NTL has increased its revenue from Irish operations in the second quarter of the year. Latest trading figures show the group's total revenues rose to £634 million sterling (#1.04 billion), including a £300,000 rise in Ireland.

But the company said it would cut between 2,000 and 2,500 jobs next year on top of 2,300 jobs shed this year.

An upbeat performance from the cable and communications group in the second quarter bucked the industry trend. Mr Barclay Knapp, president of NTL, boasted yesterday that it was one of the few companies of late to have announced strong results and an increasingly positive outlook for the future.

NTL remains heavily indebted and recorded pre-tax losses in its latest trading account because of the interest payments on its $15-billion (#17-billion) debt. It does not expect the business to break even until 2003 and many industry analysts are sceptical that the group will be profitable before 2005. However, the group highlighted the fact that earnings before interest, tax, depreciation and amortisation, (EBITDA) had risen from £86 million sterling to a record £115 million in the last quarter. NTL yesterday upped its estimates for 2001 EBITDA by £100 million to £485 million sterling.

"We have improved levels of service and lowered churn in the acquired companies and we now run them as integrated units. We have lowered the overall capital expenditures while maintaining strong revenue growth," Mr Knapp said. He said the improved performance had also been boosted by successful price increases and by strong demand for digital television and cable modem. NTL declined to comment on its operations in the North, where its network primarily serves Belfast and Derry. When it first invested in Northern Ireland in 1996, it planned to have access to a potential 80 per cent of homes in Northern Ireland by 2003.

According to Mr Brian Moore, managing director of NTL Ireland, the group has made "genuine progress" in the Republic in the last quarter. "Irish revenue has increased by more than £300,000 to £13.1 million, with EBITDA for the quarter more than doubling to £1.7 million. EBITDA for the first quarter was £740,000," Mr Moore said.

He said the group had completed a business review of its Irish operations earlier in the year and was looking forward to the introduction of its digital television service in September.