KCOM is expecting to record better-than-expected EBITDA in its current financial year, but says revenue will likely fall short of forecasts.
In a trading update, the London Stock Exchange-listed comms provider also said that Gary Young, the boss of its Hull and east Yorkshire business which provides the telephone lines to the area, will be stepping down.
KCOM CEO Bill Halbert said: "We continue to execute against our strategy, bringing fibre to the final corners of Hull and east Yorkshire, refining our propositions in enterprise and winning the trust of new and existing customers, and managing National Network Services for value.
"I would like to thank Gary Young for his significant contribution to our group.
"I've worked closely with Gary over the past six years, a period in which he has led successfully our Hull and east Yorkshire business and overseen our successful deployment of fibre broadband. All of us at KCOM wish him every success in his new role."
KCOM said the process of picking Young's replacement is under way.
The comms provider said that delays in a project with HMRC are likely to negatively affect revenue in its current Q4, as will delays in finalising several other contracts. Its full year ends on 31 March.
Following the announcement, KCOM's share price fell three per cent at the start of the day, before returning to its open price and then dropping again.
At one point last year the share price was 22 per cent up on the start of 2017, before dropping around 19 per cent in the final weeks of the year.
Nima Green asks what is driving public cloud uptake in Germany
In the wake of yet another lawsuit involving Oracle, we run through 10 of the vendor's biggest court battles
CEO Chuck Robbins says Cisco will use the Catalyst 9000 product range as a template for future launches
Today saw 14 of the UK IT channel's biggest hitters come together to determine the winners of CRN's WiC awards. But what does being a WiC judge actually involve? Doug Woodburn reports