Handset margins hit SmarTone profit, though sales jump 18%

4 Feb 2016

Hong Kong mobile operator SmarTone has reported a 14% drop in net profits for the six months to 31 December 2015 due to lower margins on handset sales. Profit fell to HKD403 million (USD51.7 million), though overall revenues were up 18% year-on-year at HKD10.23 billion thanks to a 26% increase in handset and accessory sales and a 1% rise in service revenue. Customer numbers climbed 1% to 1.97 million, with post-paid ARPU up 3% to HKD301. SmarTone is the smallest of Hong Kong’s four mobile operators, with around 15% of the overall market in subscriber terms, according to TeleGeography’s GlobalComms Database.

Hong Kong, SmarTone