HTHKH turnover rises 1% despite 10% drop in mobile service revenue

31 Jul 2014

Hutchison Telecommunications Hong Kong Holdings (HTHKH) has reported that its consolidated turnover increased by 1% to HKD6.227 billion (USD803 million) in the six months to the end of June 2014, as a result of increased fixed network service revenue and mobile equipment revenue, partially offset by decreased mobile service revenue. Consolidated EBITDA decreased by 20% to HKD1.181 billion mainly due to softened mobile business performance, while net profit attributable to shareholders decreased by 44% to HKD323 million. Mobile business turnover for the first six months of 2014 was HKD4.438 billion compared with HKD4.452 billion in 1H13. Mobile service revenue was HKD2.348 billion, a year-on-year decrease of 11% due to an increased proportion of lower-tier service plans subscription and a decrease in demand for mobile voice services. Mobile hardware revenue was HKD2.090 billion, an increase of 15% on the same period in 2013. As at 30 June 2014 Hutchison (3) served 3.6 million mobile customers in Hong Kong and Macau (31 December 2013: 3.8 million), with the decrease in customer numbers attributed mainly to a higher churn of lower-tier customers.