Vocus NZ lifts as Aussie telco reports first half results
- 19 February, 2020 11:40
Mark Callander (Vocus NZ)
The New Zealand division of Australian telco Vocus today reported turnover of $199.6 million, up 6 per cent, for the first half of the 2020 financial year.
EBITDA of $32.3 million was also up by 6 per cent
Vocus NZ said the result was driven by strong sales in both the enterprise and consumer segments and in both telco and energy products.
Mark Callander, chief executive NZ, said his team had remained focused on improving operating leverage in a highly competitive market.
Vocus continued to deliver increased revenue with lower headcount across the business due to the investment in business process automation and digital platforms, he added.
Meanwhile, Vocus Group's overall revenue was down 7 per cent to A$902 million, with earnings before interest, tax, depreciation and amortisation up 2 per cent to A$179 million.
Net profit after tax was little changed at A$54.4 million.
In the NZ consumer business, the key highlights include improved average revenue and margins per customer through a focus on high value fibre customers.
In addition, Vocus NZ’s broadband-led bundling strategy delivered a 50 per cent increase in mobile services delivered and a 32 per cent increase in energy services.
The enterprise and wholesale business required investment in people and leadership over the last six months to focus on more targeted growth in key segments, Callander said.
The streaming of the Rugby World Cup contributed to growth in the wholesale business along with supporting new entrants into the broadband market.
The launch of new portals and APIs to deliver better customer outcomes would also drive further utilisation of the Vocus network.
This would enable customers to benefit from full automation combined with an enhanced network experience.
“Most importantly, the team remain highly engaged across the business and passionate about what we do in market and for our customers," Callander said.
"We have not lost our challenger DNA as we continue to grow, it continues to be a point of difference.”