CityFibre has delivered strong revenues in the company’s first full year of profitability since starting its scale rollout, with a 34% increase to £134m as customer take-up continues to grow.
In a financial and operational update for the year ended 31st December 2024, the altnet provider built good momentum over 12 months, and this is set to continue in 2025 as it completes financing, furthers strategic priorities and accelerates growth.
Consumer revenues increased by 73% to £76m (FY 2023: £44m), with an adjusted EBITDA of £5m, and an additional 181,000 net new customers joined, reaching 518,000 total live customers.
This included a take-up of over 40% in mature cohorts and saw penetration of cohorts in the first 12 months has nearly doubled since 2021.
These improvements are due to CityFibre maturing its wholesale model which provides an increasing choice of ISPs and services for consumers and is further supported by the improved marketing efficiency of its partners: on average, the altnet provider has eight ISP partners selling in each location.
The long-term strategic agreement that was secured with Sky in August 2024 nearly doubled the addressable market with consumer ISPs that now account for 49% of UK broadband market share.
It also underpins its future consumer volumes and take-up expectations and means CityFibre is on track to launch consumer services over its network in 2025.
The company is already over halfway to reaching the rollout milestone of 8m premises: the network passed over 4.3m premises in 2024 and added over 900,000 Ready for Service (RFS) premises in 2024, totalling more than 4.1m premises RFS nationwide.
It also secured five new Project Gigabit wins and now has nine BDUK lots and subsidies totalling over £865m.
Looking ahead, strategic priorities are to expand its wholesale-only network to more than 8m UK premises alongside boosting take-up across all market verticals (residential, business, public sector and mobile), while continuing to deliver quality products and services across the full fibre network.
Greg Mesch, Chief Executive Officer at CityFibre, said: “2024 was a definitive year for CityFibre in which we achieved our first full year of profitability, and signed a new strategic partnership with Sky, which doubled our retail sales capacity.
“As we look ahead to 2025 and beyond, we are confident in delivering accelerated, profitable growth across our expanding platform, with half the UK broadband market now served by our partners.”