Virgin Media 2007 Annual Report Download - page 62

Summary Cable Statistics
Selected statistics for residential cable customers of Virgin Media, excluding customers off our
network and Virgin Mobile customers, for the three months ended December 31, 2007 as well as the
four prior quarters, are set forth in the table below. The total number of cable customers directly
connected to our network fell by 117,200 during the six months ended June 30, 2007 partly as a result
of the increase in competition in the marketplace together with the removal of BSkyB’s basic channels
from our platform and increased during the second half of the year by 37,400 reflecting our focus on
reducing customer churn during this period, particularly in the fourth quarter during which our average
monthly churn fell to 1.4%. The total number of Cable RGUs grew to 10,923,400 at December 31,
2007 from 10,526,400 at December 31, 2006, representing an increase in net RGUs of 397,000, of which
206,200 were added in the fourth quarter of 2007.
Three months ended
December 31, September 30, June 30, March 31, December 31,
2007 2007 2007 2007 2006
Opening customers .......... 4,750,300 4,737,300 4,807,600 4,854,500 4,891,500
Customer additions .......... 225,100 256,500 191,900 184,300 213,500
Customer disconnects ........ (200,700) (243,500) (262,200) (231,200) (250,500)
Net customer movement ..... 24,400 13,000 (70,300) (46,900) (37,000)
Closing customers ........... 4,774,700 4,750,300 4,737,300 4,807,600 4,854,500
Cable churn(1) ............. 1.4% 1.7% 1.8% 1.6% 1.7%
Cable Revenue Generating
Units(2)(3)
Television ................. 3,478,100 3,417,000 3,396,600 3,390,000 3,353,900
DTV (included in Television) . 3,253,500 3,167,000 3,125,300 3,081,100 3,005,900
Telephone ................. 4,031,400 3,992,500 3,993,800 4,050,600 4,114,000
Broadband ................ 3,413,900 3,307,700 3,191,900 3,146,400 3,058,500
Total Cable Revenue Generating
Units ................... 10,923,400 10,717,200 10,582,300 10,587,000 10,526,400
Cable RGU/Customer ........ 2.29x 2.26x 2.23x 2.20x 2.17x
Triple-play penetration ........ 49.5% 47.0% 45.2% 42.9% 40.6%
Cable Average Revenue Per
User(4) ................. £ 42.24 £ 41.55 £ 42.16 £ 42.75 £ 42.82
Cable ARPU calculation:
On-net Cable revenues (millions) £ 604.7 £ 590.5 £ 603.1 £ 620.0 £ 626.7
Average customers .......... 4,771,700 4,737,100 4,768,000 4,834,900 4,878,800
(1) Customer churn is calculated by taking the total disconnects during the month and dividing them
by the average number of customers during the month. Average monthly churn during a quarter is
the average of the three monthly churn calculations within the quarter.
(2) Each telephone, television and broadband internet subscriber directly connected to our network
counts as one RGU. Accordingly, a subscriber who receives both telephone and television service
counts as two RGUs. RGUs may include subscribers receiving some services for free or at a
reduced rate in connection with promotional offers.
(3) Data cleanse activity in the second quarter of 2007 did not result in a change in customer numbers
but did result in an increase of 4,200 RGUs comprised of an increase of approximately 4,400
Television and 100 Telephone RGUs and a decrease of approximately 300 Broadband RGUs.
(4) The monthly cable average revenue per user, or Cable ARPU, is calculated on a quarterly basis by
dividing total revenue generated from the provision of telephone, television and internet services to
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