UK pay-TV company BSkyB this morning posted a 10 per cent increase in full-year revenues and raised its dividend by 27 per cent as its launch into the broadband market started to bear fruit.
The company, which revealed earlier this month that it was the fastest growing broadband provider in the country, said underlying operating profit had risen six percent on last year to £958 million.
Revenue rose 10 per cent, in line with forecasts, to £4.6 billion sterling.
BSkyB's shares fell 0.5 per cent to 671 pence earlier this morning, compared to a wider European media sector fall of 0.6 per cent.
Reported operating profit of £815 million included an exceptional gain of 49 million pounds but it was still down on last year's £877 million due to broadband investment.
Analysts welcomed the dividend increase to 15.5 pence as a sign of confidence, with UBS saying it also demonstrated the company's commitment to provide returns to shareholders.