British telecommunications company BT's net profit fell 1.6% to £484m sterling in its third quarter amid declining revenue from traditional voice calls.

BT said today that revenue fell to £4.36 billion in the three months to the end of December, compared to £4.77 billion the previous year.

BT said it had been affected by uncertain conditions in Europe, regulatory changes, and even repair activities linked to England's wettest year on record.

Revenue from BT's retail unit decreased by 3%. Revenue from OpenReach, the unit which provides broadband connections, was down 2%.

Meanwhile, BT Ireland said that its revenue increased by 5%, excluding the impact of foreign exchange movements, with growth across all areas of the business.

The company said that half of its retail broadband customers in Northern Ireland are now taking fibre which is helping to drive revenue growth.

BT Ireland was selected as the NI Direct strategic partner to develop and improve access to Northern Ireland government services during the three month period.

BT Ireland employs almost 800 people in the Republic of Ireland and its clients include the Department of Communications, Energy and Natural Resources, the Department of Social Protection, Allianz, Bank of Ireland, Element 6, Primark, Ryanair and UPC.