Corporate news


8 May 2024

City Fibre installation in progress
  • Customer connections have now exceeded 400,000, growing 77% year-on-year and with installations regularly exceeding 1,000 a day.
  • Positive EBITDA performance for entire first quarter of 2024, with quarterly revenues increasing over 30% year-on-year.
  • Continued progress towards 8m premises target with 6m either already built, in progress, acquired, or underpinned by Project Gigabit contract awards.

CityFibre, the UK’s largest independent full fibre platform, has continued to gather significant momentum with a series of major financial, operational, and commercial achievements during the first quarter of 2024.

The sales performance of CityFibre’s Internet Service Provider (ISP) partners has continued to improve with customer connections now exceeding 400,000, an increase of 77% year-on-year. CityFibre is now regularly installing over 1,000 new customers a day, deploying more than 330 field service teams with an industry-leading Right First Time (RFT) installation rate currently over 95%.

The company also delivered a positive EBITDA performance for the full three months ended 31 March 2024, ahead of its target to breakeven in the first half of the year. Quarterly revenues have increased by more than 30% year-on-year. These milestones mark a new phase of CityFibre’s growth and highlight the recent progress made in driving commercial performance and operational efficiency.

In January, CityFibre was awarded five new contracts under the UK Government’s ‘Project Gigabit’ scheme, bringing its total to nine contracts, worth almost £800m in subsidies. Its extensive participation in Project Gigabit has led to a reprofiling of CityFibre’s build, densifying the rural areas close to its existing urban assets. These contracts underpin rollout to over 1.3m subsidised and commercial premises and will see CityFibre become the principal provider of fibre infrastructure in these areas.

In March, CityFibre announced its acquisition of Lit Fibre, further accelerating its nationwide full fibre rollout by up to 300,000 premises. The acquisition of Lit is the first of several deals CityFibre expects to close over the next two years and reflects CityFibre’s decision to pursue altnet acquisitions as a strategic growth driver towards and potentially beyond its 8m premises target.

CityFibre’s rollout of up to 8m homes is on track with more than 3.6m premises now passed, of which more than 3.3m are Ready For Service (RFS). The company remains on track to deliver 1m RFS premises in 2024 through its ongoing build programme and M&A pipeline. Alongside its ‘work in progress’, Lit Fibre integration and expansion, Project Gigabit subsidised and underpinned commercial rollouts, CityFibre has a clear path to over 6m premises of its full 8m target.

Greg Mesch, Chief Executive Officer at CityFibre, said: “2024 has got off to a flying start for CityFibre. We’ve achieved profitability ahead of schedule, increased revenues by more than 30%, reached over 400k customers, secured almost £400m in new Project Gigabit contracts and acquired Lit Fibre.

“With a clear path to 6m premises we are making great headway towards, and potentially beyond, our 8m target. Over this entire footprint, we will offer our partners the best product, service and economics of any scaled wholesale platform in the UK.”

Steve Holliday, non-executive Chairman at CityFibre, said: “Achieving EBITDA profitability marks an important milestone for CityFibre. The UK market needs a third infrastructure platform of scale to ensure competition matures and that it continues to deliver for consumers and the country. As a profitable business, with supportive investors and enthusiastic ISP partners, it’s clear that CityFibre is the core of that third platform.”