NBN forecasts slightly lower revenue and earnings for FY22

Sticking to its mantra that publishing long term forecasts could hurt the company responsible for the National Broadband Network, the NBN Co Corporate Plan 2022 has restricted itself to stating finances for the current fiscal year.

"NBN Co is targeting annual revenue and other income in FY22 of between AU$5 billion to AU$5.2 billion and EBITDA in the range of AU$3 billion to AU$3.2 billion," the company said in a rare mention of fiscal information. Unlike in years past, it did not state net profit nor capital expenditure for the coming year.

Compared to the last year's set of figures that did, the company said it was previously expecting revenue to be AU$5.3 billion, earnings before interest, tax, depreciation, and amortisation (EBITDA) to be AU$3.3 billion, and to post a net loss of AU$2.2 billion. Capital expenditure for FY22 was previously flagged as AU$3.8 billion.

On topics it would talk about, NBN said it was on track to get 75% of its footprint, around 8 million premises, capable of handling 1Gbps ultrafast speeds by 2023.

Last year: Backflip to the home: NBN to upgrade FttN areas with fibre

"From a total fixed-line network perspective, and in less than a year, the proportion of customers now able to access our ultrafast plans has doubled to 40% and is climbing higher every month," CEO Stephen Rue and chair Ziggy Switkowski wrote.

"We have also made considerable progress in our hybrid fibre coaxial (HFC) network enhancement program. This program has seen the proportion of HFC customers able to access NBN Co's higher [1Gbps] wholesale speed plan .... increase from 7% in May 2020, to 90% today."

The company added that all 2.5 million HFC premises could access download speeds of up to 250Mbps.

To hit its 75% target, NBN said its entire single-dwelling premises within the fibre to the curb (FttC) footprint would be able to be upgraded to full fibre connections when customers wanted speeds over 250Mbps. The first customers will be able to do so in 2022.

The company added it has 11,000 complex installations remaining in its footprint.

Rue and Switkowski added the network was tested and "passed with flying colours" in the previous year.

NBN details 300,000 further FttN upgrade areas

Building from its previous announcements, NBN said on Tuesday it had added 300,000 premises to its fibre to the node (FttN) upgrade plans, taking the total to 1.4 million premises. NBN is planning to make FttN on-demand upgrades available to 2 million premises when an order is placed for a service over 100Mbps.

NBN is set to conduct a "small-scale launch" in November to allow the first customers to place orders with retailers for upgrades.

The new areas to get upgrades are listed below, broken down by state.

New South Wales
Albion Park Rail, Alstonville, Ambarvale, Avalon Beach, Banora Point, Beaumont Hills, Berkeley, Brighton-Le-Sands, Broulee, Bundeena, Callala Bay, Callala Beach, Campbelltown, Currans Hill, Dalmeny, Farmborough Heights, Figtree, Glen Alpine, Glenmore Park, Glenwood, Goonellabah, Goulburn, Harrington Park, Kellyville, Kellyville Ridge, Keiraville, Lake Heights, Lennox Heads, Mollymook Beach, Mount Warrigal, North Nowra, Palm Beach, Pottsville, Rouse Hill, Ruse, Stanhope Gardens, Sussex Inlet, Sutherland, The Ponds, Tweed Heads, Tweed Heads South, Unanderra, Warrawong, Windang, Yamba.

Victoria
Beaconsfield, Berwick, Craigieburn, Echuca, Kialla, Mornington, Narre Warren South, Lakes Entrance, Myrtleford, Newport, Packenham, Port Fairy, Sunbury, Tarneit, Traralgon, Wangaratta, Warrnambool, Williamstown, Williamstown North, Woori Yallock.

Queensland
Battery Hill, Bellbowrie, Bli Bli, Brassall, Brinsmead, Coomera, Darling Heights, Edmonton, Condon, Harristown, Maroochydore, Moggill, Newtown, Oakey, Palm Cove, Redland Bay, Sippy Downs, Smithfield, Springfield Lakes, Toowoomba City, Upper Coomera, Yorkeys Knob.

South Australia
Clovelly Park, Craigmore, Findon, Mitchell Park, Morphett Vale, Rosewater, Woodville South.

Western Australia
Armadale, Atwell, Bassendean, Bayswater, Beaconsfield, Cannington, Claremont, Forrestfield, Fremantle, Innaloo, Morley, Myaree, Piarra Waters, Port Kennedy, Rockingham, Safety Bay, Seville Grove, Shoalwater, Stirling, Waikiki, Wattle Grove, White Gum Valley, Willagee, Wilson.

Related Coverage

• Victoria pours AU$73 million into NBN trust for full fibre upgrades
• ACCC adopting a wait-and-see approach to NBN promo upgrades
• Telstra CEO wants NBN to tell telcos copper line speeds to prevent misleading sales
• NBN clears positive full-year EBITDA hurdle for first time
• NBN received almost 10,000 performance complaints for HFC from February to May