iiNet reports naked DSL boom

iiNet reports naked DSL boom

Summary: Western Australian internet service provider iiNet took an extra 47,500 broadband customers over the past year, and also added over 67,000 naked DSL subscribers.

TOPICS: NBN, Broadband, Telcos

Western Australian internet service provider iiNet took an extra 47,500 broadband customers over the past year, and also added over 67,000 "naked DSL" subscribers.

iiNet's new BoB device
(Credit: iiNet)

The ISP's naked DSL product has proven to be a star performer for the company, growing by 123 per cent for the year to 67,000, helping net the company revenue growth of 66 per cent on last financial year. The ASX-listed ISP today posted annual revenues of $418 million, up from $251 million last year.

iiNet managing director Michael Malone said in a statement this morning that the ISP was committed to being the top challenger in the telecommunications market. "This is most clearly demonstrated by the 123 per cent growth in naked DSL, more than doubling iiNet's total naked subscribers. 67,000 Australians have now ditched their phone line rental," said Malone.

iiNet now has 754,585 customers, it reported today, which had risen 10 per cent over the year. Earnings before income tax, revenue, depreciation and amortisation grew 42 per cent from $47.4 million to $67 million. Net profit after tax rose 44 per cent, up from $17.8 million to $25.6 million. Earnings per share increased 22 per cent from 13.9 cents to 16.9 cents.

It was the first reporting period in which iiNet had included a full year's earnings from its subsidiary Westnet, which it acquired in May 2008 for $81 million. At the time it brought iiNet's subscriber base closer to Australia's number two broadband provider, Optus, which had one million subscribers. Westnet added around 365,000 DSL subscribers.

Malone today reaffirmed the company's stance on the National Broadband Network.

"In terms of the key criteria we were looking for in a NBN — open access, structural separation, fixing backhaul 'black spots' and regulatory reform — the government has delivered a true vision," said Malone. "We see the government's open-access NBN as a fantastic new opportunity for iiNet."

iiNet's legal battle against several copyright owners represented by Roadshow and the Australian Federation Against Copyright Theft (AFACT) is set to continue this Wednesday at a directions hearing in the Federal Court, Sydney. iiNet intends to finalise its defence against claims that it breached copyright law.

Topics: NBN, Broadband, Telcos

Liam Tung

About Liam Tung

Liam Tung is an Australian business technology journalist living a few too many Swedish miles north of Stockholm for his liking. He gained a bachelors degree in economics and arts (cultural studies) at Sydney's Macquarie University, but hacked (without Norse or malicious code for that matter) his way into a career as an enterprise tech, security and telecommunications journalist with ZDNet Australia. These days Liam is a full time freelance technology journalist who writes for several publications.

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  • Naked is great BUT.....

    I use or rather would like to be using a naked service, but Telstra's rather mediocre network is really killing things. My service died 4 weeks ago and it will be another 8 weeks till Telstra might look into fixing it.
  • shame about upload counting

    I would go to nakid DSL but what is the point when they count upload. I have a business plan with IINET whats the point of that if they are counting upload and most of the connection bandwidth would be used by outgoing traffic.
    Turn off upload counting at least on business plans and I would consider nakidDSL
  • Don't blame Telstra

    If your provider has dropped your internet service, you can't blame Telstra - your not paying line rental so why would you be able to whinge if you line goes down?
  • yes blame telstra

    fanboi, iinet still pay telstra ull and lss. because they do it is telstra's responsibility to fix it and if they don't they *are to blame*. according to the laws you like to ignore.
  • Telstra Rips Moaning Customers

    Why should we pay Line rental when it is the comms providers resposibility to lay the cables. Moreover our forefathers have already paid the reaping profits for telstras lines and telstra still greedy on its mothers woomb. How pathetic!!
  • Upload Counting

    Don't discredit Naked DSL because iiNet count uploads. Just pick a different ISP.
    Exetel have very good naked dsl plans, come with a static ip address for free, and provide good voip services (with a stack of free calls included with your naked plan). What more could your business want?
    They also have a number of business plans available.
    I have been using them for years with no problems (only residential) and it would take a lot for me to change.