Retiring chairman John Henwood

JERSEY Telecom profits fell by nearly nine per cent last year to £11 million while costs rose by nine per cent as the effects of increased competition and the economic downturn affected the business.

However, JT’s turnover rose by nearly five per cent to £91.1 million and the utility business managed to maintain a £6.71 million dividend payment to the States, which was equal to over 60 per cent of profit before tax.

Operating costs were up to £67.9 million – about nine per cent higher than in the previous 12 months. It was also a year in which competition in the mobile market started to increase with the introduction of mobile number portability in December 2008.

The company described the results as ‘solid’ and retiring chairman John Henwood said: ‘The Jersey Telecom Group has performed well in the face of increased competition and the economic downturn.’

JT held its annual general meeting on Friday and reported increased sales in Jersey, Guernsey and in its international business.