Go Back   Eurocardsharing > General Discussions > General Satellite News > Latest Satellite News

Latest Satellite News Discussion, Update Baaaaad news from BSkyB at General Satellite News forum; Baaaaad news from BSkyB This coming Friday will see BSkyB unveil its latest quarterly results (3 months to Sept 30), ...

LinkBack Thread Tools Display Modes
Update Baaaaad news from BSkyB
Bacteria's Avatar
Posts: 96,015

Level: 124 [♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥]
Life: 4638 / 4638
Magic: 32005 / 104762
Experience: 68%

Thanks: 1,107
Thanked 5,578 Times in 1,419 Posts
Join Date: Oct 2006
Age: 37
Update Baaaaad news from BSkyB - 27-October-2008, 11:00

Baaaaad news from BSkyB

This coming Friday will see BSkyB unveil its latest quarterly results (3 months to Sept 30), and the news had better be good. The problem is the market has already decided that Sky's news is probably going to be baaaaad.

Friday (Oct 24) saw Sky's already miserable share price tumble another 43p (to 329p, and a 10-year low for the stock) and continuing a massive 4-day fall of 80p from 410p. But more worrying is that this time last year Sky's stock price was in 700p territory. This past week has not been helped by a highly negative reports from stockbrokers Collins Stewart, and investment bankers Dresdner Kleinwort.

Collins Stewart said that BSkyB would fail to hit its 10m subscriber 2010 target, falling short by around 600,000 customers. "We believe BSkyB faces greater threats to its business model than ever before," said the brokers. "Recession, technology shift and regulation could together combine to make the perfect storm." The report draws comparisons between the current sharp economic downturn and forecasts that British pay-TV subscribers are going to tighten their belts from now through 2010. "By then the UK may be mid-recession, Ofcom should conclude its potentially damaging pay-TV review and BSkyB will be riding the uncertainty of the next Premier League rights auction," the report added, suggesting that Sky might have to cough up an extra 500m over the current three-year fee of 1.31bn for its next batch of Premiereship English league soccer matches.

Then, to add salt into Sky's wound, Dresdner's came out with its note, and cut its price target for the broadcaster from 480p to 430p, and expressed anxieties that Sky might be looking too closely at bidding for Spain's Digital+ pay-TV platform.

Not helping matters is a yet another report (from Continental Research) suggesting that BSkyB's all-important ARPU numbers will also slip, and stating that its study showed that 10% of Sky subscribers that its sample covered "planned to end their subscriptions".
Reply With Quote


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Forum Jump

ECS on RSS ECS on Twitter ECS on Facebook ECS on Youtube
Follow us on:

Powered by vBulletin
Copyright 2002 - 2010, Jelsoft Enterprises Ltd.
SEO by vBSEO ©2011, Crawlability, Inc.