Vocus New Zealand revenue was up five percent in the 2020 financial year while the Australia telco’s group revenue dropped six percent.
The local operation has now shown growth for five years in a row. New Zealand revenue for the year was NZ$398.8 million. EBITDA, earnings before interest, tax, depreciation and amortisation, was up four percent.
Vocus says the local business reduced overheads by four percent and increased UFB market share to 15 percent. It now has 226,000 broadband connections, 41,000 mobile connections and 33,000 energy customers.
The company says it will continue to focus on organic growth and look for acquisition opportunities.
Talking about the New Zealand business, Vocus Group managing director and CEO Kevin Russell says: “Key highlights for the year were growth in wholesale and continued increases in consumer and SMB driven by broadband and energy customers, with the acquisition of Stuff Fibre increasing our broadband subscriber base by 10 percent".
Other positives include growth in wholesale as Vocus signed new partners and an increased demand for bandwidth during the pandemic lockdown. On the negative side of the ledger the company saw a decline in its enterprise business.
The group did not perform as well. Group revenue went down from $A1.89 billion to A$1.78 billion. Group net after tax profit fell from a positive A$34 million to a loss of A$178.2 million.