Telecom Plus, the London-listed parent of Utility Warehouse, told investors that multiservice customer growth accelerated in the half-year to 30 September, keeping it on track for an £80 million to £90 million adjusted profit band in the financial year to March 2027.
The company said organic multiservice accounts rose at an annualised rate above 11%, reaching roughly 526,000 households. That pace exceeds the 10% target embedded in a five-year plan that also calls for higher contribution per customer and lower churn across broadband, mobile, energy and insurance bundles sold through a partner network.
Partner network momentum
Monthly active partners increased about 15% to 4,900, while total partners topped 88,000. Telecom Plus relies on independent agents to acquire customers, paying commissions that fluctuate with product mix. Management argued that record partner activity validated increased spending on brand awareness and digital onboarding tools launched after a strategic reset in 2025.
The trading update reiterated that first-half profit will represent roughly 15% of full-year adjusted pretax earnings, with the remainder weighted to the second half when energy margins seasonally improve. Net debt to adjusted EBITDA is expected to hover around 1.5 times before easing toward 1.0 times later in the plan.
Investment versus returns
Shares have recovered only part of the ground lost after a warm winter pushed FY26 profits to the bottom of guidance range, as households consumed less energy than modelled. Telecom Plus is simultaneously buying back stock—about £9 million remained on an authorised programme after repurchasing 3.8 million shares—and investing in motor insurance and mobile propositions that take time to earn.
Analysts on the sell side asked whether marketing spend is front-loaded. The company’s answer is that customer lifetime value metrics are improving even as near-term margins look thin. Utility Warehouse’s pitch remains simplicity: one bill, one call centre, potential savings versus buying standalone utilities.
Competitive context
UK broadband remains crowded after price rises across BT, Sky and Virgin Media. Telecom Plus does not operate its own network at scale; instead it aggregates wholesale access. That keeps capex light but caps differentiation to service and price. Energy supply, re-entered after exiting the market during the 2021 crisis, adds regulatory capital requirements that pure telecoms rivals avoid.
Ofcom’s ongoing probes into full-fibre pricing and contract terms could indirectly affect churn if consumers gain easier switching tools. Telecom Plus has historically benefited when households seek bundled discounts during inflationary periods.
What investors watch next
Full half-year numbers arrive on 24 November. Until then, the stock trades on partner growth statistics and guidance adherence. A reiteration today removes one near-term risk; the longer test is whether FY31 adjusted profit can realistically approach £175 million as management projects. For now, the H1 update reads as steady execution on a turnaround story that still has sceptics in the City.