BT revenue flat; board changes
BT has reported that revenue for the three quarters to the end of December rose slightly to £15.6 billion (€14.2 billion), down 1 per cent from a year earlier, which the telecom company has been citing inflationary headwinds and declines in legacy products returned. Profit after tax was £1.3bn, with investments of £3.8bn.
Philip Jansen, Chief Executive, commented on the results: “We have grown revenue and EBITDA on a pro forma like-for-like basis, despite a challenging economic environment, and are transforming BT Group for the benefit of our customers. We continue to accelerate our investments in the UK’s leading next generation networks; we combine our corporate and global operations to create BT Business, a single, strengthened B2B entity; and we will continue to cut costs to deliver £25 billion in annual savings by the end of the financial year.
“At full fibre, we’re building – and now connecting like a rage: 9.6million buildings have been reached so far, 29 per cent are already connected and our 5G mobile network is now reaching 60 per cent of the UK population. In December we awarded 85 per cent of our UK colleagues a cost-of-living pay rise and agreed with our union partners that we will all be involved in our ongoing transformation plans. Despite extraordinary energy costs and other inflationary headwinds, we reiterate our full-year outlook.”
Meanwhile, BT Group has announced that Maggie Chan Jones and Ruth Cairnie will join its board as independent non-executive directors. Chan joins the board effective March 1 and will serve on the nominating and digital impact & sustainability committees. Cairnie joins the Board effective April 6 and will serve on the Audit and Risk Committee, Compensation Committee and Nominating Committee.
Iain Conn will step down as a non-executive director at the close of the 2023 AGM in July after serving on the board for nine years. Cairnie will succeed Conn as Senior Independent Director.
Adam Crozier, Chairman of BT Group, said: “Iain has been a great asset to the Board in his role as Senior Independent Director and I would like to thank him from the bottom of my heart for his significant contribution to BT Group and his personal support to me.”
As previously announced, Sir Ian Cheshire will also step down from the Board as a non-executive director at the conclusion of the 2023 AGM in July and Cairnie will succeed Cheshire as Chairman of the Remuneration Committee.
Cairnie was formerly Executive Vice President of Group Strategy & Planning at Royal Dutch Shell. She is currently Chair of Babcock International Group and Senior Independent Director of Associated British Foods.
Chan is the Founder and CEO of Tenshey, a technology-enabled executive coaching firm focused on bringing more women and underrepresented leaders into leadership roles and boardrooms. This was followed by a highly successful career in marketing at several of the world’s largest technology companies, including Microsoft and SAP.
Welcoming both of them to the board, Crozier, Chairman of BT Group, said: “The board is delighted to welcome Maggie and Ruth, both of whom will bring significant wealth of experience and thought to the board. Both will be instrumental in supporting BT Group’s important transformation agenda.”
Chan commented, “I am honored to join the board of BT Group, whose purpose of connecting for good is vital to the consumers, businesses and communities it serves. I look forward to using my experience in business transformation, marketing and diversity and inclusion to help BT accelerate its ambition and lead the way towards a bright and sustainable future.”
Cairnie added: “I am delighted to join the BT board and support the company in its ambitious transformation. The successful delivery of BT’s mission will greatly support the transition of economies and societies to a more digital future and its role is of particular importance for the UK.”