BT reports 26% profit boost

BT has reported a 26% rise in half-year profits, boosted by growth in its broadband and IT division.

Reporting its results for the six months to September 30, the company said pre-tax profits rose to £1.24bn, up from £988m in the same period last year. BT’s overall revenues increased 3% to £9.8bn, while revenues in its broadband and IT services division rose 20% and now make up 35% of the company’s overall business.

However, there was fresh evidence that BT is facing a tough battle in the increasingly competitive consumer broadband market. Its share of net broadband additions slipped to 25% during the quarter, compared with 30% in the first quarter.

BT chairman Sir Christopher Bland says the company’s latest results showed "sustained momentum across the group".