Shaw Communications adds customers, posts 20 percent jump in 3rd-quarter net income

Shaw Communications’ 3Q profit climbs 20 percent

NEW YORK — Shaw Communications Inc.’s earnings jumped 20 percent in its fiscal third quarter as more customers signed up for its Internet and digital phone services.

The Canadian cable, satellite and Internet service provider said net income for the three months ended May 31 rose to $158.2 million, or 37 cents per share, from $132.2 million, or 31 cents per share, a year ago.

That topped the average estimate from analysts of 33 cents per share, according to a Thomson Reuters poll.

Revenue climbed nearly 10 percent to $943.6 million. Shaw said its total Internet and digital phone lines in service grew by 25,661 and 66,123, respectively.

Service revenue in Shaw’s cable division rose 11 percent to $745 million, driven by customer growth and rate increases. Service revenue in its satellite division edged up 4 percent to $198 million.

In May, Shaw said it would pay $700 million to buy the 65 percent stake of Canada’s second-largest private television network that’s owned by Goldman Sachs. Canwest Global Communications has been restructuring its broadcasting and publishing business under protection from creditors since October. The deal clears the way for Calgary, Alberta-based Shaw to buy all of the television division of a restructured Canwest for about $2 billion including the assumption of more than $800 million of debt.