BT lifts earnings with cost-cutting and broadband efforts

BT has reported earnings of £781m for the half year ending 30 September.

The results, announced on Thursday, showed the company's six-month profits are up 43 percent compared to the same period in 2009. Total revenues for the half-year were £9.98bn, down four percent on 2009's £10.3bn.

"Our fibre roll-out has passed 3 million premises and BT Infinity orders are now running at over 4,000 per week. BT Vision customers now stand at more than half a million, with more developments planned to enhance our offering. Our share of DSL broadband net additions was 45 percent, one of our highest shares ever," BT's chief executive Ian Livingston said in a statement.

A spokesman for BT told ZDNet UK on Friday that the £781m profit figure came from a combination of company cost cutting and growth in consumer broadband. The spokesman attributed the process to cost savings from cutting excess network capacity, a more stringent system for contract assignation and general improvements to BT's roster of products.

BT also raised its full-year outlook of adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) to £5.8bn.

Global Services, BT's enterprise and government services arm, saw a total order intake of £2.1bn for the second quarter, up on £1.6bn of orders for the first quarter, although revenue was down two percent on the same period in 2009. BT was also able to extend its Defense Fixed Telecommunication Services agreement with the Ministry of Defense (MoD) during the quarter.