Why is Virgin Media O2 warning of falling sales and earnings?

Virgin Media O2 is warning of falling sales and earnings in 2026 due to substantial customer losses, particularly in its mobile division, following price increases.

How many customers did Virgin Media O2 lose recently?

The company lost 397,500 mobile customers and 138,400 broadband customers over the past year.

What is O2 Daisy and why was it formed?

O2 Daisy was formed by merging Virgin Media O2 and Daisy Group's business communications and IT operations to achieve cost savings.

Home / Business and Economy / Virgin Media O2 Warns of Declining Sales Amid Price Hikes

Virgin Media O2 Warns of Declining Sales Amid Price Hikes

19 Feb

•

Summary

Telecoms group lost 397,500 mobile customers in the past year.
Annual earnings fell by 0.4% to £3.9 billion, with a further drop expected.
A new merged entity, O2 Daisy, aims for cost savings in business operations.

Virgin Media O2 Warns of Declining Sales Amid Price Hikes

Virgin Media O2 has issued a stark warning about declining sales and earnings projected for 2026. This outlook follows substantial customer losses, particularly in its mobile division, after implementing price hikes. The company reported shedding 397,500 mobile customers last year, with a significant portion of those losses occurring in the fourth quarter following O2's price adjustments.

Furthermore, the group experienced a decline in broadband customers, losing 138,400 users over the year. Annual results revealed that underlying earnings fell by 0.4% to £3.9 billion, with a notable 2.4% decrease in the final quarter. The company anticipates steeper declines in the coming year due to a challenging market environment.