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UK: BSkyB profits rise on mobile demand

10:40 31 January 2013

Profits are up at BSkyB

Profits are up at BSkyB

Satellite broadcaster BSkyB unveiled a jump in profits today as customers signed up to new products such as On Demand downloads and Sky Go mobile services.

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The group reported an 8% rise in operating profits to £647million in the six months to December 31 after it gained 80,000 new customers, up from the 48,000 in its previous quarter to reach a total of 10.74m.

Average revenues per user rose by £24 on a year earlier to £568 as new services drove increased viewing, with 25,000 people signed up to internet TV service, Now TV, which it launched last year to compete with online services such as Netflix and Lovefilm.

The group said Now had benefited from its first marketing campaign, while it will launch Sky Sports on the service later this year.

The group also added 132,000 new broadband customers, including 38,000 new standalone customers in the period.

Sky said its Sky Sports on Sky Go service, where users can watch television on their mobile phones and tablet computers, registered a record 234,000 unique users for live coverage of the Manchester derby in December.

Revenues at the group were up 5% to £3.5billion in the first half of the year and Sky said price hikes, including a rise of £1 for its Sky Sports package and £1.50 for its Sky entertainment package, had helped drive the revenue growth at the group.

The group reported a standout performance from its Sky Sports channel, with record audiences when Europe beat the US in the Ryder Cup and Andy Murray won his first grand slam in the US Open.

It also attracted 9million viewers to its first season of Sky Sports Formula One channel.

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