& cplSiteName &

Mediacom Motors Along

Alan Breznick
8/8/2017
50%
50%

Nearly bucking the prevailing winds among leading pay-TV providers, Mediacom Communications kept its video subscriber losses down in the second quarter while more than offsetting those losses with broadband and voice customer gains.

Mediacom Communications Corp. , now the fifth-largest US MSO with close to 1.4 million customers due mainly to recent industry consolidation, reported shedding just 3,000 video customers in the historically weak second quarter. That's well down from the 11,000 video subs it lost in the prior year's period. As a result, the privately held cableco closed out June with 829,000 video subscribers, down from 842,000 a year earlier, to generate $201.3 million in revenue, down 1% from $203.3 million the year before.

More than making up for the video sub loss, Mediacom added 6,000 broadband customers in the spring quarter. While that gain was less than half the 14,000 data subs the MSO netted a year earlier, it still boosted its total to almost 1.2 million, up 5.1% from a year earlier. Thanks to this increase and price hikes, the company produced $167 million in broadband revenue for the quarter, up 11.8% from the year-ago period.

The small-but-steady broadband gains come as Mediacom continues to roll out gigabit service throughout its territories, primarily by deploying the new DOCSIS 3.1 spec. The cableco, which introduced 1-gig speeds in its first markets last fall as part of its $1 billion capital upgrade plan and "Project Gigabit" initiative, aims to extend service to virtually all 3 million homes and businesses passed in its 22-state footprint by the end of this year. (See Mediacom Unveils $1 Billion Capital Upgrade Plan, Mediacom Going All DOCSIS 3.1 by Year-End and Mediacom Tricks Out 82 New Towns With Gig Service.)

On the voice end of the business, Mediacom posted its biggest customer gains, adding 25,000 telephony customers, up from 10,000 the year before. It ended the quarter with 520,000 voice subs, up 14.5% from a year earlier. But its voice revenue climbed just 2.4% to $28.2 million, likely because of heavier price discounts.

Finally, Mediacom continued its steady increases on the commercial side, taking in $62.2 million for the quarter, up 8.4% from a year ago. The cableco became the latest MSO to crack the $200 million mark for business services revenue last year.

Overall, Mediacom raked in $471.5 million in revenue for the spring period, up 4.6% from a year earlier. Operating income before depreciation and amortization (OIBDA), a measure of cash flow, rose 4% to $179.6 million.

— Alan Breznick, Cable/Video Practice Leader, Light Reading

(3)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
craigleddy
50%
50%
craigleddy,
User Rank: Blogger
8/8/2017 | 9:54:59 PM
Re: Size
Rocco Commisso built this company from the ground up and it remains one of cable's enduring stories. They're out front on DOCSIS 3.1 and a stalwart in business services, among other things. I imagine Rocco has had suitors waving big sums of money under his nose to buy him out but I hope he (and John Pascerelli and team) continue to stay independent and prove that small is beautiful.     
alison diana
50%
50%
alison diana,
User Rank: Moderator
8/8/2017 | 4:24:14 PM
Re: Size
It's encouraging to see Mediacom growing and reversing some of its numbers. It'll be interesting to see how its DOCSIS 3.1 strategy continues to play out against some other providers' focus on fiber; I'm thinking specifically of Altice and its US operations. Consumers definitely win when there are more competitors. I think that every time I return to Long Island, NY, and see the prices they pay for faster broadband versus here on the Space Coast, FL. 
danielcawrey
50%
50%
danielcawrey,
User Rank: Light Sabre
8/8/2017 | 3:14:35 PM
Size
This makes you wonder: Does scale really matter? It seems to me Mediacom is doing just fine. It's surprising to me, given the fact that the larger operators are on a constant mission to consolidate....
Featured Video
From The Founder
Light Reading is spending much of this year digging into the details of how automation technology will impact the comms market, but let's take a moment to also look at how automation is set to overturn the current world order by the middle of the century.
Flash Poll
Upcoming Live Events
November 1, 2017, The Royal Garden Hotel
November 1, 2017, The Montcalm Marble Arch
November 2, 2017, 8 Northumberland Avenue, London, UK
November 2, 2017, 8 Northumberland Avenue London
November 10, 2017, The Westin Times Square, New York, NY
November 16, 2017, ExCel Centre, London
November 30, 2017, The Westin Times Square
May 14-17, 2018, Austin Convention Center
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
Muni Policies Stymie Edge Computing
Carol Wilson, Editor-at-large, 10/17/2017
Is US Lurching Back to Monopoly Status?
Carol Wilson, Editor-at-large, 10/16/2017
Pai's FCC Raises Alarms at Competitive Carriers
Carol Wilson, Editor-at-large, 10/16/2017
'Brutal' Automation & the Looming Workforce Cull
Iain Morris, News Editor, 10/18/2017
Worried About Bandwidth for 4K? Here Comes 8K!
Aditya Kishore, Practice Leader, Video Transformation, Telco Transformation, 10/17/2017
Animals with Phones
Live Digital Audio

Understanding the full experience of women in technology requires starting at the collegiate level (or sooner) and studying the technologies women are involved with, company cultures they're part of and personal experiences of individuals.

During this WiC radio show, we will talk with Nicole Engelbert, the director of Research & Analysis for Ovum Technology and a 23-year telecom industry veteran, about her experiences and perspectives on women in tech. Engelbert covers infrastructure, applications and industries for Ovum, but she is also involved in the research firm's higher education team and has helped colleges and universities globally leverage technology as a strategy for improving recruitment, retention and graduation performance.

She will share her unique insight into the collegiate level, where women pursuing engineering and STEM-related degrees is dwindling. Engelbert will also reveal new, original Ovum research on the topics of artificial intelligence, the Internet of Things, security and augmented reality, as well as discuss what each of those technologies might mean for women in our field. As always, we'll also leave plenty of time to answer all your questions live on the air and chat board.

Like Us on Facebook
Twitter Feed