Investors are pleased with TalkTalk’s decent start to the year
TalkTalk shares jumped more than four per cent in early trading as it reported a solid start to the year.
The figures
First quarter revenue for the three months to the end of June were flat year-on-year
It lost 9,000 broadband customers and 23,000 TV customers, but added 48,000 mobile users and 36,000 Fibre consumers.
Its rate of churn for customers inched down year-on-year and remained flat on a quarterly basis at 1.36 per cent.
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Why it's interesting
TalkTalk's profits took a hit in the last financial year as a result of a high profile cyber attack and the group is seeking to put the whole thing behind it.
What TalkTalk said
We expect full-year 2017 revenues to grow modestly over the full year, driven by a broadly stable broadband base and continued growth in TalkTalk Business; and headline EBITDA of £320m-£360m.
We expect the full -year 2017 dividend to be at least in line with that of 2016 and covered by free cashflow.
In short
TalkTalk's latest update might be a case of no news is good news – while revenue is flat as is churn, after being rocked by that cyber attack which caused profits to plunge, a steady quarter in the bag and maintaining guidance (no nasty surprises) is welcome news for investors.