Cablevision posts revenue increase

Cablevision Systems Corp.'s third-quarter net income beat expectations as price increases for its cable service and higher advertising revenue helped offset a decline in customers.

Cablevision, based in Bethpage, offers cable and broadband Internet services to the New York tristate area.

Net income for the three months ended Sept. 30 totaled $71.5 million, or 26 cents per diluted share. That compares with net income of $294.6 million, or $1.10 per diluted share in the same period last year.

Analysts expected earnings of 16 cents per share from continuing operations, according to Zacks Investment Research. Year-ago results include 88 cents per share of operations that since have been discontinued; net income from continuing operations a year ago was 22 cents per diluted share.

Revenue rose 4 percent to $1.63 billion from $1.57 billion, ahead of analyst expectations of $1.61 billion.

Cablevision owns Newsday.

The company's average monthly cable revenue per customer rose 6 percent to $154.50. But total customers edged down 2 percent to 3.1 million.

Citi Investment research analyst Jason Bazinet said the loss of 56,000 video subscribers was larger than his estimate of a 22,000 loss.

He said that the decline could partly be due to higher pricing for cable. He rates the company "Neutral."

Cablevision shares dropped 21 cents, or 1.14 percent, to close at $18.25 in trading Thursday. Its shares have risen 1.8 percent since Jan. 2, while the Standard & Poor's 500 index has climbed 9.9 percent. The stock is up 13.5 percent in the last 12 months.