Reduced build costs driving BT’s roll out  

The BT Group’s FTTP rollout now covers nearly six million premises according to its H1 results for FY22, with 1.3 million customers connected. The Group’s rollout has been boosted by a drop in build costs from £300-£400 per premises passed, to £250-£350.

BT also noted that its 5G network covers 40% of the UK population with its customer base at over 5.2 million.

Looking at the financial highlights: revenues dropped by 3% from £10,590m to £10,305m, Profit before tax dropped 5% from £1,062m to £1,009m and adjusted EBITDA grew 1% from £3,721m to £3,748m.

The results show that BT’s plans to become leaner have been successful as it hit its promises £1bn cost savings target 18 months early and is bringing its FY25 target for £2bn of savings to FY24.

CEO Philip Jansen said: “Looking further out, as we pass the peak of our fibre build and move towards an all-fibre, all-IP network, we expect a reduction in capex of at least £1bn and lower operating costs of £500m.

“From these two factors alone, by the end of the decade we expect an expansion of at least £1.5bn in normalised free cash flow compared to FY22, and that's before any benefits from increased revenue and further transformation efficiencies.”

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