Foxtel, whose service is set to be available via the new Telstra T Box, has reported a 17.5 per cent jump in profits to $477m for the year to 30 June 2010. Revenues rose 10 per cent to just over $2B.
Churn was 13.5 per cent a decrease of 0.4 per cent.
Foxtel said that more than 60 per cent of all subscribers are now using a Foxtel iQ , or iQ2 PVR. And that over a quarter of a million subscribers have already moved to their HD service services while over 35 per cent are taking Multi-Room.
According to Telstra CEO David Thodey Telstra is currently negotiating a licensing deal with Foxtel to take Foxtel services onto the new T Box which has been installed in 17,000 homes during the past 7 weeks.
Thodey said that current Foxtel shareholders, News Limited and Consolidated Media Holding, would not de disadvantaged by the deal and that Microsoft and Optus were both taking content from Foxtel.
At 30 June 2010, Foxtel had over 1.54m direct subscriber households (including the installation queue), up 3 per cent on the same time last year. Wholesale subscribers continued to decline. Total subscriber households, including wholesale, finished at 1.632m.
Foxtel’s Chief Executive Mr Kim Williams AM welcomed the results saying, “We had solid earnings growth over the period and despite challenging economic, general consumer sentiment and competitive settings we continued to grow our direct customer base, albeit at a subdued rate.”
“We continued to invest and innovate including broadcasting in February the most comprehensive Olympics coverage in Australia’s broadcasting history with the Vancouver Olympic Winter Games as well as launching FOXTEL Next Generation.” Mr Williams said.
Foxtel Next Generation was launched in November 2009, it offers Foxtel customers: 30 new channel as well as Foxtel download – which allows customers to download to a computer 600 hours per month of constantly refreshed ‘catch-up’ movies, shows and programs from 38 channels.
Shortly the service will be available on Samsung TVs.