One-off costs see BT profit fall 36% to €28m

One-off costs contributed to pre-tax profits at the main Irish arm of communications giant, BT last year declining by 36% to €28.1m.

New figures lodged with the Companies Office show that BT Communications Ireland Ltd recorded the drop in profits in spite of revenues increasing from €425.7m to €438.2m in the 12 months to the end of March last.

According to the directors report, the firm’s profits were hit during the year from one-off costs including a lease exit charge and accelerated depreciation relating to the retirement of legacy platforms.

The firm’s profits were also hit by redundancy costs totalling €2.27m. The directors stated, however, that the increase in revenue of 3% “is a positive result given the overall revenue decline in the Irish telecoms market”.

“Revenue in the business division increased year-on-year despite tough conditions and the market trend of lower contract order values and longer lead times.

“In particular, the company made good progress in the public sector using its successful track record in providing best-in-class technologies for better value,” it added.

The directors state that “in future years, the company will focus on investing in new areas of growth while continuing to transform its cost base”.