Revenue at mobile phone network EE dropped by 1.1 per cent in the three months to 31 March, down to £1.47bn, ahead of its £12.5bn takeover by BT.
The group linked the decline in revenue to the impact of regulation, and said underlying revenue had improved by 0.3 per cent compared to the first quarter of 2014. Turnover fell by 0.5 per cent.
EE finance chief Neal Milsom said the company was “leading the charge into new growth areas” with a cross-selling policy across its range of connected products including 4G tablets, 4G WiFi, fixed broadband and EETV.
Towards the end of last year reports emerged that BT was seeking a deal with either EE or O2, and in December the telecoms group confirmed that EE had won out.
The companies are now waiting for regulatory approval for the transaction to go ahead.