BT revenue flat; board changes
February 2, 2023
BT has reported revenue in the three quarters to the end of December was up slightly at £15.6 billion (€14.2bn), a 1 per cent decline on last year which the telco attributed to inflationary headwinds and legacy product declines. Profit after tax was at £1.3 billion, with capex spend of £3.8 billion.
Philip Jansen, Chief Executive, commenting on the results, said: “We’ve grown revenue and EBITDA on a pro forma, like-for-like basis, despite a challenging economic backdrop, and we’re transforming BT Group for the benefit of our customers. We continue to accelerate our investments in the UK’s leading next generation networks; we’re combining our Enterprise and Global operations to create BT Business, a single, strengthened B2B unit; and we’re going further on cutting costs to deliver £3 billion in annualised savings by the end of FY25.
“On full fibre, we’re building – and now connecting – like fury: 9.6 million premises reached to date, with 29 per cent already connected, and our 5G mobile network now reaches 60 per cent of the UK population. In December we awarded a cost-of-living pay rise to 85 per cent of our UK colleagues, reaching an agreement with our union partners that we will all lean into our ongoing transformation plans. Despite extraordinary energy costs and other inflationary headwinds, we are reaffirming our outlook for the year.”
Meanwhile BT Group has announcesd that Maggie Chan Jones and Ruth Cairnie will be joining its Board as independent non-executive directors. Chan joins the Board effective March 1st and as a member of the Nominations and Digital Impact & Sustainability Committees. Cairnie joins the Board effective April 6th and as a member of the Audit & Risk, Remuneration and Nominations Committees.
Iain Conn will step down from the Board as a non-executive director at the conclusion of the 2023 Annual General Meeting in July after serving on the Board for 9 years, Cairnie will succeed Conn as Senior Independent Director.
Adam Crozier, BT Group’s Chairman said “Iain has been a great asset to the Board in his role as Senior Independent Director and I would like to thank him wholeheartedly for his significant contribution to BT Group and 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 Annual General Meeting in July and Cairnie will succeed Cheshire as Remuneration Committee Chair.
Cairnie was formerly Executive Vice President for 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 tech-enabled executive coaching company that focuses on elevating more women and underrepresented leaders in leadership roles and the boardroom. This followed a highly successful career in marketing at several of the world’s largest technology companies, including Microsoft and SAP.
In welcoming both to the Board, BT Group’s Chairman Crozier said “The Board is delighted to welcome Maggie and Ruth, both of whom will add significant breadth of experience and diversity of thought to the Board. Both will be key in support of the important transformation agenda ahead for BT Group”.
Chan commented “I’m honoured to join the Board of BT Group, whose purpose to connect for good is essential to the consumers, businesses, and communities it serves. I look forward to applying my experiences in business transformation, marketing, and diversity and inclusion to help BT accelerate its ambition and lead the way to a bright and sustainable future”.
Cairnie added “I’m delighted to be joining the BT Board and supporting the company in its ambitious transformation. Successful delivery of BT’s mission will strongly support the transition of economies and societies to a more digitally enabled future and its role is particularly critical for the UK.”