Britain's BT Group posted fourth-quarter earnings at the top end of forecasts today as revenues at the company rose by a better-than-expected 2 per cent.
The former monopoly, facing falling prices and mounting competition, also promised higher future payouts to investors as it raised its dividend ratio for the year to March 31st to 57 per cent of underlying earnings from 50 per cent a year ago.
BT said underlying earnings per share rose to 4.9 pence in the quarter to March 31st, up from 3.9 pence a year earlier.
Revenue rose to £4.87 billion from £4.787 billion, taking the figure for the year to £18.62 billion.
This increase marked the fifth straight quarter of underlying revenue growth, and was on the back of a 27 per cent rise in "new wave" revenues from broadband Internet and networking services -
areas BT is increasingly reliant on to counter a declining fixed-line business.
Revenue forecasts for the quarter ranged from £4.75 billion to £4.8 billion, with the average at £4.78 billion. Turnover at BT's new wave businesses rose 32 per cent to £4.47 billion for the year, offsetting a 7 per cent decline in turnover at its traditional business.
The traditional business still accounts for about three-quarters of group sales.