The UK's third biggest broadband provider has announced that it has broken through the 2.5 million customer barrier in its second-quarter financial results.

However, Carphone Warehouse, which owns the TalkTalk and AOL internet services, has undergone a slowdown in customers, with subscriptions falling to 89,000 from 120,000 in the previous quarter.

In the 13 weeks to September 29th, Carphone Warehouse unbundled approximately 500 broadband exchanges and total connections year-on-year were up by 19.2 per cent. The company estimates pre-tax profits to be between £53 million and £56 million.

Charles Dunstone, Carphone Warehouse chief executive, said: "I am very pleased with the progress we have made in our fixed line business, with visibility of future profitable growth increasing all the time. We now have over one million TalkTalk broadband customers, while the focus in AOL has been on customer migrations and network rollout."

Later this week, a number of Carphone Warehouse's customer contracts are due to expire, 18 months after the free broadband offer on TalkTalk was introduced.


Wednesday, 10th October 2007

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