BSkyB strong results anticipated
Chris Forrester

Most analysts expect BSkyB to report an improved set of numbers when it reports its Q1 figures on Friday.

For example, analysts at Citgroup say that with flat-panel TV sets selling like hot cakes in the UK, it expects BSkyB to benefit from these sales in terms of its own HDTV subscriber numbers. Indeed, it is widely known that Sky has something of a backlog in installing HDTV kit. "At the same time, the backlog of installations from the fourth quarter would suggest [that] the first quarter should be strong," the Citigroup broker said.

Another broker, Numis, says it is also hopeful of robust earnings growth over the medium term. "Although we are nervous on the UK economy, we see BSkyB as a business which will hold up well in a downturn (due to the compelling value of its triple play proposition) while offering upside potential when the economy improves (as consumers can upgrade to more expensive products)," the broker added, and retaining its "buy" stance ahead of Friday’s results.