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KC's super-fast broadband is key to strong results

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SUPER-fast broadband has proved the key to KC's encouraging end-of-year results.

Customers across East Yorkshire have been snapping up some of the fastest broadband speeds in the country, which has contributed to KC's financial performance.

The company, which is part of the KCom Group, has been rolling out its KC Lightstream service across the region, using fibre-optics to provide a service up to 30 times faster than the national average.

This has resulted in an increase in KC's household and business customers.

Executive chairman Bill Halbert believes the key for KC began when it was given the go-ahead to sell a combination of telephone and broadband services, known as bundles.

He said: "The success started in 2010, when we were allowed to provide bundled services. That started part of a growth for KC and allowed us to attract more broadband customers.

"The broadband penetration in East Yorkshire was very low, which gave us a lot of scope.

"It remains low, which means there is still a lot of potential growth."

"We are now looking at adding the YouView television service to our bundles."

Mr Halbert said: "In the past couple of years, we have introduced fibre into our customer network.

"This means we can provide faster broadband than anywhere else nationally.

"Beverley now has the fastest in the country, at 350mb per second, while the average in the country stands at just 12mb per second.

"We have a take-up of about 20 per cent of customers for the high-speed service, compared with the national average of just 10 per cent.

"By next year, we will have provided 15,000 households with fibre optic broadband and, by 2015, we hope to extend that to 50,000 households."

Mr Halbert has revealed a key advantage KC has over the likes of BT.

He said: "The interesting thing to note is that we can take the fibre optics right to the home, while BT, for instance, can only take it to a cabinet and then uses a copper wire to take it to homes.

"This means BT can only provide a maximum of 70 megabits per second.

"Our system is also future-proofed, as we could get to speeds of beyond a gigabit per second."

KC has also had success in the business market, securing contracts with Humberside Fire and Rescue Service, Network Rail and Victoria Plumb.

Meanwhile, KCom has also performed to expectations.

The East Yorkshire group reported profit before tax increase by 3.1 per cent to £52.7m, although revenue was 3.7 per cent lower in the year ending March 31.

Mr Halbert said: "Our disciplined financial management gives the group a positive outlook.

"As a result, we are pleased to be able to commit to a 10 per cent per year dividend increase through to 2016, while at the same time, investing in support of our longer-term goals.

"There are 40,000 shareholders from East Yorkshire who will be delighted with this news."

KC's super-fast broadband is key to strong results


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