Amalgamated Telecom Holdings (ATH) has reported a 73% year-on-year drop in net income from FJD15.4 million (USD8.9 million) to FJD4.1 million, for the year ended 31 March 2011. In a filing to the South Pacific Stock Exchange, the group said: ‘The decrease in operating results was mainly due to revenue decline, increase in depreciation and amortisation due to significant capital expenditures.’ ATH’s statement went on to blame weak market conditions, rising competition and price reductions both from ‘voluntary and mandatory regulatory rulings’, as reasons for the fall in profitability. ‘While operating expenses generally decreased, increases were recorded in depreciation and amortisation due to the commissioning network capacity upgrades and [fixed line operator] TFL’s next generation network.’ ATH booked full-year revenues of FJD254.8 million in the period under review, down from FJD258.2 million in the year to 31 March 2010. Pre-tax profit reached FJD32.6 million, up 9% year-on-year, while tax income expenses increased from FJD3.9 million to FJD14.9 million.
ATH is majority owned by Fiji National Provident Fund is, with the government of Fiji being the second largest shareholder. The holding group’s subsidiaries include Telecom Fiji Limited (TFL), Vodafone Fiji, Fiji Directories Limited, Internet Services Fiji Limited (Connect), Transtel Limited, Xceed Pasifika, ATH Technology Park Limited, ATH Call Centre Limited (ATH Intouch) and Pacific Emerging Technologies Limited.