BSkyB posts solid fourth quarter profits as recession-hit consumers enjoy home entertainment

BSkyB earns supported by homebound consumers

LONDON — Satellite TV service British Sky Broadcasting Group posted fourth quarter earnings of 90 million pounds ($148 million) as more consumers turned to home entertainment in the recession.

The net profit for BSkyB, which is 39 percent owned by Rupert Murdoch’s News Corp., compared to a loss of 9 million pounds a year ago.

Revenue jumped 8.8 percent to 1.36 billion pounds, from 1.25 billion pounds, as the company capitalized on the economic downturn with a marketing campaign for its High Definition service.

The company added 124,000 net new subscribers in the quarter, giving it a total of 9.4 million — bringing it closer to its goal of hitting 10 million subscribers by 2010.

For the full year, BSkyB booked net profit of 259 billion pounds, compared to from a 127 billion pound loss last year. Revenue was up 8.2 percent at 5.36 billion pounds, from 4.95 billion pounds last year.

BSkyB Chief Executive Jeremy Darroch said that new customers were joining the company at the fastest rate for five years, while existing customers were signing up for more products than ever before.