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VHA solid growth trends continue

Customer base reaches 5.5 million

Vodafone Hutchison Australia (VHA) continued to achieve solid growth during the first six months of 2016 with increases in customer base and EBITDA, while customer sentiment levels remained high.

VHA’s customer base grew by 239,000 customers (4.5 per cent) year on year to 5.5 million, and EBITDA increased 7.7 per cent year on year to $412 million.

In a year on year comparison, total revenue increased 4.2 per cent and gross ARPU increased 4.5 per cent if incoming revenue impacted by the ACCC’s reduction of industry mobile termination rates (MTR) is excluded.

VHA Chief Financial Officer James Marsh said VHA’s half year results were pleasing and in line with expectations.

“We are proud of our strong network and worry-free products, so it’s pleasing to see another solid performance as it indicates we are on the right track,” Mr Marsh said.

“The increase in total network customers is being driven by a 4.2 per cent year on year lift in VHA’s postpaid base and growth of 28.6 percent year on year in wholesale customers.

“VHA’s Red plans continue to be popular, with products such as $5 Roaming and our $0 roaming trial in New Zealand a driver of new connections, renewals and upgrades.

“VHA continues to focus on our own customer base, and to also invest in strategic wholesale opportunities. The significant increase in MVNO customers is largely due to the continued migration of TPG Mobile customers to the VHA network.”

Mr Marsh said VHA was focussed on increasing consumer confidence in its network and products.

“VHA’s network is better than ever after our multi-billion dollar investment over recent years, with our 4G network now reaching more than 22 million Australians,” Mr Marsh said.

“The significant work we have done across network, products and customer service is paying off. VHA achieved the lowest ratio of customer complaints to the Telecommunications Industry Ombudsman for the fourth consecutive quarter in June 2016, while our Net Promoter Score was up 18 points in June 2016 from June 2015.

“To build on this good momentum, our marketing campaign currently running across TV, radio, outdoor and digital channels is letting Australians know they do have an alternative when it comes to their mobile provider.

“The campaign, which includes innovative demonstrations of the VHA network and is complemented by our Network Satisfaction Guarantee, is saying to Australian consumers that we are so confident in our network, we are willing to back it.”

Mr Marsh said there had also been a continued improvement in loss position, with VHA’s half year loss down 36.8 per cent year on year.

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Jen Zemek

For journalists with enquiries about this media release, please email Jennifer.Zemek@vodafone.com.au. View our media contact page for more information. The Vodafone media team cannot assist with customer enquiries.

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