TT&T’s broadband sales surge, but fails to halt turnover decline

7 Mar 2007

Thai fixed line and broadband operator TT&T has posted a 4% drop in 2006 revenues to THB6.415 billion (USD196 million) as growth in broadband and data services failed to offset declines in fixed line operations and an 11% rise in operating expenses to THB7.251 billion. Fixed line voice revenues fell 18% year-on-year to THB3.853 billion from THB4.706 billion in 2005 due to intense competition coupled with fixed-mobile substitution. Voice revenue contributed 63% of total turnover, compared to 72% the previous year. Revenues from data communications and value added services surged 8% to THB886 million in 2006, whilst turnover at the company’s ‘Sale and Service’ business area more than doubled from THB497 million in 2005 to THB1.033 billion in 2006, largely driven by the performance of its broadband internet subsidiary Triple T Broadband. The ‘Sales and Service’ contribution to total sales doubled from 8% in 2005 to 17% in 2006. TT&T’s annual EBITDA margin, operating profit margin and net profit margin all dropped to 39%, -18% and -18% respectively.

Thailand, Triple T Broadband (3BB)