KCOM Group PLC (“the Group”) issues its Interim Management Statement for the third quarter ended 31 December 2012. 

Despite continued challenging market conditions, the Group maintained its progress during the third quarter.

In those conditions, the public sector remains an important opportunity for growth and Kcom secured a number of key contract renewals, underlining its position and reputation in that market. These renewals contributed to a further increase in Kcom’s multi-year order backlog.

Kcom was named also as the preferred bidder by East Sussex County Council, to provide a hosted managed communications service on behalf of a range of public sector organisations as part of the Link Consortium arrangement. This reinforces Kcom’s growing presence in the Public Services Network (PSN) market and the cloud-based service demonstrates its ability to provide additional services into existing PSN connectivity frameworks.

Smart421 and Eclipse continue to perform well in their respective markets.  Smart has recently won a services and support contract with National Rail Enquiries, a division of the Association of Train Operators (ATOC). NRE provides all information for all passenger rail services on the National Rail network in England, Wales and Scotland.

KC continued to make a strong contribution to the quarter’s performance and the next phase of its fibre deployment has begun in business parks and residential areas. KC is on target to start connecting customers in premises passed by this second phase over the coming months.

Market conditions continue to be challenging. The Group has however continued to exploit successfully the opportunities that are there, with positive momentum across all brands. We remain confident about the quality of our business operations and their capacity to generate cash and reconfirm our commitment to a minimum ten per cent growth in the dividend in this financial year.

Bill Halbert
Executive Chairman


KCOM Group PLC is a leading provider of communications services to organisations and consumers, serving customers through four market focused brands.

KC provides a range of telephony and broadband services to consumers and businesses in Hull and East Yorkshire. Our other three brands serve organisations throughout the UK. Eclipse provides communications services to small and medium businesses across the UK, connecting them to customers, partners and suppliers and improving their productivity and flexibility, and helping them to grow.  Kcom works with some of the UK’s biggest names, delivering communications services that enable them to be flexible, efficient and more responsive to their customers. Smart421 delivers high-end consultancy, integration and management of business-critical systems for enterprise customers.

We apply the collective knowledge and expertise of our people and our partners to help our customers harness the power of communications. Our focus is on the delivery of inspiring customer experiences, and finding new and better ways to connect people.

For further information please contact:

Bill Halbert, Executive Chairman / Paul Simpson, CFO 
020 7422 8707

Cathy Phillips, Investor Relations
07778 335735

Matt Ridsdale/Lulu Bridges/Mike Bartlett
Tavistock Communications
020 7920 3150