Why Charter Communications Stock Plunged Today
Shares of Charter Communications (NASDAQ: CHTR) were down 9.6% as of 3 p.m. ET Friday after the telecommunications company posted mixed quarterly results. It appears the market is also concerned over the fallout of a dispute Charter resolved with entertainment giant Walt Disney during the quarter.
Charter's third-quarter 2023 revenue increased 0.2% year over year, to $13.58 billion, translating to net income of $1.255 billion, or $8.25 per diluted share (up from $7.38 per share in the same year-ago period). Analysts, on average, were anticipating lower earnings of $8.11 per share, but on higher revenue of $13.64 billion.
Digging deeper into Charter's results, total internet segment customers increased by 63,000 to roughly 30.6 million, while mobile lines served grew by 594,000 to a total of 7.2 million. At the same time, however, Charter's residential video customers decreased by 320,000 during the quarter. During the conference call, CFO Jessica Fischer estimated around 100,000 of those video disconnects and 15,000 lost internet customers were directly related to the temporary loss of Disney programming early last month.
Source Fool.com
