BT Group

Ticker BT.A

Today's data summary

Market closed
% change
+0.25%
Price Pence
203.25
Change
+0.50
As of 20:39 20 May 2019
Market cap. Pound sterling
20,168.19 million
As of 20:39 20 May 2019

Latest updates

BT avoids dividend cut

share
BBC
BT share performance over five years

BT, which announced profits this morning, avoided a cut to its dividend.

Tom Stevenson investment director from Fidelity Personal Investing’s share dealing service said: “‘New boss Philip Jansen has decided against funding a new growth strategy for BT with an unpopular dividend cut.

"He has kept income-seeking investors onside by maintaining the payout and underpinning the struggling telecoms giant’s 7% yield".

It's been a disappointing few years for BT investors. Back in 2015 shares were trading at almost 500p each.

Since then they've fallen more than 50%, to around 216p.

BT: Sales down, profits up

BT HQ
BT

BT Group has reported pre-tax profit of £2.7bn up 2% on the previous year.

Sales were down 1% for the year to 31 March, compared with the year earlier.

It blamed price reductions at its Openreach business for the fall in sales.

Chief executive Philip Jansen, who took over three months ago said: "We have a lot of work to do to ensure we remain successful and deliver long term sustainable value to our shareholders. We need to invest to improve our customer propositions and competitiveness.

"We need to invest to stay ahead in our fixed, mobile and core networks, and we need to invest to overhaul our business to ensure that we are using the latest systems and technology to improve our efficiency and become more agile."

London movers

pound coins
Getty Images

Shares in Metro Bank have lost another 11% and are now at record lows in the continued fall-out from last week's trading update.

In the FTSE 100 index, Standard Life Aberdeen was down 5% while Unilever, which is stock piling for Brexit, was off 2%.

But drinks company Diageo, which is close to record highs and reported results earlier, ended the day almost 5% higher as did Shell, which also reported results, and rose nearly 4%.

Shell rises to the top of the FTSE

Shell sign
Getty Images

The FTSE 100 is now 0.42% ahead at 6,970.60.

Royal Dutch Shell is leading the blue chip risers - up 4.2% at £23.81 - after reporting a strong rise in fourth quarter and full-year profits.

It is closely followed by drinks maker Diageo which also announced strong financials, in its case for the interim period. Its share price is up 4% at £28.84.

Other firms reporting figures today saw their stock prices fall. Unilever is down 4.36% at £39.12 ahead of BT Group which is off 3% at 226.8p.

BT Group's Patterson hands over the reins

Philip Jansen (R) and Gavin Patterson (L)
Getty Images
Gavin Patterson (L) is being replaced as BT's chief executive by Philip Jansen

BT's outgoing chief executive Gavin Patterson says he is "handing over the business with good momentum" to his successor Philip Jansen.

The telecoms giant reported a 20% rise in pre-tax profits to £2.1bn for the nine months to 31 December.

But shares fell by 2.8% to 227.45p in early trading. Revenue for the nine months fell 1% to £17.5bn.

BT said it will stick to its forward outlook "notwithstanding significant market and regulatory pressures".