Virgin Media 2011 Annual Report Download - page 57

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Revenue
Our Business segment revenue for the years ended December 31, 2011 and 2010 was comprised of (in millions):
Year ended
December 31, Increase/
(Decrease)2011 2010
Revenue:
Retail:
Data ..................................................... £277.0 £241.5 14.7%
Voice .................................................... 153.7 163.3 (5.9)
LAN Solutions and other ..................................... 35.4 31.7 11.7
466.1 436.5 6.8
Wholesale:
Data ..................................................... 153.1 137.7 11.2
Voice .................................................... 18.2 22.6 (19.5)
171.3 160.3 6.9
Total revenue ...................................................... £637.4 £596.8 6.8%
For the year ended December 31, 2011, revenue from business customers increased by 6.8% to
£637.4 million from £596.8 million for the year ended December 31, 2010. The increase was primarily
attributable to growth in retail and wholesale data revenues along with an increase in LAN solutions and other
revenue, partially offset by a fall in retail and wholesale voice revenues.
Retail data revenue represented 59.4% of the retail business revenue for the year ended December 31, 2011
compared with 55.3% for the year ended December 31, 2010. For the year ended December 31, 2011 retail data
revenue increased by 14.7% to £277.0 million from revenue of £241.5 million for the year ended December 31,
2010 primarily as a result of our strategy of focusing on higher margin data revenue and increasing demand for
our data products within a growing data market.
Retail voice revenue decreased in the year ended December 31, 2011 compared to 2010, mainly as a result
of declining telephony usage and, to a lesser extent, a decline in rental and install revenues.
LAN solutions and other revenue in the year ended December 31, 2011 was £35.4 million compared to
£31.7 million for the year ended December 31, 2010. The majority of this revenue is from infrastructure projects
which are non-recurring in nature. The growth was primarily due to growth in equipment and LAN project
revenues.
For the year ended December 31, 2011 wholesale revenue increased by 6.9% to £171.3 million from
£160.3 million for the year ended December 31, 2010 mainly as a result of increased usage of our network by
wholesale data customers, partially offset by a decline in wholesale voice revenues.
Business Segment Contribution
For the year ended December 31, 2011, Business segment contribution increased to £377.4 million from
£342.8 million for the year ended December 31, 2010. The increase was primarily due to the higher revenue, as
described above.
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