Cablevision Revs Rise 13%, Digital Grows

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Now out of the retransmission battle headlines -- for the moment -- Cablevision Systems Corp. has resumed its strong financial news.

For its third-quarter reporting period, the Long Island, NY-based cable operator witnessed a 13.3% gain in net earnings to $112.1 million with revenue climbing 5.6% to $1.81 billion -- all from jumps in its video and telecommunications services/products.

Cablevision gained 1.2%, or 33,700 digital video subscribers, over the past year.

Analysts do not believe this reflects the bruising battle Cablevision recently had with Fox. Some of this fallout might be revealed in Cablevision's coming financial reporting periods, with some gains going to area competitors, such as Verizon FiOS services.

As has been the trend, the number of basic video customers was down almost 1% or 23,500 consumers.

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But Cablevision's newer digital businesses continue to grow -- its high-speed data customers were up 125,000 or about 5%, and there was a 6.4% hike or 128,000 customers for its voice customers.

Cablevision's revenue from its Rainbow programming services -- AMC, WE TV, Sundance Channel, News 12, IFC -- rose 12% to $260.1 million. Operating income was up 18.1% to $63 million. AMC did raise programming and marketing costs by $16.6 million, as it kept "Mad Men" strong and introduced new programming.

The company's Newsday newspaper lost 4.3% of revenue to $76.5 million in the period, now with an operating loss of $0.9 million to $1.7 million.

Investors lifted Cablevision's stock on the day -- 1.63% to $28.09 -- in midday trading.

 

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