BT brings forward earnings targets
British Telecom is confident it will achieve its 2013 EBITDA target of at least £6 billion (€7.2 billion) a year early, after pre-tax profit grew 48% in calendar 4Q11 – the firm’s fiscal 3Q12.
The telco generated £652 million in pre-tax profit during the quarter compared to £441 million in calendar 4Q10, as EBITDA jumped 9% to £1.4 billion despite a 5% fall in revenue. Operating profit was up 22% at £764 million.
Chief Ian Livingston says strong wins in global business aided the firm during the quarter, noting that orders from Asia and Latin America are up 50% year-on-year. The firm’s domestic broadband business is also soaring, with the firm claiming a leading position on six million subscribers, and its lowest level of churn in five years.
“We expect to achieve our 2013 EBITDA target of above £6 billion a year early and to deliver free cash flow of around £2.4 billion this year,” Livingston states.