Revenue flat at TalkTalk as users leave

Steve Dinneen
Follow Steve
TALKTALK lost 25,000 broadband subscribers in its third quarter, as problems with its labyrinthine merger continued to bite.

Billing issues were at least partly responsible for the churn, which left TalkTalk with 4.22m subscribers.

However, the firm said this was partly offset by an increase in average revenue per user.

Customers spent an average of £24.90, up from £23.80 a year earlier, keeping revenues flat at £444m.

The company reaffirmed its guidance of growing revenue for the year by six to eight per cent, helped by unbundling its customers from BT’s exchanges, which enables it to keep more revenue.

Around 85 per cent of customers are now unbundled with Harding aiming for 93 per cent by 2013.

Harding said the company would step up the promotion of its mobile services, which operate on Vodafone’s network, and would add YouView television when the internet-connected TV service launches later this year.

Chief executive Dido Harding said: “One of the reasons why we are not focused on driving our customer base up is the opportunity to increase our revenue as customers take more products from us.

“We are seeing our average revenue per user growing on the back of more customers taking our fully unbundled phone and broadband package.”