TalkTalk (LON:TALK) topped up its revenue targets today after the broadband, fixed-line and mobile provider reported its strongest quarterly sales growth.
Reporting its full-year figures, the group – which competes against BT, Sky and Vodafone – said fourth-quarter sales hit 6%, helped by the addition of 47,000 phone and broadband net customers.
For the full-year to 31 March, revenue climbed 4.2% to £1.8bn while profit before tax over the twelve months grew by £1mln, or 3.2%, to £32mln.
Churn (the percentage of customers leaving after their subscription ends), TalkTalk said, was at its lowest ever rate – just 1.3%.
On the back of the performance, the company told investors they can expect a strong year in 2017, when it expects to be able to cut £70mln from its costs.
Next year, meanwhile, revenues for 2016 are expected to grow 5%, “driven by continuing growth in customer numbers.”
The group is continuing to shift to a “quad-play” strategy under chief executive Dido Harding - bundling mobile, broadband, TV and home phone deals as standard.
Harding has previously voiced concerns about proposed mergers in the mobile phone industry, including BT’s planned purchase of EE, which would leave just three major operators.
Today, she said there "needs to be more players in the market" and called for a "level playing field" in the UK's internet services industry.
She said: "We are looking to various competition authorities reviewing the BT/EE merger, the Three/O2 merger and the whole industry."