Telecom profits rise but not for long

10 May 2004

Telecom New Zealand (TNZ) has reported an 18% rise in profit for its fiscal third quarter, but warned that growth is likely to stall in 2005/06 as it ups investments in its mobile and high-speed internet businesses. The telco wants to expand its current 65,000-strong broadband customer base to 250,000 by the end of 2005. TNZ posted a profit of NZD232 million (USD203 million) in the three months to the end of March, boosted by a one-off gain of NZD10 million from the sale of its stake in internet company AOL 7.

New Zealand, Spark