Time Warner Cable loses fewer video subscribers
By Subrat Patnaik
(Reuters) - Time Warner Cable Inc TWC.N, the second-largest U.S. cable TV operator, reported a 3.8 percent rise in revenue as residential customers bought more service bundles, leading to fewer-than-expected video cancellations.
Time Warner Cable lost a net 38,000 residential video customers in the quarter, less than half the 103,000 that market research firm StreetAccount had estimated and fewer than the 184,000 customers it lost previous quarter.
Time Warner Cable, however, reported quarterly revenue and profit below the average analyst estimate.
The company's shares were down marginally at $138.63 in morning trade on the New York Stock Exchange on Wednesday.
The cable TV operator has been bleeding customers, who are switching to internet streaming services offered by companies such as Netflix Inc (NFLX.O: Quote).
To retain customers, Time Warner is increasingly offering a bundle of TV, Internet and phone services.
"The larger the bundle, the stickier the customer," MoffettNathanson LLC analyst Craig Moffett said.
The company does not release the number of customers opting for bundles, but the addition of fixed-line customers indicate adoption of more bundles. Continued...