Sky TV's profit slumps on eve of merger decision

SKY TV's has shed more subscribers and seen its net after tax profit drop as it waits to find out whether it will be allowed to merge with Vodafone NZ.

Total subscribers have dropped by 36,544: from 852,679  to 816,135.

Operating revenue was down 3.7 percent (to $458 million) while operating surplus before tax had dropped by 27.2 per cent to $121m.

The Commerce Commission is set to release its decision on Thursday on whether SKY TV and telco Vodafone NZ are able to merge.

Spark and 2degrees are taking High Court action on Wednesday asking that, should the merger be approved,  Vodafone and Sky be prevented from enacting the deal for 36 hours to allow interested parties time to take legal action.

The court action is also supported by Internet NZ.

Spark boss Simon Moutter, on the eve of the legal action has taken a dig on Twitter by posting a picture of him sending back his SKY TV decoder.