BSkyB witnesses annual income rise
Broadcaster BSkyB has reported a 4% rise in annual earnings as it said new customers were joining the firm at the fastest rate for five years.
Sky posted underlying operating profits of £780 million for the year to June 30 and said "very strong" demand from its high definition (HD) service was helping bring on board new customers.
It saw net customer additions - those joining the group less those leaving - rise 35% year-on-year to 124,000 in the fourth quarter thanks to HD take-up after it recently slashed the cost of an HD box from £150 to £49.
Sky had 9.4 million customers at its year-end and said it was still looking to reach 10 million by December 2010.
Sky said it pumped £130 million of investment into HD, but it hopes to recoup the impact of the costs within 12 months through monthly subscriptions.
The number of Sky+HD customers has doubled to 1.3 million over the year after adding another 815,000.
Jeremy Darroch, chief executive of Sky, said it had been an "excellent year of growth" for the group as consumers turned to home entertainment in the recession.
He added: "This is the year where high definition TV moved centre-stage.
"We have seen a very strong response from customers to the new lower price of the Sky+HD box, with the total number of HD customers more than doubling to 1.3 million during the year.
"The rapid growth of HD has helped take Sky+ to new heights."
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