BT profits from more customers
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LONDON, England -- BT Group on Thursday posted better-than-expected profits for the third quarter as the UK's telecoms operator continued to expand its broadband customer base.
Pre-tax profit for the quarter to December rose 37 percent to £521 million, while revenue edged up 1 percent to £4.7 billion.
BT, which has placed high-speed Internet access at the heart of its strategy for growth, said it had 650,000 broadband subscribers on its network as of February 7, moving towards its target of one million by the middle of this year.
"We see enormous potential for broadband," Chief Executive Ben Verwaayen told CNN. "It is all about profit growth and it is all about doing the best for the customer."
BT's net debt fell £195 million in the third quarter to £12.9 billion. The group said its debt would be further cut in the fourth quarter due to the £2.6 billion sale of its stake in France's Cegetel to Vivendi Universal.
Earnings before interest, tax, depreciation and amortisation grew by £4 million to £1.513 billion.
BT shares were down 3.7 percent to 176.25 pence in early London trading on Thursday.
