Altice USA Sheds 77,000 Video Subscribers Amid Third Quarter Revenue Fall

Altice USA continued its lack of video subscribers throughout its third monetary quarter as the broader cable trade fends off the affect of cord-cutting and TV viewers turning to streaming platforms.

The cable operator, led by CEO Dennis Mathew, shed 77,000 extra video clients throughout the third quarter, reducing its whole video subscriber base to only over 2.1 million Optimum pay TV clients. That follows 72,800 video clients misplaced throughout the second quarter earlier this 12 months, and 77,600 video subscribers shed throughout the third quarter of 2023.

Throughout the third quarter to Sept. 30, 2024 Altice USA noticed total income fall 4 % to $2.2 billion, in opposition to a year-earlier $2.3 billion. Video TV income fell to $715 million throughout the newest monetary quarter, in comparison with $775.8 million within the third quarter of 2023.

Altice USA additionally misplaced 50,000 broadband subscribers within the third quarter, partially as a result of federal authorities ending its Inexpensive Connectivity Program.  

Throughout the newest quarter, Altice USA swung to a loss attributable to stockholders of $43 million, a swing from a year-earlier revenue attributable to stockholders at $66.8 million. Shares within the firm slid by 11 cents, or simply over 4 %, to $2.48 in after-market buying and selling on the New York Inventory Change.

“As we discussed previously, the macro-economic environment, cord-cutting and increased level of competition continue to weigh on our Q3 results,” Altice USA CEO Dennis Mathew instructed analysts throughout an after-market convention name.

To assist achieve and retain pay-TV subscribers with its Optimum-branded clients, Altice USA launched Leisure TV in July 2024 as a low-cost web TV package deal priced at $30 per 30 days. And on Monday, Altice USA moreover launched an Additional TV package deal with 125-plus channels priced at $85 per-month, and an Every part TV package deal with over 200 channels, together with regional sport networks, and supplied at $140 per 30 days.

“These options are made possible by more flexible programming agreements, which enable an improved margin profile,” Mathew instructed analysts about new streaming TV packages. Rival cable giants like Constitution Communications and Comcast are additionally focusing on pay-TV cord-cutters and cord-nevers with new streaming TV choices.

In early 2025, Altice USA may also begin bundling rival streaming TV packages for added shopper alternative and financial savings.