Charter Communications Q4 Profit Surges On Non-cash GAAP Tax Benefit

(RTTNews) - Charter Communications, Inc. (CHTR) reported that its net income attributable to shareholders for the fourth-quarter 2017 surged to $9.6 billion or $34.56 per share from $454 million or $1.67 per share in the same period last year. The increase was primarily driven by a non-cash GAAP tax benefit of $9.3 billion from a reduction in the deferred tax liability as a result of the enactment of the Tax Cuts and Jobs Act by Congress in December, which reduced the Federal tax rate from 35% to 21%.

In the fourth quarter, total video, Internet and voice customers increased by 15,000, 300,000 and 53,000, respectively. Fourth quarter total residential and SMB customer relationships increased 206,000, compared to 243,000 during the fourth quarter of 2016, when excluding the impact of customer activity related to Legacy Bright House's seasonal customer plan in 2016.

Fourth quarter revenues of $10.6 billion grew 3.2%, as compared to the prior year period, driven by residential revenue growth of 4.0% and commercial revenue growth of 6.0%, partly offset by a decline in advertising revenue of 17.3%, due to lower political revenue.