Sky's Profit Sinks on Costs, but Full-Year Dividend Recommendation Rises

By Simon Zekaria

LONDON--Sky PLC's fiscal-year net profit sank on Thursday after the media giant booked one-off costs following its expansion across Europe, but its revenue was lifted by trading in the U.K., Ireland and Germany.

Sky's net profit for the fiscal year ended June 30 fell to 666 million pounds ($880.7 million) from GBP1.96 billion in the year preceding. Operating profit before exceptional items--a key metric of business performance--rose 12% year over year to GBP1.56 billion, compared with consensus market expectations of GBP1.57 billion.

Adjusted for exceptional items, revenue rose 7% to GBP12 billion, versus expectations of GBP11.8 billion.

It recommended a full-year dividend of 33.5 pence per share, up 2%.

Sky is 39%-owned by 21st Century Fox, which until June 2013 was part of the same company as The Wall Street Journal parent News Corp.

Write to Simon Zekaria at [e-mail]

(END) Dow Jones Newswires

July 28, 2016 02:50 ET (06:50 GMT)

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