The company’s trading update highlights a 34% year-on-year increase in revenue, reaching £134 million, alongside adjusted EBITDA of £5 million.
The results underscore CityFibre’s rapid progress toward becoming a formidable competitor to BT Openreach in the UK broadband market.
Commenting on the achievement, Greg Mesch, CEO of CityFibre, described 2024 as a “definitive year” for the company.
“We achieved our first full year of profitability, signed a new strategic partnership with Sky, which doubled our retail sales capacity, and solidified our position as the UK’s leading independent wholesale network,” he said.
Subscribe today for free
Strong growth across key metrics
CityFibre’s 2024 results reflect robust growth across its core metrics. The company added over 181,000 new customers during the year, bringing its total to 518,000 live connections—up 54% from 2023. Penetration in its most mature network areas exceeded 40%, significantly outpacing national averages.
CityFibre has now passed 4.3 million premises with its full-fibre network, surpassing the halfway point of its goal to reach 8 million premises. This achievement was bolstered by the acquisition and integration of Lit Fibre in May 2024, which added 280,000 premises to CityFibre’s footprint.
The integration of Lit Fibre’s network into CityFibre’s wholesale platform was completed within nine months, showcasing the company’s ability to scale efficiently through strategic acquisitions.
The company also maintained stable deployment costs, highlighting its operational efficiency. Over 900,000 premises were made “Ready for Service” (RFS) in 2024, bringing the total RFS premises to 4.1 million.
Strategic partnership with Sky
A highlight of the year was CityFibre’s landmark partnership with Sky, which nearly doubled its addressable market. Sky’s consumer services are set to launch on CityFibre’s network in 2025, increasing competition in the UK broadband market and further validating the wholesale-only model.
“The agreement with Sky represents a huge vote of confidence in the maturity of CityFibre’s wholesale-only business model,” Mesch stated. He added that consumer ISPs on CityFibre’s platform now account for 49% of the UK broadband market share, a significant milestone in the company’s quest to challenge incumbent providers.
CityFibre’s ability to deliver industry-leading services has played a crucial role in its success. Its XGS-PON network technology supports symmetrical upload and download speeds of up to 2.5Gbps, with a roadmap to reach 7.9Gbps. This network upgrade is on track to be completed by mid-2025, ahead of schedule.
“Our best-in-class network, combined with a focus on service excellence, allows ISPs on our platform to outperform their market share on competing networks,” Mesch explained. “We deliver the best prices, products, and service, creating a compelling proposition for our partners and their customers.”
Expansion through Project Gigabit and altnet consolidation
CityFibre has also made significant strides in its participation in the government’s Project Gigabit initiative. The company secured five new contracts under the programme in 2024, bringing its total to nine contracts with subsidies worth £865 million.
Build activity is now underway in all nine contract areas, with over 20,000 subsidised premises already RFS. Early data indicates faster take-up in these areas compared to non-subsidised regions, reinforcing the strategic value of the expanded footprint.
“Our participation in Project Gigabit is not only accelerating our network rollout but also enabling us to bring the benefits of full-fibre connectivity to underserved rural areas,” said Mesch.
The company’s acquisition of Lit Fibre is part of a broader strategy to consolidate the altnet sector. “The opportunity for acquisitions is significant and growing,” Mesch noted. “As the largest of the challenger networks, we are well-positioned to lead this consolidation and deliver a bigger footprint more efficiently for our ISP partners.”
CityFibre is entering 2025 with strong momentum. It plans to extend its network by another one million premises and further solidify its position as a leading wholesale network provider. The company’s expanded collaboration with Sky and increased participation in Project Gigabit are expected to drive further growth.
“Our focus remains on scaling our network, driving take-up across all market verticals, and delivering market-leading products and services,”
Mesch concluded. “As we prove the benefits of our wholesale-only model, we are confident in delivering accelerated, profitable growth that benefits consumers, businesses, and the UK economy.”
RELATED STORIES
CityFibre begins £112m project to expand high-speed internet across rural Kent
