PAY TV, broadband and phones group Virgin Media said it enjoyed its “best ever financial year” today as it revealed higher revenues and lower losses for the period to December 31.

Revenues were 5.8% better at £3.87bn and the annual pre-tax loss fell from an adjusted figure of £352.8m for 2009 to £293.3m last year.

The reduction in losses was not as significant as the £157m expected by analysts earlier this week, but chief executive Neil Berkett still hailed the figures as “a year of great achievement for Virgin Media”.

Analysts said they expect the business to make its first profit, of around £100m, this year based on their expectations of almost halving losses during 2010.

Mr Berkett added: “We have driven our consumer division to its highest ever rate of revenue growth, maintained robust cost control and delivered our best ever financial year.

“The significant strides forward in our mobile and business operations contributed to this substantial result.”

About 1,000 staff are employed by Virgin Media at a Knowsley site and two locations in Liverpool at the Albert Dock and Brunswick Business Park.