• Sign in to Neowin Faster!

    Create an account on Neowin to contribute and support the site.

Sign in to follow this  

BT shares plunge 19% on Italian scandal

Recommended Posts

+John.    1,395
Quote

 

Shares in BT have plunged 19% after it was forced to write down the value of its Italian business by £530m because of years of "inappropriate behaviour".

 

The sum is far higher than the £145m initially anticipated and BT warned it would affect its results for the next two years.

 

BT began investigating Italy's accounting practices last October.

 

It emerged that the problems were "far greater than previously identified" and occurred over "a number of years".

 

In addition, BT provided an update on its outlook and said that there had been a deterioration in both the public sector and international corporate market.

 

Along with the Italian scandal, BT now expects operating profit for the current financial year to be £7.6bn, compared to previously guidance of £7.9bn and revenue to be flat. It also forecasts that both sales and profit will be flat for the year ending March 2018.

 

The market valuation of BT tanked by £5.5bn in a matter of minutes in Tuesday trading as its shares fell by fell by more than 15% to 326.8p.

 

http://www.bbc.co.uk/news/business-38728816

 

 

 

Whoops!

 

  • Like 1

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.