Report Overview


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Under pressure: TalkTalk Group Q1 2016/17 results


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TalkTalk reported net losses in broadband (-9k), with likely negative pressure on line rental, and weakness also in TV (-23k) although fibre (+36k) and mobile (+48k) net adds remained strong. Ahead of insight from competitor performances, the figures suggest a challenging quarter for the operator.
Group revenue growth improved 1.3ppts to -0.4% owing to particularly strong carrier revenues, an inconsistent revenue stream. This was in spite of slowing consumer revenue growth (-1.2ppts to -2.5%) partly owing to cyber-attack related impacts.
The concerted strategic shift away from being a price discounter to a fuller featured value for money provider may well encounter similarly challenging quarters in a highly competitive market where rivals have larger marketing budgets and offer deep discounts.