LONDON -- Financial Headlines

Operational Headlines

Charles Dunstone, CEO, said:

“These are strong results. We have grown revenues by over 30% and made significant investments in telecoms infrastructure, customer recruitment and strategic acquisitions. Distribution profits are up 22% and in the 12 months since we launched our broadband proposition we have become the number three player in the UK broadband market. We now have an excellent platform to deliver on our strategy.

“The Group now consists of a market-leading retail business with further growth prospects as it evolves its proposition; a rapidly growing broadband business, with customer economics improving dramatically and capex set to fall in the medium term; and a number of exciting new commercial ventures that can all become significant earnings contributors. We believe this represents the appropriate blend of earnings visibility, growth and innovation to deliver strong and consistent results in the years to come.

“Over the past four years TalkTalk has consistently proven itself to be a serious competitor to BT and today we are reinforcing our value proposition with a range of price cuts. We are reducing line rental to all voice-only customers, not just those who take an online bill, and introducing free international calls to 30 countries on all our call plans.

“Jim Dale is retiring from Carphone Warehouse and is today stepping down as a Director, after ten years with the Group and six years on the Board. Under his guidance the Insurance business has grown to be a major contributor to Group profitability and I would like to thank him for his significant contribution and wish him very well for his retirement from Carphone Warehouse.”

Carphone Warehouse Group plc (London: CPW)