Record profits expected at Telecom Plus

14th Feb 2011 12:46

Utility services group Telecom Plus expects full year profits to be ahead of market expectations, despite December's severe weather conditions resulting in slightly slower customer growth in the third quarter.The number of customers grew by 5,528 to 362,828 in the three months to 31 December, compared with a growth of 5,858 for the preceding period, while total group services jumped 27,608 to 1,134,825. The group installed 1,224 prepayment meters into properties during the quarter, taking the installed base to 14,798, from 9,501 at the end of 2009. However, it notes that there remains a "considerable backlog" in carrying out these installations due to weather conditions and the limited availability of engineers.Telecom Plus notes that rising retail energy prices and the impact of the cold weather will result in earnings being slightly ahead of current consensus. Additionally, Opus Energy Group, in which it has a 20% equity investment, is on track to deliver record profits."I am delighted with the continuing strong performance of the business during the current uncertain economic climate," says chief executive Andrew Lindsay."I look forward to reporting record profits and turnover when we announce our full year figures in May."