Virgin Media reports 3.9% half-year revenue growth

Virgin Media has claimed a "strong financial performance" in its second-quarter and half-year results for 2011.

The company reported quarterly revenue growth of 2.2% to £986 million, resulting in a half-year revenue increase of 3.9%. Operating income increased by 69.5% for the quarter to £135m, rising by 64.5% for the half-year.

Virgin Media reported a "significant" growth in free cash flow, as net cash provided by operating activities rose by 14.2% for the quarter to £287m, marking a 23.2% half-year rise.

Chief executive officer Neil Berkett said: "There is a growing and increasingly broadbased population of people who are becoming dependent on next generation digital technology and are prepared to pay for quality services.

"During the first half, we have continued to focus relentlessly on delivering superior services tailored to the needs of these data-hungry households and businesses. The increasing demand is evident in a 25% increase in data consumption among Virgin Media's customers in just six months who have watched and downloaded more content then ever before."

Last week, Virgin Media successfully unveiled the world's fastest internet connection while trialling its 1.5Gb broadband in London. Earlier in the month, the company launched its Virgin Media TV Guide app to remotely set recordings on mobile devices.

Berkett added: "This trend is rapidly transforming the profile of our subscriber base, with more than half of all new broadband customers choosing 30Mb or higher compared to just 18% a year ago.

"The significant increases in free cash flow and OCF, together with steady revenue growth, are testimony to the resilience of our targeted strategy during a difficult economic climate and discount-led competitor activity."