Feeds

BT layoffs boost profits

Braces for UK.gov cuts

Internet Security Threat Report 2014

Layoffs and cost-cutting at BT have boosted BT's first quarter net profits by a third to £284m.

However, revenues were four per cent down to £5bn, and CEO Ian Livingston said the firm is in talks with the government about how deep public spending cuts will affect it.

He described the results as "an acceptable start to the year".

The boost in profits was achieved mostly by an six per cent cut in operating costs, including trimming eight per cent from its labour costs. It averted a damaging strike during the quarter by agreeing an improved two-year pay deal with the Communication Workers Union.

"Despite the challenging environment, these financial results underpin our outlook for the full year," Livingston said.

Government work accounts for under 10 per cent of BT group revenues. Cable and Wireless, one of BT's main rivals, last week warned investors it also expects to suffer as a result of the public spending squeeze.

BT will lean on its millions of domestic subscribers with a 10 per cent hike in call charges. ®

Intelligent flash storage arrays

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.
Mitigating web security risk with SSL certificates
Web-based systems are essential tools for running business processes and delivering services to customers.