(Alliance News) - BT Group PLC on Thursday said profit in its year-to-date was hit by higher depreciation, while revenue dipped due to its new sports joint venture.

In the nine months to December 31, the telecommunications firm said revenue edged down 1.0% to GBP15.59 billion from GBP15.68 billion a year before.

BT said this was due to lower global strategic equipment sales, the migration of a MVNO customer, removal of BT Sport revenue and the decline of legacy products. These factors offset improved trading and price increases in Openreach and Consumer divisions.

In May of last year, BT agreed to a deal with Warner Bros Discovery Inc which saw BT Sport and Eurosport combine.

Adjusting for its new Sports joint venture, revenue was up GBP65 million.

Pretax profit dropped 15% to GBP1.31 billion from GBP1.54 billion.

The decline was down to increased depreciation, which offset 3.0% growth in adjusted earnings before interest, tax depreciation and amortisation to GBP5.88 billion from GBP5.86 billion.

"We've grown revenue and Ebitda on a pro forma, like-for-like basis, despite a challenging economic backdrop, and we're transforming BT Group for the benefit of our customers," said Chief Executive Philip Jansen.

"Despite extraordinary energy costs and other inflationary headwinds, we are reaffirming our outlook for the year."

Shares in BT were up 0.2% to 124.15 pence each in London during early trade on Thursday.

By Elizabeth Winter, Alliance News senior markets reporter

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