Cabovisão pushes Cogeco to third quarter loss

Cogeco, the Canadian owner of Cabovisão, has reported a third quarter loss due to the write-off of its net investment in the Portuguese cable operator.

This was recorded through a non-cash impairment loss of CA$225.9 million (€165 million) as a result of “the severe decline in the economic environment in Portugal” as well as third-quarter subscriber loses, despite Cogeco investing in additional marketing activities designed to generate RGU growth and launching new HD channels. Cogeco reported a total loss of CA$182 million in the third quarter, compared to net income of $31.2 million for the same period of the previous fiscal year.

Cabovisão ended May with 842,525 RGUs after losing 10,565 in the quarter. The number of digital TV subs declined by 6,041 to 169,762.