Sky has passed the 12 million subscribers mark in the UK and Ireland for the first time, according to the company’s annual results report.
The British satellite broadcaster’s group revenue was up 5% over last year to around £11.3 billion (US$17.7 billion) and operating profit went up 18% to £1.4 billion (US$2.19 billion).
The results – which cover the 12 months since June 30 of last year – show the company added 973,000 new customers or 45% more than the previous year.
“It’s clear that the steps we have taken to broaden out our business are paying off,” said Jeremy Darroch, group chief executive, in a statement.”By distributing our content over multiple platforms and launching new products and services, we are now able to offer something for every household.
“The UK and Ireland, where our strategy is most progressed, put in a particularly strong performance,” he added. “We passed the 12 million customer milestone with the highest growth in 11 years; we surpassed 38 million paid-for subscription products; and we delivered the lowest churn in 11 years. This is the direct result of the investments we’ve made in connected services and quality content with more than seven million customers now connected.”
In the UK and Ireland, Sky’s revenue increased by 6% to £7.8 billion and operating profit was up 12% to £1.35 billion (US$2.117 million). Quarterly TV growth increased by 49% to 113,000 and broadband additions went up 96,000 or 92% year over year. Churn was 9.8% on a 12-month rolling basis and the lowest churn in 11 years.
In Germany and Austria, Sky experienced its highest customer growth to date. The company’s revenue was up 9% to £1.377 billion (US$2.159 billion) over last year’s £1.262 billion (US$1.977 billion) and it added 467,000 new customers.
Meanwhile, Sky’s Italian operation maintained its subscriber base and delivered revenue of £2.086 billion (US$3.271 billion), which is down due to the absence of revenue from Champions League rights. Its customer base remained stable at 4.7 million after three years of decline.