NBN Co has published its financial results for the six months ended 31 December 2017, revealing that revenues more than doubled when compared to the same period a year earlier on the back of ‘strong results against construction and financial targets in one of the most significant deployment periods in the company’s history’. In its fiscal first half, NBN Co reported total turnover of AUD891 million (USD696 million), up from AUD403 million a year earlier. The company revealed however that, notwithstanding the significant growth in revenue, it reported an EBITDA loss of AUD1.38 billion in the period under review, and a net loss after tax of AUD2.64 billion. This loss, it claimed, was ‘in line with expectations and reflects the current stage of business maturity with significant upfront investment in the network and end user activations, illustrated through increasing depreciation and amortisation expense and subscriber related expenditure’.
In operational terms, NBN Co confirmed that 7.1 million premises are now classified as being ‘ready for service’, equivalent to nearly two-thirds of all home and businesses across the country. During the company’s H1 2018, end user activations continued to grow significantly, and with more than 940,000 end user premises taking up a connection via the National Broadband Network (NBN) in July-December 2017, lifting the total served over the infrastructure to 3.39 million premises at 31 December, more than double the 1.65 million reported at end-2016. Average revenue per user (ARPU) was also marginally improved, rising 2% year-on-year to AUD44.
Commenting on the performance, NBN Co chief executive Bill Morrow said: ‘In the six months, we’ve delivered on some of our most ambitious targets that bring us closer to our 2020 goals. As at 31 December 2017, more than 95% of households and businesses are in design, construction or are already able to order a service over the [NBN].’