NBN Co doubles revenue to almost $2bn

NBN Co has almost doubled its revenue in the space of a year to $1.98 billion, nudging in just above the $1.9 billion estimate laid out in in its last corporate plan.

The company managed to increase its average revenue per user (ARPU) from $43 to $44 a month.

This was attributed to an “uplift in connectivity virtual circuit purchased” by retail service providers, as more sell services on newer wholesale bundled products launched this year.

Chief financial officer Stephen Rue said that while the primary driver of revenue was “growth of premises activated”, he also said that licensing fees and the company’s Technology Choice program was also proving lucrative as a growing revenue stream.

“The company increased total activations by 65 percent to reach 4 million at 30 June 2018, up from 2.4 million at the end of FY17,” the company said in financial filings.

However, activations were below the 4.4 million that NBN Co had anticipated in its last corporate plan.

NBN Co said that 7 million premises are now ready to connect and 8.1 million premises are ready for service.

More to come