BskyB half yearly profit soars by 26 percent

BSkyB - Solid Performance Boost

BSkyB – Solid Performance Boost

BSkyB has reported a big jump in its half-yearly pre-tax profit as its total subscriber base crossed the 10 million mark.

The broadcaster’s revenue for the last six months of 2010 was up by 15 percent to £3.2 billion while pre-tax profit was reported at £467 million. The broadcaster has been caught in the eye of a storm recently after Rupert Murdoch controlled rival News Corporation’s take-over bid generated much heat. Britain’s Culture Secretary Jeremy Hunt fired the latest salvo earlier this week when he said he intended to refer the matter to the Competition Commission.

News Corp has been given extra time to prove that its takeover bid does not pose ‘potential threats to media plurality’.

In a statement issued today, BskyB said higher demand for its High-Definition (HD) services boosted its bottom line. The demand for HD service grew by 68 percent over same period last year.

Chief Executive Jeremy Darroch attributed “a half year of outstanding performance” to more customers opting for bundled services along with television such as broadband and telephone services.

The company is optimistic about the future as total number of consumers cross the 10 million mark, he added.

Going forward, communication services along with 3D and on-demand television services will drive the company’s revenues, he said.

The company will take a cautious approach in 2011 as government spending cut comes into effect. BSkyB will take its time to gauge the impact on consumers, he added.

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