David RichardsTelstra has reported a first-half profit of almost $2 billion dollars an increase of 13 per over the same period last year. They have also raised their guidance for full-year revenues after achieving $12.4 billion in earnings.
“We have again exceeded analyst consensus, delivering not only strong top-line revenue growth but also accelerating earnings at the bottom-line,” Telstra chief executive Sol Trujillo said.
“Our transformation is revitalising every aspect of the business and we now rank at or near the top of our global peer group on many key financial performance measures.”
Earnings upgrade
For the fiscal 2008 year, Telstra now expects total revenue to grow by 3 to 4 per cent, up from guidance of 2 to 3 per cent.
Earnings before interest, tax, depreciation and amortisation (EBITDA) is forecast to grow by 4 to 5 per cent, up from guidance of 3 to 4 per cent.
Earnings before interest and tax is projected to grow by 6 to 8 per cent, up from guidance of 5 to 7 per cent.
Telstra said its first half result was underpinned by strong sales across all its retail business units and key product, including broadband, mobiles, traditional fixed line or PSTN services and its online business Sensis.
“We are growing in the key markets of the future while securing our traditional core business,” Mr Trujillo said.
“Despite fierce price competition, we have again won broadband and post-paid mobile market share from competitors and grown average revenue per user (ARPU). We have again defied global trends by growing our retail PSTN business.
“And given this strong overall performance, we have raised guidance,” he said.
Mr Trujillo said the company was committed to taking part in government plans to set up a high speed broadband fibre-to-the-node network.
Telstra “looks forward” to talks with federal communications minister Stephen Conroy.