Earnings: BT Now ‘Top UK Broadband Provider’; ‘New Wave’ Rev Up 14 Percent

BT added 245,000 consumer broadband connections in the fourth quarter to March 31, giving it 3.7 subscribers and taking it past Virgin Media as the UK’s leading supplier. The company said over half of its new broadband customers choose higher-value packages. In the same quarter, we reported last week, rival Virgin Media added 87,900 customers to take it up to 3.15 million subscribers.

Broadband revenue at BT grew by 28 per cent to £259 million ($511 million). Although BT now offers VOIP service, it has not hurt: “Increased penetration of broadband and the growth of value added propositions have more than offset the lower call revenues.” (statement).

Overall revenue grew three percent to £5.3 billion ($10.4 billion). While traditional telephony revenue fell, “new-wave” revenue from the likes of broadband services was up 14 percent to £2.1 billion, accounting for 40 percent of business. The company this week launched its marketing campaign for the BT Vision VOD/IPTV/Freeview television service.

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