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Telecom Plus (TEP) investor relations material
Telecom Plus H1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved 19% year-over-year customer growth, reaching 1,386,585 customers by September 2025, with compounding double-digit growth over four years, driven by a multi-service subscription model and partner-led distribution.
Cross-sell partnership with TalkTalk exceeded expectations, with over 190,000 broadband customers acquired and 5,000 upgraded and cross-sold.
On track for record customer and service numbers, profits, and shareholder returns for FY2026, with a medium-term target of over 2 million customers.
Continued investment in AI, digital transformation, and operational efficiency, including AI-powered customer support and smart meter triage.
Maintained award-winning service levels, including Which? Recommended Provider status for both Energy and Broadband.
Financial highlights
Revenue increased 7% year-over-year to £744.5m in H1 FY26, driven by customer growth.
Gross profit declined 6% to £157.6m, with gross margin at 21.2% (down from 24.1%), mainly due to revised phasing of energy industry costs.
Adjusted profit before tax (PBT) for H1 was £33m, down 30% from H1 FY25, reflecting H1/H2 cost rephasing.
Adjusted EPS fell 28% to 31.5p; statutory EPS was 22.2p (down 36.8%).
Interim dividend increased to 38p per share, up 3% year-over-year, with a payout target of 80–90% of adjusted net profit.
Outlook and guidance
Reiterated FY26 guidance: ~25% total customer growth (including TalkTalk), low double-digit organic growth, and adjusted PBT of £132–138m.
Medium-term goal to reach over 2 million customers, with expected annual growth of 10–15%.
Dividend payout expected to remain at 80–90% of adjusted post-tax profit.
Plans to expand cross-sell blueprint and acquire more single-service customer books.
Shareholder returns expected to increase in line with customer growth.
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