BT Group Plc Full Year Results FY2024

BT Group Plc have this morning announced its results for the financial year ending 31 March 2024.

Key takes from the broadband side:

• Full Fibre (FTTP) coverage now over 14 million premises; on track to reach 25 million by Dec 2026; one million premises being added per quarter at present.
• DSIT have notified Openreach of its ‘preferred bidder’ status for Project Gigabit cross-regional supplier contract
• Customer demand within Openreach for full fibre with 397k net adds in Q4; take-up rate of 34%
• Openreach broadband ARPU (Average Revenue Per User) in the year grew 10% to £15.10 “due to price rises and increased volumes and mix of FTTP”
• BT Group retail ARPU (BT, EE, PlusNet) increase 5% year-on-year; FTTP growth 40%

“BT Group built and connected customers to our next generation networks at record speed and efficiency over the past year, while continuing to grow revenue and EBITDA. Having passed peak capex on our full fibre broadband rollout and achieved our £3 billion cost and service transformation programme a year ahead of schedule, we’ve now reached the inflection point on our long-term strategy.

This delivery and greater capex efficiency gives us the confidence to provide new guidance for significantly increased short term cash flow and sets out a path to more than double our normalised free cash flow over the next five years. This enhanced cash flow allows us to increase our dividend for FY24 by 3.9% to 8.0 pence per share. We’re also setting a further £3bn of gross annualised cost savings to be reached by the end of FY29.

As we move into the next phase of BT Group’s transformation, we are sharpening our focus to be better for our customers and the country, by accelerating the modernisation of our operations, and by exploring options to optimise our global business. This will create a simpler BT Group, fully focused on connecting the UK, and well positioned to generate significant growth for all our stakeholders.”

Allison Kirkby, Chief Executive