BT Group (BTA) H2 2025 earnings summary

Executive summary

• Achieved record full fiber (FTTP) build, passing over 18 million premises and connecting 6.5 million by March, with plans to reach 23 million premises and 9 million connections by next year.

• Transformation ahead of plan, delivering £913 million in cost savings and divesting non-core businesses in Ireland and Italy.

• Increased total dividend to 8.16p per share, reflecting confidence in cash flow expansion and ongoing investment.

• Maintained mobile network leadership for 11th consecutive year; NPS improved by 4.7 points to 29.5.

• Strategy focuses on building digital networks, connecting customers, and accelerating modernization to drive financial growth.

Financial highlights

• Adjusted group revenue for the year was £20,370 million, down 2% year-over-year, at the bottom end of revised guidance.

• Adjusted EBITDA rose 1% to £8,209 million, in line with guidance, driven by cost transformation.

• Normalized free cash flow increased 25% to £1,598 million, £100 million ahead of guidance.

• CapEx was £4,857 million, broadly flat, with record fiber build and provisioning volumes.

• Dividend per share up 2% to 8.16p; pension deficit reduced by £0.7 billion.

Outlook and guidance

• FY26 revenue expected around £20 billion; UK service revenue guidance set at £15.3–15.6 billion, flat to down due to legacy voice drag.

• Adjusted EBITDA expected to rise to £8.2–8.3 billion, with growth weighted to H2.

• CapEx to be around £5 billion in FY26, reflecting accelerated build and provisioning.

• Normalized free cash flow for FY26 guided at £1.5 billion, rising to £2 billion in FY27 and £3 billion by 2030.

• CapEx to reduce by over £1 billion annually after reaching 25 million premises with full fiber by December 2026.