Charter Communications Loss Widens

Reuters

U.S. cable company Charter Communications Inc reported a bigger quarterly loss, hurt by costs related to debt extinguishment and the failed deal between Comcast Corp and Time Warner Cable Inc .

Charter's deal to buy some assets of Time Warner Cable fell through after U.S. regulators refused to clear Comcast's $45 billion bid for Time Warner Cable.

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The company also continued to lose customers in its video business in the second quarter. Its net residential video customer losses rose to 33,000 from 29,000, a year earlier.

Cable companies have been struggling with declining subscriber numbers as viewers shift to cheaper and more flexible streaming services offered by Netflix Inc , Amazon.com Inc , Hulu and others.

Charter's net loss widened to $122 million, or $1.09 per share, in the quarter ended June 30 from $45 million, or 42 cents per share, a year earlier.

The company took a $128 million loss on debt extinguishment and $45 million in costs related to the Comcast, Time Warner Cable and Bright House Networks LLC deals.

Revenue rose 7.6 percent to $2.43 billion.

Charter also said in May that it would buy Time Warner Cable in a cash-and-stock deal, which values Time Warner Cable at $78.7 billion. The deal is expected to close by the end of the year.

Charter shares were little changed at $188.43 in early trading on the Nasdaq.

(Reporting by Lehar Maan in Bengaluru and Ankit Ajmera; Editing by Ted Kerr and Kirti Pandey)