Mobile phone recycling: Optus profits boosted by mobile phone revenue
Optus has announced a rise in annual net profits by 1.5 per cent to $787 million despite increased competition from its rivals, regulatory changes and tough economic conditions.
In the year to March 31st, the telecommunications firm's operating revenue was up 0.9 per cent to $9.37 billion, helped by mobile phone revenue growth of 1.6 per cent.
Optus chief executive Paul O'Sullivan said its revenues had come under increasing pressure from intense competition in the year and the mandated cut in mobile phone termination.
Termination rates are charged when a phone customer calls another consumer with a different network provider.
Optus' operating costs will have been affected by its high profile court case with Telstra over the mobile rights to NRL and AFL action.
"In the last 18 months we've seen a step up in competitiveness intensity as well as some regulatory decisions which have slowed our growth," he said.
Posted by Simon Thomas
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