April 23 (Reuters) - Swedish video streaming company

Viaplay said sales growth at its core operations

slowed markedly in the first quarter due to price hikes,

knocking its shares 7% lower.

The group, grappling with waning demand as consumers

struggle with the high costs of living, has lost more than half

of its market value since the start of the year.

After replacing its CEO and laying off 30% of its workforce

last year, Viaplay unveiled a turnaround plan in December that

included raising equity, restructuring debt, and focusing on its

core Nordic, Dutch and Viaplay Select operations.

The group, which competes with Netflix Inc ( NFLX ) and Walt

Disney Co's ( DIS ) Disney+, said sales from those operations

grew 5.6% organically to 4.46 billion Swedish crowns ($410

million), far below 27.3% growth a year earlier.

Viaplay also blamed user account sharing for the muted

growth, estimating that about a third of its premium subscribers

share their account details with other people.

"Obviously that is not fair that you are buying a cinema

ticket, and on the way out you're giving that to another person,

who then watched the movie and on the way out he gives it to

another person," CEO Jorgen Madsen Lindemann told Reuters.

Lindemann said Viaplay has some short-term measures it uses

to stop account sharing outside a household that work well and

is also working on some "more sophisticated" long-term measures

to address the issue. Those measures are due to be introduced in

the summer.

Viaplay completed a 4 billion crown recapitalisation drive

in February, including a cash injection from main stakeholders

that it says should be sufficient as it seeks to stabilise its

business.

($1 = 10.8845 Swedish crowns)