News

Three reports £1.23bn revenue in H1

Three UK has shared its half year results for the six months ended 30 June 2023 and reaffirmed the benefits of a merger with Vodafone.

During the first half of 2023, revenue was up 4 per cent to £1.23bn as a result of an increase in the active customer base and net customer service revenue up 8 per cent to £816m.

In addition, margin was up 9 per cent to £808m due to growth in active customer base of 7 per cent driven by new business areas in B2B, SMARTY and 5G Home. Three’s wholesale margin increased 15 per cent y-o-y to £61.5m, due to iD Mobile’s growth in customer base.

Robert Finnegan, chief executive, Three UK, said, “We have successfully grown the business in the first half of the financial year and I’m proud that we have added to the customer base and delivered an increase in margin. I’d like to take this opportunity to thank all my colleagues for their hard work and ongoing commitment to the business.

“While the ongoing rollout of 5G is a success, we have been clear that we are now at an inflection point. As strong connectivity continues to be critical to how we live and work, we’re planning for the future. Our EBITDA continues to be below our capital expenditure, which is unsustainable going forward.

“In June we announced an agreement with Vodafone to merge our businesses. This marked a significant step in our efforts to create a business that will build the UK’s digital future and create a leading 5G network in Europe. Not only will it create a best-in-class network for coverage and reliability, it will also provide the necessary scale to invest, grow and compete, as well as drive economic growth, innovation and jobs across all parts of the UK.”

Three’s 5G network is now live across more than 4,400 sites in over 610 towns and cities, with 61 per cent outdoor coverage.