Revenue up but profit down for Vodafone NZ

WELLINGTON - Revenues were up but profits down for Vodafone New Zealand in the year to March.

The company's annual report, released today, shows total revenues up 8.5 percent to $1.3 billion on the year earlier period.

Profit decreased to $152 million from $182 million.

Chief executive officer Russell Stanners said the rise in revenue was due to more customers on Vodafone's network and a wider range of services introduced during the past 12 months, including 3G services.

The profit fall was largely due to increased business costs and Vodafone's commitment to driving down mobile pricing.

With the mobile penetration rate in New Zealand at 95 percent, the key to future growth would be in delivering to customers' full voice and data needs, Mr Stanners said.

"Vodafone has invested over $2 billion in New Zealand and we plan to continue investing in new technologies, such as 3G mobile broadband, which will be launched in September."

Figures released last month show Vodafone NZ added 32,000 customers in the three months to the end of June, taking its customer base to 2.1 million.

But average revenue per user was down to $46.60 from $51.20 in the March quarter.

- NZPA