Last checked at 5 Sep 2008 07:00
Friday, 5 September 2008
Telecom plus PLC (the "Company")
Half Year Trading Update
Telecom plus PLC (trading as the Utility Warehouse), which supplies a wide range of utility services (gas, electricity, fixed line telephony, mobile telephony and broadband internet) to both residential and business customers, today issues a trading update in advance of its half year ending 30 September 2008.
Since the interim management report issued on 9 July 2008, we are pleased to inform shareholders that the rate of growth in new customers and the number of new services we are providing has accelerated considerably. This means that for the first five months of the current year, customer numbers have increased by almost 16,000 to over 233,500 (of this growth, 7,350 arose during the first quarter).
We continue to see record numbers of new distributors joining the business in the search for a secure and reliable part-time income, with over 1,700 joining during July and August this year (compared with just 710 during the same period last summer). In addition, the recent energy price rises announced by all the major suppliers can be expected to increase the propensity of consumers to look for a cheaper supplier, and thus respond favourably to an approach by one of our distributors.
These market dynamics provide a strong basis for anticipating that the current high volume of new customer applications we are receiving will be sustained over the coming months.
We have brought forward the date of our next Sales Conference from 29 March 2009 to 28 September 2008, as we have a number of new initiatives ready to announce to our distribution channel. We expect these to add further momentum to the strong growth currently being achieved.
Based on continuing customer growth in line with the levels currently being achieved, no further changes to retail energy prices this year and seasonally normal temperatures over the coming months, our management forecasts indicate that our results for the full year will be significantly ahead of current market expectations.
Interim Results Date
Interim results for the six months ending 30 September 2008 are expected to be announced on Wednesday 26 November 2008.
Charles Wigoder, Chief Executive said:
"I am delighted to report strong organic growth during the first five months of the current year, reflecting a continuation of the positive trends which have been developing since last Autumn. I confidently expect to announce record interim results in November."
For more information please contact:
| Telecom plus PLC | |
| Charles Wigoder, Chief Executive | 020 8955 5000 |
| Richard Hateley, Finance Director | |
| KBC Peel Hunt Ltd | |
| Richard Kauffer / Nicholas Marren | 020 7418 8900 |
| Smithfield | |
| Katie Hunt / Reg Hoare / Will Henderson | 020 7360 4900 |
Statements made in this announcement that look forward in time or that express management's beliefs, expectations or estimates regarding future occurrences and prospects are 'forward-looking statements' within the meaning of the United States federal securities laws. These forward-looking statements reflect Telecom plus's current expectations concerning future events and actual results may differ materially from current expectations or historical results. Any such forward-looking statements are subject to various risks and uncertainties, including those set out on pages 14 and 15 of the Report and Accounts for the year ended 31st March 2008. A copy of this is available on the Company's website at www.telecomplus.co.uk/annual report.
About Telecom plus PLC:
Telecom plus, which owns and operates the Utility Warehouse brand, is the UK's only fully integrated provider of a wide range of competitively priced utility services spanning both the Communications and Energy markets.
Customers benefit from the convenience of a single monthly bill, consistently good value across all their utilities and exceptional levels of customer service. The Company does not advertise, relying instead on "word of mouth" recommendation by existing satisfied customers in order to grow their market share.
Telecom plus is listed on the London Stock Exchange (Ticker: TEP LN). For further information please visit: www.utilitywarehouse.co.uk.