Feeds

TNZ braves the demerger with strong profits

While Stephen Fry gets throttles

Beginner's guide to SSL certificates

The freshly de-merged Telecom New Zealand has posted a net profit of $NZ1 billion after what the CEO described as the “most complex corporate transaction in recent New Zealand history.”

Adjusted profits rose 52 per cent to $NZ240 million with earnings from continuing operations coming in at $NZ129 million. The carrier demerged its infrastructure unit in November 2011, impacting the results.

"Due to the demerger timing and the associated accounting impact, year-on-year financial comparisons are a complication," said Telecom NZ CEO Paul Reynolds. “The demerger was probably the most and a world’s first for a telecommunications company. I am pleased it has helped deliver real value for customers and shareholders.”

He added that the simplification of the business had delivered both improvement to customer satisfaction and reduction in costs.

“Customer satisfaction has improved in New Zealand, and the focus on simplicity and efficiency means that costs have declined faster than revenues, enabling Telecom to maintain flat EBITDA for its continuing operations,” he said.

But one customer, Stephen Fry, who is in New Zealand working on the Hobbit took to the Twiitersphere this week to vent his anger with the carrier. Fry tweeted that New Zealand's broadband is probably the worst he'd encountered. A spokeswoman for Telecom said that the problem had been a 'misunderstanding' and that Fry had blown the data cap on the residential broadband plan at the house where he is staying and his service was throttled.

“Telecom has since spoken to the broadband customer and they have now been put on a plan better suited to their needs,” the carrier said. Fry later tweeted that Telecom had been 'quick and polite' in fixing his problem adding “I wonder if everyone who complains gets this attention.”

Telecom NZ broadband revenues were up 5% during the half, through a combination of a 7,000 increase in connections during the half and a 2 percent increase in ARPU (average revenue per user). ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
DOUBLE BONK: Testy fanbois catch Apple Pay picking pockets
Users wail as tapcash transactions are duplicated
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.