talktalk

TalkTalk (LON:TALK) shares sunk nearly 20 percent in early morning trade on Wednesday, after reporting a £75 million loss and warning on full-year trading figures.

Operating losses for the six months to September stood at £42 million, a significant fall from the £44 million profit generated in the same period last year. Consumer was faith took a hit after the company’s security was breached by a cyber attack in 2015, causing profits and share price to fall.

TalkTalk’s CEO Dido Harding left the company after seven years at the helm in May to be replaced by Tristia Harrison, with the company also bringing back the company’s creator Charles Dunstone to renew faith in the group.

Figures released on Wednesday showed that the company added 46,000 customers in the first six months of its financial year, compared with a drop of 29,000 in the same period last year, but said that full-year earnings would be at the lower end of its £270 million to £300 million range.

“We expect to step up our planned investment in growth in the second half, as we take advantage of the strong demand,” Harrison said.

“Our revised strategy of focusing the business on fewer, clearer priorities is re-establishing TalkTalk as the value provider of choice in the UK fixed connectivity market.”

TalkTalk shares are currently trading down 9.26 percent at 171.95 (1103GMT).

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