Virgin Media, the pay-television and broadband group, showed that it was fighting back against the rival BSkyB after adding 13,000 new customers in its third quarter.

The communications giant, which has struggled to fulfil its aim of becoming Britain’s top communications provider, had been expected to continue to lose customers.

Analysts had forecast a decline in the Nasdaq listed group’s total base of around 31,000 — compared to its actual gain of 13,000 new customers. Last quarter the group lost 70,000 customers.

Virgin’s results for the quarter to the end of September revealed it had added 20,400 new television customers and 115, 800 new broadband customers. Its residential telephony customer base declined though by 1,300.

Neil Berkett, the group’s acting head, said the results showed Virgin Media’s best growth since it was formed from the merger of the old cable players, NTL and Telewest, in March 2006.

Operating income in the quarter was £46.7 million, up from £3 million in the previous quarter and a loss of £9.6 million a year ago.

Virgin Media, formed last year from a tie-up with Sir Richard Branson’s Virgin Mobile, had hoped to take on BSkyB — which is 39.1 per cent owned by News Corporation, parent company of The Times and Times Online — with the formation of the country’s first “quadruple play” provider of broadband, fixed line telephone, pay television and mobile services.

However its poor performance left investors continually disappointed and earlier this year one publicly castigated the group.

A further blow came when an expected $23 billion private equity sale was canned amid the global credit crunch.

In an embarrassing U-turn Virgin Media, in which Sir Richard has a 10.5 per cent stake, has now abandoned the quadruple play strategy and is instead seeking to win customers by focusing on its broadband service.

However competition for high-speed internet access is fierce — with players including Carphone Warehouse, BT and BSkyB — battling for customers.

Virgin is also struggling with other issues including a bitter legal wrangle with BSkyB, a search for a new chief executive and the distraction of a potential sale once the markets have recovered.

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