Telecoms firm BT Ireland has reported underlying profits of €14m for the six months to the end of September, up 17% on the same period last year. Revenues increased by 17% to €257m.
The company said what it called 'new wave' business - broadband Internet and corporate networked IT services - was the main factor in the growth and now accounted for more than a quarter of turnover. Broadband connections rose by 37% to 48,000.
BT Ireland has also announced plans to invest up to €500m in its network over the next five years. This is part of its 21st Century Network plan, which includes the ability to provide faster wholesale broadband speeds.
Earlier, the parent company BT reported second-quarter underlying earnings at the top end of market expectations following strong growth in revenues. But it also reported a slowing pace of retail broadband growth.
BT's earnings before interest, tax, depreciation and amortisation (EBITDA) before one-off items and lay-off costs of £1.4 billion for the three months to September 30, compared with £1.39 billion a year earlier.
BT's revenue rose 4% to £4.9 billion, ahead of forecasts, helped by a 21% rise in so-called new wave revenues from broadband Internet and corporate networked IT services.
The company said new wave revenues, on which it relies increasingly to counter a declining fixed-line business, accounted for 35% of total revenue during the quarter compared with 30% last year.
But its retail broadband business showed strains from the intensifying competition in the market, notably cut-price offers launched by rivals such as Carphone Warehouse and BSkyB.
BT Retail's share of net broadband additions slipped to 25% during the quarter, compared with 30% during the preceding three-month period. Broadband is a key to BT's strategy of delivering mobile and television services to consumers.
