Time Warner Cable has posted a drop in first quarter profit due to rising programing costs and expenses related to the separation from its parent Time Warner Inc. The second largest US cable operator’s net profit fell to $164 million, from $242 million a year ago. Revenue rose 5 per cent to $4.4 billion.
These are the first set of financial results by Time Warner Cable since completely separating from former parent Time Warner Inc on March 12th of this year. The cable company said it added 36,000 basic video subscribers as well as 121,000 digital video subscribers during the quarter. It also added another 225,000 high speed Internet subscribers and 166,000 phone subscribers.
Meanwhile, mirroring Sky's Green Button move (Daily News 29.04.09), Time Warner Cable is marrying its interactive-TV capabilities with its video on demand service to create Promotions On Demand, a new VOD technology that enables viewers to request more information or coupons from advertisers through their remote control.