Despite losses, company reports “best second-quarter subscriber performance in years”
Time Warner Cable reported higher second-quarter profits and revenue, but nonetheless just missed analysts’ expectations. The stock was down in early trading.
The country's second-largest cable company reported earnings of $499 million, or $1.76 per share, up from $481 million, or $1.64 a share, in the second quarter of 2013. Its adjusted, undiluted earnings per share rose $1.89 a share, up from $1.69. Revenue was $5.7 billion, up from $5.55 billion.
Analysts had projected $1.91 a share in earnings and $5.74 billion in revenue.
The company heralded its “best second quarter subscriber performance in years” after losing 34,000 subscribers.
As of 11:06 a.m. Thursday, its stock was trading at $148.61 per share, down 1.86 percent.
Comcast, the country's largest cable company, is seeking federal approval to buy Time Warner Cable for $45 billion. Time Warner Cable said its operating income for the second quarter decreased 2 percent primarily due to higher merger related and restructuring costs, including merger-related expenses of $49 million — $40 million for employee retention and $9 million in advisory and legal fees.