TOT’s profit jumps 21% on 45% broadband rise; signs up 8,000 3G users

17 Dec 2009

Thai state-owned telco TOT’s net profit rose by 21.1% year-on-year to THB6.047 billion (USD183 million) in the first ten months of 2009, driven by a 45% increase in broadband net income in the same period, and despite a 1.2% drop in revenue to THB59.07 billion. As reported by the Bangkok Post, company president Varut Suvakorn said TOT’s performance improved despite the global economic recession and fierce domestic competition, driving down service rates. TOT also managed to cut ten-month costs by 3.2% to THB53 billion. Revenue from fixed line telephony, however, declined by 2.3%, or THB516 million year-on-year, to THB22.36 billion in January-October, whilst revenues from build-transfer-operate (BTO) concessions dropped 5% to THB17.74 billion. Mr Varut said TOT would increase its focus on broadband and multimedia next year and has set a growth target of 30%, aiming to add 300,000 xDSL user ports to the 940,000 currently in service. He forecast that the country’s broadband market as a whole would grow to three million subscribers in 2010, up from around 2.4 million currently. The president also reported that since launching 3G mobile services in Bangkok earlier this month, TOT had 8,000 active users on the W-CDMA/HSPA network. However, of the five mobile virtual network operators (MVNOs) set to launch retail services over the 3G infrastructure, only Samart Corp has so far been able to launch commercially, and Varut said that TOT would sign agreements with the remaining four start-ups this month so that full marketing services could begin next year.

Thailand, TOT