VMO2 Mobile Contracts Suffer 74,500 Q1 Hit Due to Declining Handset Sales and Legacy Disconnections.

Virgin Media O2 Contracts Mobile Base Sees Reduction

Virgin Media O2’s contract mobile base experienced a decrease of 74,500 connections in the first three months of the year, ending Q1 at 16.0 million. However, total mobile connections expanded to 45.1 million, driven by growth in IoT and wholesale MVNO connections, including partnerships with Sky Mobile and Tesco Mobile.

The decline in the contract base was attributed to decreased handset sales and disconnections related to the decommissioning of a legacy billing system. Q1 O2 monthly contract churn remained stable at 1.2 percent.

Virgin Media O2’s total mobile connections, encompassing both contract and prepaid, now stand at 23.5 million. The company has achieved a significant milestone with 5G coverage now available to over 50 percent of the UK population, including the activation of 5G Standalone in 14 cities.

“While there is much to do in the remainder of the year, we are gathering momentum in accelerating fibre build and marketing the nexfibre footprint, launching new services to enhance and improve customer experience, and progressing wider IT efficiency programmes as we continue our digital transformation.

According to Lutz Schüler, CEO of Virgin Media O2, the company’s Q1 performance lays the groundwork for future growth, with investments in fiber expansion, service enhancements, and network innovation. The launch of 5G Standalone and a new 2Gbps broadband service underscores the commitment to evolving technologies to meet rising demands.

“Our performance in Q1 sets the foundations for our full year guidance as we make key investments to support future growth”.