{"id":36971,"date":"2024-01-26T09:48:42","date_gmt":"2024-01-26T09:48:42","guid":{"rendered":"https:\/\/www.ispreview.co.uk\/?p=36971"},"modified":"2024-01-26T23:07:24","modified_gmt":"2024-01-26T23:07:24","slug":"full-fibre-broadband-builder-cityfibre-celebrate-100m-uk-revenue","status":"publish","type":"post","link":"https:\/\/www.ispreview.co.uk\/index.php\/2024\/01\/full-fibre-broadband-builder-cityfibre-celebrate-100m-uk-revenue.html","title":{"rendered":"Full Fibre Broadband Builder CityFibre Celebrate \u00a3100m UK Revenue"},"content":{"rendered":"

CityFibre<\/a>, which is busy rolling out a 10Gbps capable Fibre-to-the-Premises (FTTP<\/a>) broadband ISP network across the UK, has today celebrated reaching the \u00a3100m in revenue milestone in 2023. The operator also confirmed that their network now covers 3.5 million premises (3.2m Ready for Service) and has 337,000 live customer connections.<\/p>\n

In case anybody has forgotten, CityFibre<\/a> currently still holds an ambition to deploy their full fibre broadband network to cover up to 8 million UK premises (funded by c.\u00a32.4bn in equity and c.\u00a34.9bn debt) \u2013 across over 285 cities, towns and villages (c.30% of the UK) \u2013 by the end of 2025 (here<\/a>). As above, they’ve so far covered 3.5 million premises (3.2m RFS), which is up from 3.37m (3m RFS) at the last update on 13th December 2023.<\/p>\n

NOTE:<\/strong> CityFibre<\/a> is owned by Antin Infrastructure Partners, Goldman Sachs Asset Management, Mubadala Investment Company and Interogo Holding. Multiple broadband ISPs (e.g. TalkTalk<\/a>, Vodafone<\/a>, Zen Internet<\/a> etc.) are able to sell packages over their network.<\/div>\n

However, it’s also fair to say that the operator has had a challenging year in other respects, not least due to suffering from a sizeable number of job losses (here<\/a>) and the worrying number of build suspensions due to issues with contractors like Kier Group, Telec etc. (examples here<\/a>, here<\/a>). But today’s progress update is all about highlighting the positives and showing that they aren’t going to be stopped by current market challenges.<\/p>\n

In that sense, it’s noted that, during 2023, the performance of CityFibre\u2019s 41 consumer ISP partners continued to improve, driving take-up on the network. Over 165,000 new customer connections were added in the last year, a major increase of 98% versus those delivered in 2022 and bringing their total live customer connections to over 337,000 (10.53% take-up vs RFS premises).<\/p>\n

\"CityFibre-Network-Growth-and-Takeup-Chart-2024\"<\/p>\n

In Milton Keynes, CityFibre\u2019s most mature market, where the build programme was completed in 2022, more than 30% of their covered homes have already chosen to move over to their FTTP<\/a> network. The first areas served in the city have now achieved approximately 40% take-up and penetration continues to grow.<\/p>\n

Greg Mesch, CEO of CityFibre, said:<\/strong><\/p>\n

\u201cIn spite of a challenging operating environment, CityFibre continues to go from strength to strength. During 2023, we generated over \u00a3100m in revenues, delivered our target of 1 million Ready For Service premises, and doubled take-up across our footprint. We look forward to building on this firm foundation and exploring opportunities to transform our expansion ambitions in 2024 and beyond.\u201d<\/p><\/blockquote>\n

The operator now claims to have “confidence that the business will deliver EBITDA breakeven in H1 2024<\/em>” and they expect to add another 1 million premises to their network coverage during 2024 (i.e. a total of 4.5m premises passed or 4.2m RFS by this time next year). However, much as we’ve previously discussed, the operator’s current rate of build would still leave them falling well short of that c.8 million premises target.<\/p>\n

CityFibre has previously expressed a desire to tackle some, or all, of this gap in build and coverage by being a force for consolidation. But being able to strike the right deals, with the right networks (i.e. those with little overlap), is rarely an easy task and only time will tell how much success they have on this front.<\/p>\n

On the other hand, it’s worth taking a moment to ponder just how incredible it is for any alternative full fibre network in the UK to reach this scale, which has often involved CityFibre needing to build while in direct competition with established rivals like Virgin Media<\/a> (VMO2), Openreach<\/a> and others. Not an easy thing to do. The extra competition and energy this brings to the wider market is not something to be underestimated.<\/p>\n","protected":false},"excerpt":{"rendered":"

CityFibre, which is busy rolling out a 10Gbps capable Fibre-to-the-Premises (FTTP) broadband ISP network across the UK, has today celebrated reaching the \u00a3100m in revenue milestone in 2023. 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