Sky points to Premier League costs as operating profit down 11% to £1.01bn

&Tab;&Tab;<div class&equals;"wpcnt">&NewLine;&Tab;&Tab;&Tab;<div class&equals;"wpa">&NewLine;&Tab;&Tab;&Tab;&Tab;<span class&equals;"wpa-about">Advertisements<&sol;span>&NewLine;&Tab;&Tab;&Tab;&Tab;<div class&equals;"u top&lowbar;amp">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;<amp-ad width&equals;"300" height&equals;"265"&NewLine;&Tab;&Tab; type&equals;"pubmine"&NewLine;&Tab;&Tab; data-siteid&equals;"111265417"&NewLine;&Tab;&Tab; data-section&equals;"2">&NewLine;&Tab;&Tab;<&sol;amp-ad>&NewLine;&Tab;&Tab;&Tab;&Tab;<&sol;div>&NewLine;&Tab;&Tab;&Tab;<&sol;div>&NewLine;&Tab;&Tab;<&sol;div><p>Sky has said rising costs from screening Premier League football and a &&num;8220&semi;weaker UK advertising market&&num;8221&semi; has dragged on its profits&period;<&sol;p>&NewLine;<p>The broadcaster saw an 11&percnt; drop in operating profit to £1&period;01 billion in the nine months to March 31 as it pointed to a £494 million bill linked to Premier League costs&period;<&sol;p>&NewLine;<p>On a statutory basis&comma; operating profit fell from £802 million to £703 million&period;<br &sol;>&NewLine;Boss Jeremy Darroch said&colon; <i>&&num;8220&semi;We enter the final quarter of our fiscal year in good shape&period; Despite the broader consumer environment remaining uncertain&comma; we continue to deliver on our strategy and are on track for the full year&period;&&num;8221&semi;<&sol;i><&sol;p>&NewLine;<p>Revenue rose by 5&percnt; to £9&period;6 billion during the period&comma; with more than 100&comma;000 new customers joining Sky in the third quarter&period;<&sol;p>&NewLine;<p>Sky also announced a 250 million US dollar partnership with American production company HBO&period;<&sol;p>&NewLine;<p>The partnership will bring together the Game Of Thrones broadcaster and producer&comma; and aims to bring more &&num;8220&semi;world-class drama series&&num;8221&semi; to customers&period;<&sol;p>&NewLine;<p>Sky is the subject of a £11&period;7 billion takeover bid from Rupert Murdoch’s 21st Century Fox&period;<&sol;p>&NewLine;<p>Fox is aiming to seize control of the 61&percnt; of Sky it does not already own and the bid comes five years after Mr Murdoch’s last tilt at taking the business over through News Corporation&period;<&sol;p>&NewLine;<p>The deal has the green light from EU regulators&comma; but Ofcom and the CMA have until May 16 to investigate the deal&period;<&sol;p>&NewLine;<p>Ofcom is charged with determining whether Fox would be a &&num;8220&semi;fit and proper&&num;8221&semi; owner of Sky&period;<&sol;p>&NewLine;<p>News from the US that controversial Fox News host Bill O’Reilly has been dropped by the network &&num;8211&semi; following allegations of sexual harassment &&num;8211&semi; could have implications for the Sky deal being rubber-stamped in the UK&period;<&sol;p>&NewLine;<p>Campaign group Avaaz said that it is &&num;8220&semi;not safe&&num;8221&semi; for the Murdochs to be given more control of the media in light of the O’Reilly scandal&period;<&sol;p>&NewLine;<p>Alaphia Zoyab&comma; senior campaigner at the group&comma; said&colon; <i>&&num;8220&semi;It’s not safe for the UK government to let them control even more of our media&period;<&sol;p>&NewLine;<p>&&num;8220&semi;We want to ensure that Ofcom is under no illusion that removing Bill O’Reilly addresses the massive misgovernance issues at Fox News&period;&&num;8221&semi;<&sol;i><&sol;p>&NewLine;<p>It has been reported that 21st Century Fox has paid out over £10 million to settle allegations relating to inappropriate behaviour and sexual harassment&period;<&sol;p>&NewLine;<p>Avaaz&comma; which has made several submissions to Ofcom&comma; also pointed to the phone-hacking scandal involving News International &&num;8211&semi; which effectively derailed Mr Murdoch’s previous bid for full control of Sky &&num;8211&semi; as another example of why the deal should not be approved&period;<&sol;p>&NewLine;<p>Investors have also raised concerns about the involvement of Mr Murdoch’s son &&num;8211&semi; James Murdoch &&num;8211&semi; who is Sky’s chairman and Fox’s chief executive&period;<&sol;p>&NewLine;&Tab;&Tab;&Tab;<div style&equals;"padding-bottom&colon;15px&semi;" class&equals;"wordads-tag" data-slot-type&equals;"belowpost">&NewLine;&Tab;&Tab;&Tab;&Tab;<div id&equals;"atatags-dynamic-belowpost-68cd43e777371">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;<script type&equals;"text&sol;javascript">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;getAdSnippetCallback &equals; function &lpar;&rpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;if &lpar; false &equals;&equals;&equals; 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