Third quarter results saw record revenues of $727.9 million compared with
$232.3 million for the quarter ended September 30, 1999 while EBITDA grew to
$280.3 million compared with $77.4 million for the quarter ended September 30,
1999. Adelphia’s net loss applicable to common stockholders for the third
quarter totaled $145.3 million, or $1.06 per share, compared with
$56.9 million, or $0.95 per share, for the same period in the prior year.
For the quarter ended September 30, 2000 compared to September 30, 1999, pro forma consolidated revenues and EBITDA grew 14.3% and 6.8%, respectively.
On a pro forma basis, as if all acquisitions and divestitures which have
closed as of November 14, 2000 had occurred on January 1, 1999, basic cable
subscribers grew 1.1% to 5,543,067 during the twelve month period ended
September 30, 2000. Adelphia’s digital subscribers grew 206% from 170,785 to
522,721 and its high speed data subscribers grew 229% from 31,847 to
104,915 on this same basis.
As a result of this growth and operating synergies associated with acquisitions that closed in the prior year Adelphia’s cable operations achieved pro forma revenue and EBITDA growth rates of 7.5% and 10.5%, respectively, compared to the September 30, 1999 quarter.
Adelphia’s subsidiary, Adelphia Business Solutions,continued to make significant contributions to the Company’s overall financial performance.
During the twelve months ended September 30, 2000, Adelphia
Business Solutions’ consolidated third quarter operating results included
revenue growth of 116% to $93.6 million from $43.3 million and consolidated
EBITDA losses of $25.2 million compared to $12.5 million in the prior period.
The twenty-two original markets in which Adelphia Business Solutions has
operated since it went public in 1998 (the original markets) delivered
impressive third quarter results with revenue increasing 86.5% to $74.6
million and EBITDA increasing 123% to $15.5 million, for the twelve months ended September 30, 2000.
Over the last twelve months Adelphia Business Solutions added 326,604
installed telephone lines to end the quarter with 576,857 installed lines
and increased the number of its central office collocations from 150 to 282.
Timothy Rigas, CFO of Adelphia commented, The third quarter demonstrated
continued success in both our cable and telephone subsidiaries. The
combined financial results of our cable operations and Adelphia Business Solutions’ original markets, were impressive. Together these operations delivered pro forma revenue and EBITDA growth of 12.1% and 13.0%, respectively. Since Adelphia Business Solutions’ original markets generally overlap our cable operations, I believe these measures are relevant for comparison with other cable companies that have significant telephone operations.
We were also pleased with the acceleration of our new product rollouts
which include digital cable, high speed data and telephone access lines.
During the September quarter, we added over 180,000 digital cable subscribers,
averaging over 15,000 adds per week, bringing our total at quarter end to over
520,000 customers. We believe that we are firmly on track to achieve our
previously stated goal of ending the year with 800,000 digital cable
subscribers and are extremely excited about the near-term opportunities this
base of customers brings to Adelphia.
We also continued to ramp up the deployment of our high speed data
product. We added over 30,000 high speed data customers during the quarter,
about 2,500 customer adds per week. We also saw record telephone access line
installations of 83,225 during the third quarter. At September 30 we totaled
over 1,200,000 combined telephone lines, digital cable subscribers and high
speed modem customers, a number which continues to demonstrate our successes
in deploying advanced services.