BT Ireland making all the right calls as profits enjoy double digit growth

BT IRELAND has seen double digit percentage growth in its first-half profits for the fourth successive year, with earnings up 14% — on a year-on-year basis — in the six months to the end of September.

While actual profit figures for the Irish business aren’t broken out of the overall BT Group’s accounts, the company said its ongoing EBITDA (earnings before interest, tax, depreciation and amortisation) growth has been driven by its “relentless focus on both cost transformation and the successful delivery of our contracts with Irish and international organisations”.

During the first half of its financial year, BT Ireland signed a number of high-profile corporate contracts with the likes of Danske Bank/National Irish Bank, Glanbia and VHI Healthcare — with a key highlight being the successful implementation of the state’s emergency call answering service, in which BT has already invested more than €10m.

While underlying revenues in the Irish business were down by 4% — on a year-on-year basis — at £373.6m (€442m), mainly due to the ongoing challenging market conditions, BT Ireland chief executive, Graham Sutherland said the business here continues to make strong progress.

“By investing where our customers want us to invest and innovate, we’re securing a healthy volume of contracts with business, Government and wholesale customers,” he added.

Mr Sutherland added the Irish communications market is benefiting from enhanced competition and that BT will continue to expand its fibre network into urban and rural locations.

“There’s a lot of rhetoric, at present, in Ireland around next generation networks. These... are essential for consumers and businesses, for attracting foreign direct investment, for e-government services and so on.

The overall BT Group saw first half pre-tax profits rise by 13%, year-on-year.