Communications Industry Financials

04 August 2003

BT Group (fiscal Q1)
The UK-based telecoms giant reported a 25% rise in its fiscal first-quarter net profit despite flat revenue at £4.59 billion and a decline in call volumes. Net profit reached £351 million ($567.7m; €499.7m), up year-on-year from £275 million. EBITDA (earnings before interest, tax depreciation and amortization) rose 56% to £502 million from £322 million. BT said its three priorities are investing in the business, rewarding its shareholders and reducing debt – down to under £9 billion at the end of the quarter, a £4.4 billion reduction over the preceding twelve months.

Comcast Corporation (Q2)
America’s largest cable operator narrowed its losses for the quarter to a net $22 million (€19.70m; £13.73m), down year-on-year from $210m. Revenues increased 10.2% to $5.68 billion, while cash flow soared 22.9% after adjustments for the November acquisition of ATT Broadband. The group added 12,100 subscribers during the period versus a loss of 133,000 in the same period last year.

Procter & Gamble (fiscal Q4)
Having completed its restructuring program twelve months ahead of schedule, the Cincinnati titan continued to pressure its rivals in core areas while reporting a 4.9% increase in net income to $955 million (€855.04m; £595.8m), or 68 cents a share, compared with $910m (64 cents) a share, a year earlier. Both current and year-ago figures include restructuring charges related to the company's multi-year plan to cut jobs and dispose of underperforming businesses.

Royal Mail (full year)
The state-owned British postal and parcels service made a pre-tax loss of £611 million ($979.31m; €876.81m) after exceptionals in its financial year to March 30. At operating level, this fell to £197m with the loss on its parcels and retail businesses (£187m and £194m respectively) wiping out the £78m profit on letter delivery

Vivendi Universal (Q2)
The Paris-headquartered international media group posted a sharp revenue drop, down 60% year-on-year to €6.13 billion ($6.85bn; £4.27bn) – caused mainly by its asset disposal program. Taking this into account alongside exchange rate fluctuations, the seeming headlong plunge was a mere 6%, the company claimed. Vivendi Universal Entertainment, the movie studio and TV unit currently up for grabs in the US, posted a 15% drop in revenue to €1.51 billion before exchange-rate valuations and certain disposals. Excluding these, revenue decline was just 4%.

Walt Disney Company (Q2)
Net income for the quarter to June 30 rose 9.9% year-on-year from $364 million to $400 million (€358.13m; £249.56m). Revenue rose 6.6% to $6.18 billion from $5.8 billion a year earlier. At 18 cents a share, income bettered analysts’ consensus expectation of 16 cents. But restraining the group from even better progress was its theme parks business where operating income fell 25% to $352m. The problem is most acute at the EuroDisney resort near Paris – 39% owned by Disney which has this year waived its management fee for the period January-September.

Data sourced from: multiple origins; additional content by WARC staff