BT's shares rise as the British broadband provider aims to cut another £3 billion in expenses.

• In the year to March, BT generated a revenue of £20.8 billion ($26.3 billion), which was a slight increase from the previous year's revenue of £20.7 billion.
• The telco increased its 2024 full-year dividend by 3.9% to 8 pence per share.
• Allison Kirkby, CEO, stated that the company aims to achieve an additional £3 billion in cost savings by the conclusion of the full-year 2029.

LONDON - After announcing a target of £3 billion ($3.8 billion) in cost savings, shares of surged Thursday.

At 12:40 p.m. London time, BT's shares rose 14.9% after CEO Allison Kirkby announced that the company had completed its fiber broadband rollout and finished its £3 billion cost and service transformation program "a year ahead of schedule."

BT has announced plans to double its cash flow over the next five years and increase its 2024 full-year dividend by 3.9% to 8 pence per share, according to Kirkby.

Despite a slight increase in revenue from £20.7 billion to £20.8 billion, BT's profit after tax dropped 55% to £855 million compared to the previous year.

By the end of the full-year 2029, the firm aims to achieve an additional £3 billion in cost savings.

Kirkby stated that as BT Group enters the next phase of transformation, the company is intensifying its focus on being more beneficial to customers and the country. This is being achieved by speeding up the modernization of operations and examining possibilities to enhance the global business.

BT aims to streamline its operations as part of its transformation program, with the goal of being well-positioned to generate significant growth for all stakeholders, according to Kirkby.

Philip Jansen was replaced as CEO in February, with her stepping into the position.

Between 2030, BT plans to reduce its workforce by 31% to 42%, which means cutting between 40,000 and 55,000 jobs.

Jansen stated that by intensifying construction and connectivity, digitalizing work processes, and streamlining the structure, BT Group would have a smaller workforce and lower costs by the end of the 2020s.