
Closing 90 day active customers 4,522,800 4,511,700
Mobile average revenue per user(2) £10.59 £10.28
ARPU calculation:
Mobile revenue (millions) £141.8 £132.5
Average customers 4,465,400 4,294,800
(1) 90 day active customers—Prepay customers are defined as active customers if they have made an outbound event in the
preceding 90 days. Contract customers are defined as active customers if they have been provisioned and have not been
disconnected.
(2) Mobile monthly average revenue per user, or Mobile ARPU, is calculated on service revenue for the periods since acquisition,
divided by the average 90 day active customers for the period since acquisition, divided by three.
Content Segment
The summary pro forma combined results of operations of our Content segment were as follows (in millions):
Year ended
December 31,
2006 2005
Revenue £ 362.1 £ 287.2
Inter segment revenue 22.7 20.6
Segment OCF 25.7 26.7
Depreciation, amortization and other charges 18.5 25.6
Operating income (loss) £ 7.2 £ 1.1
Revenue
For year ended December 31, 2006, pro forma Content segment revenue increased by 26.1% to £362.1 million from £287.2
million for the year ended December 31, 2005. This increase is driven largely by the inclusion in the year ended December 31, 2006 of
sit−up. sit−up was acquired by Telewest in May 2005 and contributed revenue of £226.4 million in 2006. Increased revenue from
Virgin Media TV of £14.0 million was principally due to an increased share of the TV advertising revenue market as a result of the
cumulative effect of the relative strength of the viewing performance of the Virgin Media TV channels, and increased subscription
revenue arising from contractual price increases.
Content segment OCF
For the year ended December 31, 2006, pro forma Content segment OCF decreased by 3.7% to £25.7 million from £26.7 million
for the year ended December 31, 2005. The decrease in pro forma Content segment OCF is primarily due to lower gross margins being
achieved in 2006 compared with 2005, particularly in sit−up trading.
61
Source: VIRGIN MEDIA INVESTM, 10−K, March 01, 2007