BT's 'new wave' services contribute more to revenue

PARIS - Net profit rose faster than revenue at telecommunications operator BT Group PLC in the quarter to March 31, with its "new wave" services now contributing 28 percent of revenue, compared to 23 percent at the start of 2004, the company said Thursday.

In the fourth quarter of its fiscal year, the company reported revenue of £4.87 billion (US$9.15 billion as of March 31, the last day of the period reported), up 2 percent from £4.79 billion a year earlier.

It made net profit of £435 million in the quarter, up 44 percent from £303 million a year earlier. Excluding goodwill, exceptional items and the cost of lay-offs, net profit rose 2 percent, the company said.

BT applies the new wave label to revenue from information and communications technology (ICT), broadband and mobility services.

Revenue from these services grew 27 percent over the year, to £1.37 billion for the quarter. Within, that, ICT accounted for £916 million, up 15 percent compared to a year earlier. Mobility services revenue rose 45 percent, but still contributes just £58 million of the total.

Broadband revenue increased 77 percent, to £292 million. The company more than doubled its number of DSL (Digital Subscriber Line) connections compared to a year earlier, reaching its target of 5 million lines a year earlier than planned, it said.

The company also expects to see future growth in its global services business, following the recent acquisition of three other network operators: Albacom SpA of Italy, Infonet Services Corp. and Radianz.