TalkTalk sees TV numbers slide

UK telecom operator TalkTalk lost 23,000 net TV subscribers in the first quarter. The company said the decline was due to it focusing on “driving engagement” rather than base growth.

TalkTalk lost 9,000 fixed broadband subscriber in the quarter, while adding 36,000 to its fibre base. TalkTalk also saw solid mobile growth, adding 48,000 subscribers.

TalkTalk reported flat year-on-year revenues, which it said was positive given the decline in its base. Revenue generating unit penetration increased by 6.8% year-on-year thanks to mobile and fibre sales.

“A shrinking customer base in both broadband and TV during Q1 isn’t a surprising result for TalkTalk, and our latest research – which covers the second quarter of 2016 – shows TalkTalk has been unable to turn things around.  Nearly a fifth of TalkTalk customers still want to leave as soon as they can, and its share of new acquisitions is nearly half what it was before last year’s data hack,” said Fiona Keenan, strategic director of Kantar Worldpanel, commenting on the results.

“We wouldn’t be surprised if over the next couple of quarters we see TalkTalk’s base continue to shrink as they struggle to increase their share of new customers.  BT have benefited more than anyone else from TalkTalk’s decline, with 40% of those leaving TalkTalk moving to BT in the months following the data breach.”