Kiwi telecoms incumbent Telecom New Zealand has posted a NZD3.02 billion (USD2.31 billion) annual net profit for the year ended 30 June 2007, compared to a net loss of NZD436 million in the previous year, boosted by a one-off NZD2.08 billion gain from the sale of its yellow pages business. Revenue climbed 1.2% to NZD5.56 billion, while EBITDA more than doubled from NZD764 million to NZD1.93 billion. Excluding sale proceeds its net adjusted earnings were NZD955 million, compared with NZD820 million for the prior year. Net profit from continuing operations was NZD844 million.
In a separate announcement Telecom announced it will take a direct stake in Hutchison Telecommunication Australia. The telco will transfer its 19.94% stake in Hutchison Telecommunication Australia’s 3G subsidiary to a 10% interest in the parent company. The deal entails Telecom assigning its digital spectrum licences in Brisbane, Adelaide and Perth to Hutchison, and retaining an option to increase its investment by a further 9.94% at anytime before the end of 2008.