Satellite broadcaster BSkyB today unveiled plans to increase its customers base by more than a third as it posted a 75% rise in annual profits to £322 million.

The pay TV group said it had set a new long-term operating target of reaching 10 million direct-to-home subscribers by 2010 against the current figure of 7.4 million.

It said it believed about 80% of UK and Irish households would have pay TV in the long term, compared with the current 43% - implying that a further 10 million homes will take the services over time.

BSkyB said it would achieve the target with measures including the "reintroduction" of the Sky brand, emphasising the existing broad range of ways to get pay TV and continued investment in "must-see" programming.

It said it planned to invest up to an extra £450 million in infrastructure during the next four years.

The group added that shareholders would benefit from the planned growth through plans to return surplus capital in addition to ordinary dividends.

Chief executive James Murdoch said the year to June 30 had been one of good progress for BSkyB.

"Today's announcement of new long-term growth targets and a return of cash to shareholders demonstrates our confidence in the exciting growth potential of this business," he said.

Wednesday August 04, 2004