TPG announces AUD228m write-down following decision to halt mobile network rollout

26 Feb 2019

Australian multi-service operator (MSO) TPG Telecom has revealed that it will record AUD228 million (USD163 million) in writedowns in the first half of its current financial year ended 30 January 2019, Reuters reports. Confirmation of the writedowns comes after TPG last month announced that it was halting its mobile network rollout in the wake of a government ban on the use of equipment supplied by Chinese vendor Huawei.

According to the report, TPG will reduce the value of its spectrum licences by AUD92 million, while it will also reduce the value of its mobile network assets by AUD76 million; other writedowns will make up the remaining AUD60 million of the total. Despite this, TPG has suggested that the move will not affect its 2019 full-year EBITDA forecast, which it expects to be between AUD800 million and AUD820 million.