Cablevision Systems Corp.
) reported strong financial results for the first quarter of 2014.
Both the top and the bottom line surpassed the respective Zacks
Consensus Estimate. For fiscal 2014, the company also expects some
cash flow growth. Cablevision Systems currently has a Zacks Rank #3
Total revenue, in the first quarter of 2014 came in at $1,575.6
million, up 4.3% year over year and also outpaced the Zacks
Consensus Estimate of $1,560 million.
Quarterly GAAP net income from continuing operations was $90.1
million or 33 cents per share compared with a net loss of $7.1
million or 3 cents per share in the prior-year quarter. However,
first-quarter adjusted earnings per share of 14 cents were
significantly above the Zacks Consensus Estimate of 2 cents.
Quarterly operating income was $207.1 million against $107.4
million in the last year's comparable quarter. Operating margin was
13.1% compared with 7.1% in the prior-year quarter. Quarterly
average monthly cable revenue per customer stood at $148.22
compared with $139.80 in the year-ago quarter. Average monthly
cable revenue per video customer was $168.34 against $156.34 in the
In the first quarter of 2014, Cablevision generated
approximately $283.7 million of cash from operations against $189.4
million in the year-ago quarter. Free cash flow, in the reported
quarter was $98.1 million against a negative $48 million in the
prior-year quarter. As of Mar 31, 2014, the company had $768.1
million of cash and cash equivalents and $9,765.5 million of debt
Segment Wise Revenues
segment's revenues stood at $1,417.1 million, up 4.5% year over
year. Within this segment, Video revenues totaled $793 million, up
3.4% year over year. High-Speed data revenues were $347 million, up
5.2% year over year. Voice revenues were $220 million, up 5.3% year
over year. Advertising revenues totaled $32 million, up 218.5% year
over year. Other revenues were $25 million, up 8.7% year over
segment's revenues came in at $86.8 million, up 5.2% year over
revenues were $81.5 million, down 1.7% year over year.
As of Mar 31, 2014, Cablevision had 2.799 million video
subscribers, 2.788 million high-speed data subscribers and 2.280
million voice subscribers. In the reported quarter, the company
lost 14,000 video subscribers but gained 8,000 subscribers each for
high-speed data and voice.
Cablevision is facing fierce competition from the fiber-based
FiOS video offerings of
Verizon Communications Inc.
). Apart from
), all other cable TV operators are facing the brunt of fiber-based
video offerings of Verizon and
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