BT’s revenues drop despite growth in broadband take-up

BT’s latest financial report for the first quarter to 30 June reveals that the group’s revenue was down -2% on the previous year, dropping £95 million to £4,354 million. Adjusted pre-tax profits were up 7% to £638 million.

While total revenue was down, BT Consumer revenue increased 10% with 26% growth in broadband and TV revenue, reflecting the impact of BT Sport and the take-up of fibre broadband, which now reaches more than 20 million homes and businesses in the UK.

However, after removing around 35,000 inactive set-tep box owners from its reported figures, BT television added only 5,000 new customer in the quarter.

BT Sport continued growth in the residential subscriber base. There are currently 19,000 pubs, clubs, hotels and other commercial premises signed up to BT Sport, which earlier this month signed a three-year deal with Chelsea manager Jose Mourinho.

“We have made a good start to the year, having delivered growth in underlying revenue excluding transit and in profit before tax, and free cash flow was strong,” said BT’s chief executive, Gavin Patterson.

“The second season of BT Sport is about to start with a great line-up of content and it will continue to be free with BT Broadband. We are building on solid foundations and I am confident we will deliver on our strategy.”