Virgin Media's business unit leads company growth
Business revenue was up nearly 10 percent, while mobile was down three percent
By Antony Savvas | Techworld | Published: 14:05, 23 October 2012
Virgin Media Business has reported year-on-year revenue was up 9.5 percent to £168.6 million for the third quarter, which ended on 30 September.
The business unit's growth greatly exceeded that of the overall Virgin Media group, which reported increased revenues of just 2.8 percent for the quarter. Mobile revenue was down 3.1 percent to £137 million, due in part to regulatory changes to mobile termination rates.
Profit figures for the Virgin Media Business unit, as part of the total Virgin Media group, are not disclosed.
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Mark Heraghty, managing director Virgin Media Business, said: "I can report yet another quarter of growth, our fifth consecutive one. The business division has continued to be a key driver of group revenue growth and this is a direct result of continued success in the public sector as well as pushing connectivity boundaries in the mobile world."
The company has embarked on rolling out WiFi across London Underground, and the service has so far delivered 40 million sessions to over 600,000 customers across 120 tube stations in the capital, said Heraghty.
Virgin Media Business is involved in the UK’s Public Services Network (PSN) market, the government’s standards-based initiative designed to create a "network of networks" so that information can be shared securely between different public sector organisations.
"There’s not much detail in Virgin Media’s group Q3 results, but it’s clear that the UK public sector remains a key market for Virgin Media Business and one where it intends to take market share with disruptive pricing and innovative offers," said TechMarketView analyst Tola Sargeant.
Virgin Media Business recently took on board Yorkshire and Humberside Partnership Management Board as a customer.