MI-Connection issues first quarterly report
The MI-Connection cable system, owned by Davidson and Mooresville, has issued its first quarterly progress report, including a review of financial results that it says shows the sytem is ahead of budget. The report also says subscribers have risen 4.9 percent since the towns acquired the system in December, to the current 15,826. And officials say the planned system upgrade is on schedule.
The system supplied limited numbers and no historical comparisons in the release. It shows that MI-Connection had $644,345 in income for the first quarter ending March 30, excluding interest, taxes and depreciation of assets. That figure, known as EBITDA, is what many analysts look to for signs of the strength of a company’s cash flow. MI-Connection said that amount was 27 percent more than the budgeted $507,627.
In a press release (see below), MI-Connection general manager James Miller, said the “success of MI-Connection in the 103 days of operation lends to its financial accomplishment. We look forward to all around system improvements as the upgrade progresses.”
Critics of the towns’ purchase of the cable system worry that it will end up costing the taxpayers money. But the towns have said the system remains healthy and ultimately will generate a profit for the towns.
See our recent coverage of MI-Cable: “Cable system seeks $12.5 million more” and “Cable system to add 37 channels May 1”
Here’s the full May 8 press release …
Explore posts in the same categories: Cable TVMI-Connection Touts Many Successes!
Mooresville – As of the close of the calendar year first quarter 2008, it has been 103 days since the communities of Cornelius, Davidson and Mooresville began operating the local cable television and Internet system as MI-Connection. On December 19, MI-Connection welcomed 15,800 video and 9,000 data customers and in very short order, much has been accomplished by the new MI-Connection team.
Week of December 19th, MI-Connection celebrated a successful transition with minimal customer interruptions.
On March 18th, MI-Connection accomplished a successful network conversion with over 2,500 MI-Connection e-mail users migrated to the MI-Connection network.
On May 1st, MI-Connection launched channel additions to its CATV line up. MI-Connection makes its connection to customers better already with the addition of 37 new channels. More than 70% of the channels added are from a list of channels most requested by customers. MI-Connection added Turner Classic Movies to its Expanded level of service; Oxygen, Fine Living, DIY, SoapNet, The Biography Channel, History International, MTV2, Fox Business Channel, Boomerang and Toon Disney to its Digital level of service; 24 “multiplex” screens of HBO, Cinemax and Starz premium channels; and TNT HD and TBS HD to its High Definition level of service. These channels were added before the system upgrade, so that 94% of customers would enjoy at least one new channel now.
Increased Data Speeds – Many customers have commented that their data connection speeds have increased. MI-Connection technicians and engineers have improved the system’s reliability and performance already by working hard to correct problems within the cable plant.
As of the close of the calendar year first quarter 2008, the MI-Connection customer service team answered telephone inquiries within 1 minute 29 seconds, while the technical support team answered telephone calls within 2 minutes 51 seconds, on average. For the month of April 2008, customer service answered customer telephone inquiries within 34 seconds, while the technical support answered customer calls within 1 minute 16 seconds, on average. A very important goal achieved as MI-Connection resolved to make the customer experience a priority.
System Upgrade Began! The system upgrade began in mid-April 2008, as planned, and will be completed by February 2009. Customers will benefit from this upgrade in many ways, such as continuing to experience improved picture quality and increased system reliability. Much more exciting is the new advanced services that will be offered by MI-Connection to its subscribers, to include Video On Demand, Voice Services and the addition of approximately 55 channels to its recent expanded CATV channel lineup.
MI-Connection has added approximately 775 customers to its customer relationships, a 4.9% increase from the acquisition date relationships of 15,826.Financial results for the calendar year first quarter exceeded budget expectations. MI-Connection reported EBITDA of $644,345, better by 27% of budgeted EBITDA of $507,627. Junior Miller, General Manager of the MI-Connection system commented that the “successes of MI-Connection in the 103 days of operation lends to its financial accomplishment. We look forward to all around system improvements as the upgrade progresses.”
About MI-Connection
MI-Connection (pronounced My Connection) is the locally owned and operated cable and Internet system serving the towns of Mooresville, Davidson and Cornelius in the counties of Mecklenburg and Iredell in North Carolina. The mission of MI-Connection is to be the provider of choice for our residents, enterprises and institutions by furnishing the best in home entertainment and business solutions at leading value. To deliver exceptional customer service with speed and reliability. To listen to our customers and respond with product and solutions that exceed their expectations. To develop an entity that is a source of pride in the community we serve. For more information about MI-Connection, visit www.mi-connection.com.