True’s migration to 3G, fixed broadband growth progresses

13 Aug 2012

Thai quadruple-play operator True Corp has reported its results for the quarter ended 30 June 2012, in which it saw a near-doubling of subscribers to its ‘True Move H’ 3G service, offered in partnership with state-run CAT Telecom, and a corresponding decrease in its 2G subscriber base. True Move H customers reached 2.029 million at the end of the second quarter of 2012, up from 1.119 million three months earlier; True Move H’s blended monthly ARPU decreased to THB469 (USD14.8) in Q2 2012 from THB542 in the first quarter. Subscribers to True Move 2G (including 3G ‘trial’) mobile services diminished to 17.341 million at the end of June 2012, down from 18.056 million at end-March, partly accounted for by migration to the True Move H network, while True Move ARPU fell from THB97 in 1Q12 to THB90 in April-June.

At the group’s True Online division, the fixed broadband internet subscriber base continued a steady increase, driven by its expansion across provinces outside True’s core Bangkok and central regions, largely via new rollouts of HFC cable DOCSIS 3.0 high speed access infrastructure. Broadband lines in service rose from 1.403 million at end-March 2012 to 1.466 million three months later, while active fixed voice lines were stable at 1.799 million at 30 June, down by only 1,000 in the quarter. Total cable TV (TrueVisions) subscriptions fell in the second quarter, by a net 40,000 to 1.641 million.

Financially, True Corp reported that its second-quarter net loss widened year-on-year, to THB2.17 billion in April-June 2012, compared to THB1.71 billion in the same period of 2011, driven by higher costs and marketing expenses as it expands its 3G and high speed fixed internet operations. Consolidated revenues climbed to THB21.19 billion in 2Q12, from THB17.44 billion a year before, while total costs jumped to THB16.11 billion from THB12.28 billion. Sales expenses reached THB2.12 billion, up from THB1.38 billion.

Thailand, True Corp, True Move