NTL cost cutting yields Q1 boost

UK cable operator NTL today reported first quarter revenue increase of 5.95 per cent on the strength of rising digital revenues and cost savings.

By Chris Holbrook, 8 May 2001 12:17

NEWS NTL posted Q1 revenues of £622m, up from £586m in the previous quarter, and said it expects to meet its 2001 targets of 1.25m digital subscribers and 100,000 cable subscribers. NTL's profits before interest, tax, depreciation and amortization improved more than expected to £86m compared with £65m in Q4 2000. The digital TV services company also said its wholly-owned subsidiary NTL Communications will sell seven-year convertible bonds to raise around £350m to help fund the business over the next three years. NTL, which bought 11 rivals in two years as part of its European expansion strategy, was rumoured earlier in the month to be slashing around 3,000 positions to save it £200m over the next two years.

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