Italian pay-TV provider Sky Italia, acquired by Sky from 21st Century Fox in November, reported flat revenues and customer numbers in its fiscal fourth quarter to the end of June, in what it described as a competitive, recession-hit market. The company’s customer base remained unchanged compared to last year at 4.73 million but fell by around 21,000 on a quarterly basis, while revenues dipped to GBP 2.09 million from GBP 2.14 million in 2014. However, Sky Italia continued to improve its churn to 9.6 percent compared to 10.3 percent a year earlier, and operating profit was up 56 percent at GBP 61 million compared to GBP 39 million in 2014. Meanwhile, the company added 387,000 paid-for products with a decline of 19,000 in Q4 after completing the one-off repackaging of customers onto HD products.

The company also expanded its connected homes strategy in Italy, reaching 1.7 million connected households at the end of June, just over one third of the customer base, which drove a 136 percent increase in on demand downloads over the year. In May Sky launched a streaming box to support its Sky Online business after having unveiled a new IPTV service in April in partnership with Telecom Italia.
In terms of content, the pay-TV provider strengthened its position in football by winning the live and exclusive rights to all 472 matches in Serie B football for the next three seasons. The company already has the rights to all Serie A matches, one third on an exclusive basis, as well as all Europa League matches.