TalkTalk complains about competitive broadband market despite profits

Telecoms company TalkTalk has reported an increase in revenues in the first quarter and for the year so far, but also cited a more competitive broadband market as rival providers cut prices to attract customers.

TalkTalk said that it had experienced a 3.5 per cent growth in the first quarter, which was driven by the growth in online and corporate subscriptions. The company's full-year revenue also showed a 5 per cent growth, coupled with robust free cashflow.

The provider cites that its SIM-only range for mobile phones increased its market share to 15 per cent, from 11 per cent in the previous quarter.

However, the broadband market was described as being less robust compared to the previous quarters.

Nonetheless, TalkTalk is currently building its own ultra-fast fibre optic network, which was promised to be 12 times faster than the top speed on BT's network for a single "all-in-one" price.

The high-speed broadband is expected to bring connectivity to its first customers in York this autumn. Talktalk has reported its financial reports ahead of other sector giants, including BT and Sky.