TPG sees solid first half as it reports increases in revenue, EBITDA and NPAT

25 Mar 2014

Alternative Australian broadband provider TPG Telecom has published its financial results for the six months ended 31 January 2014. In the period under review TPG generated a total turnover of AUD394.6 million (USD361.6 million), representing an 11% increase against the AUD357.0 million it recorded in the year earlier. Earnings before interest, tax, depreciation and amortisation (EBITDA) for the first half of TPG’s 2013/14 fiscal year stood at AUD165.6 million, up from AUD153.6 million, while underlying EBITDA totalled AUD159.0 million compared to AUD133.1 million in H1 2012/13. Net profit after tax for the six-month period was AUD90.1 million, representing a 15% year-on-year increase.

In operational terms, TPG said that its consumer broadband subscriber base grew by 36,000 in the half year, a growth rate it noted as being consistent with that achieved in the same period the previous year. Customer increases, it added, continued to be driven by the operator’s ‘ADSL2+ with Home Phone’ bundles plans, which increased by 61,000 in the six-month period; this was partially offset, however, by a drop in the number of standalone on-net customers (down by 16,000) and off-net subscribers (down 9,000). At end-January 2014 TPG had a total of 707,000 broadband subscribers, up from 671,000 at end-July 2013. Of the total, 412,00 were signed up to an on-net bundle, up from 351,000 six months earlier, while the number of on-net and off-net standalone customers totalled 220,000 and 75,000 at end-January 2014, respectively. Offering mobile voice services as a virtual operator, TPG has also continued to register an increase in the uptake of such offerings, with 370,000 such accesses on its books at the end of the reporting period, against 360,000 at end-July 2013. Fixed line voice subscriber numbers meanwhile totalled 419,000 at the end of January 2014, representing a more than 17% increase from end-July 2013.

Australia, TPG Corporation (incl. iiNet, Internode and AAPT)