Kcom Group, which caters to enterprise and public sector organisations across UK, said it remained confident about the group's longer-term prospects and success, and expected the full-year outturn to be in line with market expectations.

The company also said it would split the roles of its chairman and chief executive. Bill Halbert, the current executive chairman, will assume the role of group chief executive in April 2014. Board member Graham Holden will take over as non-executive chairman.

KCom said profit before tax fell to 24.7 million pounds ($39.9 million) in the six months ended September 30 from 26.1 million pounds a year earlier. Revenue fell 1.7 percent to 185.5 million pounds.

The company expects to take a future revenue hit of 5 million pounds due to regulatory changes, including the outcome of the wholesale narrowband market review.

(Reporting by Abhirup Roy and Tasim Zahid in Bangalore; Editing by Gopakumar Warrier)