Telstra results and NBN costs: the analysis

Telstra results and NBN costs: the analysis

Summary: Telstra’s mobile network delivered a strong result for the telco this morning, but NBN Co's fixed-line solution will cost more and take longer than expected.

TOPICS: NBN, Telstra

This morning, Telstra announced a 1.1 per cent increase in revenue, helped by a big rise in mobile customers.

In this edition of Twisted Wire, you can hear Telstra CEO David Thodey and CFO Andrew Penn talking through the results, with further analysis from industry commentator Paul Budde, Ovum's David Kennedy and RBS analyst Ian Martin. The upshot seems to be a good result — Project New is delivering real efficiencies — but where will the company go next?

The future will be determined to a great extent by what happens to the National Broadband Network (NBN). Senator Stephen Conroy was unusually antsy at yesterday's launch of the revised NBN Co corporate plan, launching an attack on Shadow Communications Minister Malcolm Turnbull, and, it seems, any journalists who have given him the time of day. His behaviour seemed to overshadow the plan itself, which reported a 4 per cent increase in capital expenditure costs.

We look at the reasons for the increase in the cost of the project, which, you'll see, are all perfectly fair and understandable. But will enough of the NBN be complete in time to pacify voters ahead of the next general election? Perhaps, so long as Stephen Conroy doesn't lose his cool (too often).

Length: 38 minutes, 41 seconds

Topics: NBN, Telstra


Phil Dobbie has a wealth of radio and business experience. He started his career in commercial radio in the UK and, since coming to Australia in 1991, has held senior marketing and management roles with Telstra, OzEmail, the British Tourist Authority and other telecommunications, media, travel and advertising businesses.

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  • Well

    Considering the amount of lies the Coalition tell about the NBN, and the frivolity with which mainstream media prints them with absolutely no fact-checking, I think Conroy must be a master of self-control to not be in a thundering tirade 24/7.
    • Agreed

      +1 !

      What I would like to know is how the Liberal party members keep getting away with the lies without being dragged into court? The above question wan't directed to Karl_w_w just a in general question.