TPG Telecom service revenues up 0.7% in 1H22

19 Aug 2022

Australia’s TPG Telecom, which offers services via several units including Vodafone Australia, has reported service revenues of AUD2.190 billion (USD1.52 billion) for the six months ended 30 June 2022, up marginally from AUD2.175 million in the corresponding period of 2021. According to the company, second quarter growth had helped ‘offset the lingering effects of COVID-19 related restrictions’ in the first quarter, with increased subscriptions also cited as a contributory factor to the revenue increase.

In terms of other key financial indicators, TPG Telecom reported EBITDA of AUD837 million for H1 2022, down from AUD884 million a year earlier, with operating expenses rising to AUD543 million in the first six months of 2022, up from AUD513 million. The company reported a net profit of AUD167 million for 1H22, up significantly from the AUD78 million recorded in the first half of 2021, though it said this improvement was largely due to it recognising a AUD110 million capital loss benefit to be utilised against the sale of its tower assets, which was completed on 29 July 2022.

With regards to operational highlights, TPG Telecom saw a net increase in mobile subscriptions in the first half of 2022, saying that ‘competitive offers’ and the return of international travellers to Australia had boosted uptake. As of 30 June 2022 TPG Telecom’s mobile subscriptions totalled 5.156 million, up from 5.021 million a year earlier, with monthly ARPU up 1% y-o-y at AUD31.8. Meanwhile, TPG Telecom reported a total of 2.223 million fixed broadband subscriptions as of mid-2022, broadly unchanged from 2.222 million a year earlier.

Commenting on the company’s performance in the opening six months of 2022, TPG Telecom CEO and managing director Inaki Berroeta said: ‘Our strong competitive offering has driven growth in our mobile and fixed wireless subscriber base, positioning us to deliver improved performance as we complete our transition to a growth footing into the second half.’