Partly Cloudy

Partly Cloudy

max temp: 22°C

min temp: 13°C

ESTD 1874 Search

UK: Broadband boost for profits at BT

11:53 01 February 2013

BT chief executive Ian Livingston

Photo: BT/VisMedia

BT chief executive Ian Livingston Photo: BT/VisMedia

Archant

TELECOMS giant BT said today that it attracted 122,000 new broadband customers in the final three months of last year as it continued its march on the internet market.

shares

The group recruited extra engineers to speed up roll out and repairs after one of the wettest years on record, helping it increase the number of new retail customer numbers added by 50%, up from 81,000 the previous quarter.

BT, which is spending £2.5billion rolling out its fibre broadband network, said it reached 13 million premises in December, and including other providers who use its Openreach network, it installed broadband in 281,000 homes in the period.

Its television service BT Vision also attracted a further 21,000 new customers, helping the group report a better-than-expected 7% increase in pre-tax profits to £675million in the three months to December 31.

Chief executive Ian Livingston said: “Take-up is growing strongly with around 1.25 million homes and businesses now enjoying the benefits of faster speeds. This gives us an excellent platform for our push into TV and sport later this year.”

Last year the company announced an agreement for broadcast rights for Premier League football and Premiership rugby, with BT Sport launching this summer, with Formula 1 presenter Jake Humphrey fronting its football coverage.

And the group, which is opening television production facilitates in the London Olympic Park, said its “pre-season” training was going well.

The group still posted a 6% fall in revenues to £4.5bn in the three months to December 31 as its global division, which provides services to businesses, was hit by tough trading conditions in Europe and the financial services sector.

But shares in BT rose 5% following the company’s update as investors focused on the better-than-expected rise in profits.

Richard Hunter, head of equities at Hargreaves Lansdown Stockbrokers, said: “As it sprawls out into becoming something of a media company, BT continues to show its strength in its more traditional markets.”

But he warned revenues were under pressure given the wider economic backdrop and fragile corporate confidence, and also said the fierceness of competition in the market showed little sign of abating.

shares

0 comments

A computer-generated image of how the Sizewell complex will look after construction of Sizewell C.

Development of Sizewell C took a huge step forward today as the companies were announced that will build its sister nuclear power station in Somerset.

Lloyds has added £1.4billion to its bill for compensating customers mis-sold payment protection insurance.

State-backed Lloyds Banking Group’s provision for payment protection insurance mis-selling has topped £13billion after it yesterday took another £1.4billion hit over the scandal.

Gary Allen, operations manager,  with Diane Allen and Graham Allen at Ipswich-based Ajax Domestic Spares which is celebratiing 40 years in business.

Ajax Domestic Spares has marked 40 years in business in style by launching a new showroom in Foxhall Road, Ipswich.

The Great House restaurant with rooms in Lavenham.

An award-winning Suffolk restaurant has gained another accolade after being ranked the 26th best in the country.

Gavin Patterson, chief executive of BT.

Photo: BT

BT is to pay out up to £129million to extend the Government-led roll-out of superfast broadband, after a bigger-than-expected take-up of the service.

Centrica has reignited controversy over high energy bills by announcing a 44% increase in first half profits at its British Gas retail division.

Energy giants Royal Dutch Shell and Centrica today revealed plans to axe a total of more than 12,000 jobs.

The Willis building in Ipswich.

Around 200 people are to lose their jobs at the Ipswich office of global insurance broker and risk management group Willis.

Christopher Hayman of Hayman Distillers with his children Miranda and James.

Essex gin maker Hayman Distillers is celebrating after winning a Gold award at this year’s International Wine and Spirits Competition (IWSC).

Bakery chain Greggs saw like-for-like sales rise 5.9% in the six months to July 4.

Higher breakfast sales and a bigger range of healthier products helped Greggs grow underlying profits by 51% in the first half of the year.

Barclays chairman 

John McFarlane.
Photo: VisMedia

Barclays boss John McFarlane today signalled plans to ramp up growth, squeeze costs and streamline the business after announcing a 25% rise in first half profits.

Most read

Most commented

Topic pages