BT ‘on track’ after profit pushed higher by price increases

Allison Kirkby has taken over as the telecoms firm’s first female chief executive.

BT has said its trading is on track after price rises helped support growth in the latest quarter (BT Group/PA) (PA Wire)

Trading at telecoms giant BT is “on track” after the latest quarter was boosted by price increases, the new boss has said.

Allison Kirkby took the helm from previous chief executive Philip Jansen on Thursday, becoming the first female chief of the FTSE 100 firm.

Ms Kirkby comes into the company amid a key period for BT, as it rapidly rolls out ultrafast full fibre broadband across the UK and pushes forward a comprehensive cost-cutting programme.

On Thursday she said she is looking forward to leading the firm through its “next phase of development”.

It came as the business said adjusted revenues increased by 3% to £15.8 billion over the three months to December 31, compared with the same period last year.

The company said this was driven by price increases and fibre product sales in its Openreach business.

BT said it also benefited from increased roaming and price rises in its business division, which helped to offset declines for some “legacy products”.

As a result, adjusted earnings also increased by 3% to £6.1 billion for the quarter as cost improvements offset inflation, while pre-tax profits rose 15% to £1.5 billion.

Ms Kirkby said: “said: “BT Group has delivered another quarter of revenue and ebitda (earnings before tax, interest, depreciation and amortisation) growth, while rapidly building and upgrading customers to our full-fibre broadband and 5G networks, and we continue to be on track to achieve our financial outlook for the year.

“We are providing great digital connectivity and services, while laying the foundations for future growth that will benefit our customers, investors and the UK.

“As I assume the role of chief executive, we remain committed to our purpose and our strategic focus, and I am looking forward to leading BT Group into its next phase of development.”