Interim Management Statement - Third Quarter FY 2012/13
10,000 total net adds driven by strong growth in on-net customer base
80,000 TV subscribers at 31st December 2012 with growing momentum in Q4
Continuing improvement in on-net churn to 1.5% (Q2 FY13: 1.6%)
Reiterating FY13 financial guidance and medium-term targets
Financial Highlights
On-net revenue up by 5.8% year on year to £292m; (Q3 FY12: £276m)
Corporate revenue up by 1.3% year on year to £80m; (Q3 FY12: £79m)
Total revenue down to £415m (Q3 FY12: £422m) driven by ongoing fall in off-net revenue
On-net ARPU up by 1.7% year on year to £25.47; (Q3 FY12: £25.05)
Operating Highlights
69,000 fully unbundled net adds (Q2 FY13: +66,000)
c30% of TV subscribers new to TalkTalk with balance upsold from Essentials and Plus
35,000 new mobile customers added, taking base to 152,000
22,000 new fibre customers added, taking base to 52,000
25% growth year on year in data products revenues at TalkTalk Business
Complaints to Ofcom down 48% year on year
Dido Harding, Chief Executive of TalkTalk commented:
"We have returned our total customer base to growth for the first time in three years - an important milestone on our journey to become a growing and more profitable business. We successfully launched TV and mobile handsets this summer and the growth in take-up by both existing and new customers underlines the scale of opportunity we see in these additional products. With good trading momentum across the business, we have entered the final quarter strongly focused on execution. We are confident of delivering full-year results in line with our guidance, and are making real progress towards our medium term targets of 2% revenue growth and 25% EBITDA margin."
