Former state monopoly New Zealand Telecom posted a net profit for the full year to 30 June 2008 of USD509 million, down from USD602 million in fiscal 2007. Telecom reported a profit of USD139 million for the three months to end June 2008, while EBITDA for the quarter was USD349 million, compared with USD354 million in 2007.
A spokesperson for the company said strength in internet and data services earnings helped to offset weaker mobile and fixed line income. Earlier this year the government forced Telecom to split into three arms and open its networks to other operators to increase competition and speed up access to broadband internet services. The company competes in the mobile and some fixed sectors with Vodafone and has limited competition in the domestic fixed line and internet sectors from TelstraClear.
In other news, it has been rumoured Telecom New Zealand will make an announcement this week about a nationwide deployment of 850MHz W-CDMA/HSDPA. Originally the operator had suggested it would introduce 850MHz GSM/EDGE in rural areas and 2100MHz W-CDMA in the cities.