Citi trims estimates on BT, reiterates 'buy' rating

(Sharecast News) - Citi has trimmed its fourth-quarter estimates for BT Group while reiterating its 'buy' rating.

In a note published on Friday, the bank said BT's third-quarter results had been in line, with Openreach coming in ahead but the Business division "missing significantly".

It continued: "The comparatives in the fourth quarter are tougher, especially for the business segment, so we lower our estimates to reflect -25% decline in earnings before interest, tax, depreciation and amortisation, versus -17% in the third quarter.

"The rest should be in line, but it does mean that growth could dip to slightly negative.

"The 2025 full-year has tougher pricing dynamics as we pass the anniversary of record increases last April. But operating expense pressures should also slightly ease, and restructuring effort at Business should also help.

"We look for marginally positive growth but one that may be more weighted in the second half.

"We reiterate our 'buy' rating."

As at 1230 GMT, shares in BT were up nearly 4% at 112.9p.