UK and Ireland lift Sky profits

European pay-TV group Sky yesterday said it expects to perform strongly in its new financial year after better-than-expected profits for 2014-15 prompted investors to rethink their growth forecasts for the newly-enlarged group.

Sky, formed from the combination of Britain’s BSkyB, Sky Deutschland and Sky Italia to serve 21 million customers in Europe, posted full-year results boosted by record demand in Germany and Austria, a stabilisation in Italy and continued solid growth in Britain and Ireland.

With customer loyalty improving, the firm, which was founded by Rupert Murdoch posted an 18% jump in operating profit to £1.4 billion (€1.97bn), sending its shares up at one stage by 5% in London, giving it a value of £19.5bn.