Jefferies Comments On Virgin Media 2Q11

According to Jefferies, Virgin Media VMED is confident of buyback commitment despite slowing OCF growth. Jefferies said that 2Q rev growth has come in at +2.2% y/y adjusted for the VMTV disposal (1Q: +5.7%, 4Q 2010: +6.6%). “2Q revs are 1.4% below cons, 2.4% below JEFFe. OCF growth continues to slow with 2Q OCF +6.1% y/y pro forma, down from +7.6% in 1Q and 14.1% back in 1Q 2010. OCF was in line with cons/JEFFe.” Virgin Media closed yesterday at $28.15.