Telewest has swung to a first-quarter net profit as it added 23 , 000 net subscribers.
The company yesterday refused to discuss its strategic plans regarding NTL, its larger UK peer.
Analysts expect Telewest to seek a tie-up with NTL in order to compete more effectively with dominant pay- TV firm BSkyB. According to reports earlier this week, Telewest is meeting with investment banks to select an adviser for talks.
Both companies emerged from extensive financial restructurings last year, and have several large shareholders in common. Net profit for the three months to March 31 was £1 million, from a loss of £4 million a year earlier. Revenues rose to £ 338 million from £328 million in the yearago period.
Adjusted earnings before interest, tax, depreciation and amortisation - a figure closely followed by many analysts - rose to £ 134 million from £122 million. The company said that 30 per cent of its customers subscribed to the "triple play" package of telephone, television and broadband service, and it expects 40 per cent by 2007 - two years earlier than it previously forecast.
Churn, or the average percentage of customers who left the service each month, fell to 1.0 per cent from 1.1 per cent.
Quarterly additions of 23,000 were in line with the company's aim to add a net of 70,000-80,000 subscribers per year, company executives said.
During the same period, NTL notched 33,000 subscribers. BSkyB added 95,000. TelewestGlobal shares closed at 10451/2p up 221/2p.