BT Group reported smaller broadband customer losses than analysts feared, shedding 825,000 subscribers across its Openreach network in the year to March. This compares favorably to the 844,000 decline that markets had anticipated, marking an improvement from the previous year's 828,000 customer exits.

Chief executive Allison Kirkby, who assumed leadership in 2024, is accelerating the telecoms group's restructuring program. The company plans to expand its cost-cutting initiative from £3bn to £3.7bn in savings by 2030, while reducing headcount from 130,000 to 75,000 over the same period. BT will also raise its dividend by a low-to-mid single-digit percentage for the current financial year.

The group posted adjusted EBITDA of £8.23bn, matching the prior year and meeting analyst expectations. Its full-year dividend for 2026 stands at 8.32p, representing a 2% increase. BT reaffirmed free cash flow guidance of £2bn by the end of this financial year, rising to £3bn by decade's end. These metrics suggest Kirkby's turnaround strategy is beginning to resonate with investors after years of subscriber erosion and competitive pressure in the UK telecoms market.

The improved customer retention rate signals that BT's fiber investment and pricing adjustments are stabilizing its subscriber base, though the company still faces intense competition from Virgin Media and emerging mobile network operators.