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BT Q2 2015/16 results: Sport distorts, but underlying results strong - Venture Insights

Report Overview

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BT Q2 2015/16 results: Sport distorts, but underlying results strong

PublisherEnders Analysis.
Publish Date November 5, 2015
Sector Broadcast TV, Fixed Line (Internet and Voice), Media, Telecom, TV.
Company BT, SKY, TalkTalk, Virgin Media.

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The launch of BT Sport Europe pushed up BT’s revenue and pushed down EBITDA in its Q2 results, but underlying revenue growth was strong across all divisions and cost control continued, with the company well on track for its full year guidance.

BT Sport itself is being executed well, both in terms of viewers and direct revenue earned, but is not having a discernable impact on broadband figures, nor a game-changing impact on BT’s modest pay TV base, despite its very considerable net cost.

On the regulatory side, BT has secured a strong result with the EE merger being provisionally approved without remedies, but debates over the future of Openreach continue, with the related issue of ultrafast roll-out regulation of particular import.