BT Q2 profit hit hard by restructuring costs

LONDON (AP) — BT PLC says its second-quarter profit fell 17 percent as Britain’s biggest fixed-line phone company spent 84 million pounds ($128 million) to restructure its business.

The company said Thursday that net income dropped to 346 million pounds from a restated 415 million pounds in the same period last year. Pretax profit before “specific items” rose 5 percent to 595 million pounds.

Analysts were upbeat about the company, particularly ahead of a high-profile move into television sports.

Richard Hunter, the head of equities at Hargreaves Lansdown Stockbrokers, says the streamlined company has reinvented itself, with its retail division, broadband and fiber network offering big contributions.

Hunter says the foray into TV sports has shown initial promise ahead of the official launch — even though it has a fraction of BSkyB’s penetration.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s