Media group BSkyB has reported mixed trading amid signs of increased customer loyalty.

The company posted a first-half loss of £112 million, weighed down by a £343 million write-down on its controversial 17.9% stake in ITV, which it was told by the Government to reduce to less than 7.5% earlier this month.

Stripping out this figure, operating profits fell 9% to £307 million as the company reflected the cost of its new Barclays Premier League contract and the loss of advertising revenues because of a dispute with Virgin Media over the carriage of Sky's basic channels.

Chief executive Jeremy Darroch took over in December from James Murdoch. He said the group had entered the new calendar year in 'good shape'.

BSkyB recorded 167,000 net new customers for the quarter ended December 31 – less than market estimates of 171,000 - taking the subscriber total to 8.83 million.

Fewer customers cancelled their subscriptions during the trading period, down to 10% from 11.3% the previous quarter.