TELECOMS group BT has revealed its first sales growth for five years as it benefited from price increases for customers earlier this year.
It was also boosted by more people signing up for fibre-optic broadband and strong trading in its Openreach network business.
But bosses also highlighted "ongoing challenges" in its enterprise business, which serves small and medium-sized firms.
And the trading update - which showed that revenues increased by 1 per cent to £5.1 billion for the three months to June 30 - comes on the eve of planned industrial action at the group.
Thousands of BT staff, including many in Northern Ireland, are poised to begin two days of strike action (Friday and Monday), led by the Communication Workers Union.
CWU general secretary Dave Ward said: "BT Group are now gaslighting our members.
"Announcing hundreds of millions of pounds of profit on the eve of the first national strike action since 1987 smacks of arrogance and complete contempt for frontline workers.
"Our members kept the country connected during the pandemic and deserve a proper pay rise, and that's what we are going to get them."
The action is being supported by Sinn Fein, whose Fermanagh and South Tyrone MLA Jemma Dolan said: “Our party recently emphasised to BT directly that, as a company posting £2 billion profits, they should be supporting their workers, particularly the lowest paid, by delivering a fair pay offer to their staff.
“These companies need to engage directly and meaningfully with trade union representatives to resolve the dispute.
“Sinn Féin extends solidarity to workers and trade union representatives seeking fair pay in the midst of the cost of living and inflation crises.
BT chief executive Philip Jansen said: "The group has made a good start to the year; we're accelerating our network investments and performing well operationally."
Revenues were significantly buoyed by price rises introduced by BT at the start of the quarter.
BT, which runs mobile operator EE, lifted mobile and broadband prices by up to 9.3 per cent from April 1, above the rate of inflation at the time.
Sales in the company's consumer division increased by 5 per cent to £2.5 billion, while adjusted earnings also increased.
On Thursday, the group said the price rises helped the business to offset the impact of cost inflation across its operations.
The FTSE 100 firm revealed adjusted group earnings increased by 2 per cent to £1.9 billion for the quarter, in line with analyst expectations.
However, BT said its enterprise business saw a 27 per cent drop in earnings for the period.
Mr Jansen added: "The modernisation of BT Group remains on track.
"We are delivering and, notwithstanding the current economic uncertainty, we remain confident in our outlook for this financial year."
