Telecom Plus (LSE:TEP), the multiservice household utilities provider trading as Utility Warehouse, has launched a five-year plan to double its multiservice customer base from approximately 500,000 to more than one million by FY31, backed by annual profit-and-loss investment of around £55m.
The plan targets adjusted pre-tax profit of approximately £175m in FY31, with earnings per share growing ahead of customer growth, and net debt at around 1.0 times adjusted EBITDA by that year.
For the nearer term, adjusted FY27 pre-tax profit is guided at £80m to £90m, absorbing the first full year of planned investment.
The company said the shift in focus follows a period in which it has been signing up a growing proportion of lower-quality single-service customers, diluting the overall quality of its earnings base.
Investment will be channelled across four areas: sharpening the multiservice pricing proposition, expanding the Partner sales network, building a nationally recognised consumer brand, and upgrading digital capabilities through AI adoption.
Telecom Plus also cited encouraging early evidence, including stronger multiservice customer growth and increased Partner activity, with the network expanding from around 77,000 at the end of FY26 to more than 81,000 now.
"These multiservice customers are the strongest driver of long-term value, staying with us for longer and generating higher returns," said chief executive Stuart Burnett, noting five consecutive years of record results underpinning the confidence behind the new targets.
Progress against operating and financial metrics will be reported at each half-year and full-year results announcement.
