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More subscribers switch on to BSkyB

BSkyB said it added 83,000 net new customers to its pay-TV service in the first quarter but its adjusted operating profit was lower than expected due to increased programming and broadband costs.

The company said its Irish customers rose to 513,000 by the end of September, up from 497,000 at the end of June.

The company said its adjusted operating profit was £150m sterling, down from £183m in the first quarter last year, although churn, or the percentage of customers who dropped their subscription, was slightly better than expected at 11.3%.

BSkyB posted an 11% rise in revenues to £1.18 billion sterling. Analysts had been expecting adjusted operating profit of £166m, revenues of £1.17 billion, net additions of 81,000 and churn of 11.7%.

A net increase of 327,000 customers in the quarter gave BSkyB a total of 8.67 million customers and the group said it had also seen strong demand in its Sky+ product.

Sky Broadband passed one million customers during October.

'As expected, our financial performance reflected strong product sales, our investment in high quality programming and a full quarter of investment in Sky Broadband and Talk,' CEO James Murdoch said.
'We expect that performance for the full year will be in line with our plans,' he added.