Hutchison hit by 3G costs

But not all bad news...

Hutchison Whampoa saw profits hit hard by continuing losses from its 3G business late last week.

Turnover for the group grew 23 per cent to HK$179.4bn ($23bn)in the year ended 31 December 2004. Profits attributable to shareholders grew 38 per cent to HK$16bn ($2.05bn). But the group's third generation mobile business saw losses grow 17 per cent to HK$17.8bn($2.3bn).

Hutch's 2G and fixed line businesses were reorganised during 2004 and listed via the acquistion of Vanda Systems. The "3 Group" claims more than eight million customers and gained 1.7m in the first quarter of this year.

Average Revenue Per User across the whole group was €52.43. This breaks down to: £40.30 per month in the UK, €62.18 in Austria and €47.17 in Italy. Revenue from non-voice services ranged from 12 per cent in Austria to 23 per cent in Italy and Hong Kong.

Results release available for download from here. ®

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