Australian fixed line incumbent Telstra has released its financial results for the first six months of its 2013 financial year, revealing an 8.8% increase in net profit to AUD1.597 billion (USD1.00 billion). Revenue for the six-month period stood at AUD12.601 billion, representing a 1.7% year-on-year increase, with the telco noting that mobile revenue had increased by 4.6% to AUD4.560 million. With Telstra reporting another decline in turnover from its PSTN services – it saw a 10.8% y-o-y drop to AUD2.220 billion for such services – fixed revenues as a whole fell only by 4.0%, having been offset in part by a 4.4% rise in fixed broadband revenue to AUD1.038 billion. EBITDA for H1 2013 totalled AUD4.986 billion, up 5% against the same period of the previous financial year, while Telstra said it had free cash flow of AUD2.155 billion.
Looking ahead, Telstra confirmed guidance for fiscal 2013 of ‘low single digit total income and EBITDA growth’, while it reiterated its expectation for free cashflow of between AUD4.75 billion and AUD5.25 billion. Capital expenditures for the year, meanwhile, are forecast at around 15% of sales.
Operationally, Telstra highlighted continued solid uptake for its fourth-generation mobile services, reporting that it has now sold more than 1.5 million 4G devices, while it also confirmed that it is on track to expand its LTE network coverage to 66% of the population by June 2013. In terms of mobile accesses, at the end of December 2012 Telstra counted a total of 14.4 million such users, up 607,000 over the six-month period. Fixed broadband users numbered 2.7 million, up by 85,000 compared to end-June 2012.