Telstra lowers its stance on revenues

www.WirelessFederation.com/news: Due to difficult markets at home and in Hong Kong, Australian operator Telstra cut its sales outlook for 2010. The company attributed the flattish FY 2010 revenues to a difficult second half of its fiscal year
2009. Earlier, the company expected growth in the low single digits.

Strength of the Australian dollar, strong domestic competition driven by ULL growth, tough operating conditions in Hong Kong, very competitive mobile offers, and a growing number of mobile-only households were the major drivers behind the lower-than-expected growth.

Because of the similar reasons, the sales for the fiscal first half of 2010 will also be lower. For low single-digit growth in full-year EBITDA and EBIT, a stable EBITDA margin, capex at around 14 percent of sales and free cash flow of AUD 6 billion- Telstra’s guidance was unchanged.