BSkyB reports record results for financial year

BSkyB has reported record results for the financial year, as revenue is up 7% to £7.24 billion.

Earnings before interest, taxes, depreciation and amortisation was up 8% to £1.7 billion, while operating profits were up 9% to £1.3 billion.

Average revenue per user (ARPU) stood at £577, up £29 per customer year on year.

“The strength of our financial performance is a result of our successful transition to more broadly-based growth and sustained investment to create a better service and wider range of products for customers,” said Jeremy Darroch, BSkyB’s chief executive.

“On the back of this performance, we are increasing returns to shareholders with the ninth consecutive rise in the ordinary dividend and we intend to seek approval for a further £500 million of share repurchases.”

BSkyB’s services saw strong growth too, with paid-for subscription product growth up 3.3 million, bringing the total to 31.6 million. Sky now has a total of 10.4 million pay TV subscribers, having added 34,000 in the most recent quarter, and nearly five million broadband customers.

The corporation saw a 170% lift in internet-connected Sky+HD boxes to 2.7 million, a 19% increase in Sky Go users to 3.3 million and a fivefold increase in on demand downloads.

BSkyB’s new subscription service, Sky Go Extra, has attracted more than 150,000 customers over a five month period.

“We see an exciting opportunity for future growth in this area and we intend to increase investment over the next year to accelerate growth and returns from these new services,” said Darroch, while recognising the challenges that the consumer environment will pose to BSkyB over the coming 12 months.

“Against that backdrop, we have a strong set of plans that will extend our leadership in core areas – on screen, in home communications and in front-line service delivery; accelerate growth in new services; and improve efficiency to build a bigger, more profitable business for shareholders,” he said.

A full breakdown of BSkyB’s financial report can be read here.