3rd Oct 2022 10:18
(Alliance News) - Telecom Plus PLC on Monday raised its full-year profit expectations, after a "record" number of UK households signed up to try and save on their energy bills.
Shares in the London-based multi-utility provider were up 16% to 2,010.00 pence each in London on Monday morning, making it the top FTSE 250 performer.
Telecom said that organic growth in the six-month period ending September 30 "accelerated", with a record number of UK households signing up to save on their energy bills.
Net customer additions were 86,004, up from 67,980 in the second half of financial year 2022. This took its total customer base at September 30 to 814,684.
Further, the company said it has seen a reduction in the previously expected cost of multi-service discounts during the second half and an improved outlook for energy affordability. It noted the recently announced price guarantee, which will cap average energy bills at GBP2,500 per household for the next two years.
Based on this, Telecom now expects full year profit to be "materially ahead" of current market expectations.
Prior to this update, the adjusted pretax profit forecast for the year ending March 31, 2023, was GBP75 million.
The company expects to announce half-year results on November 22.
Co-Chief Executives Andrew Lindsay & Stuart Burnett said: "Our unique multi-service proposition enables us to offer households savings on their energy bill of up to GBP125 a year below the new energy price guarantee, sustainably and profitably, underpinning our long-term strong competitive position.
"At a time when cost of living pressures continue to rise, we are uniquely positioned to offer households what they need now more than ever: savings on their essential bills and an extra income from recommending these savings to their friends and family," they added.
By Sophie Rose; [email protected]
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