Hutch HK 1H profit up 41%

Robert Clark
03 Aug 2010
Daily News

Hutchison Telecom Hong Kong has announced a 41% rise in first-half profit, thanks largely to reduced network writedowns and the mobile data boom.

The fixed and mobile provider boosted total sales 5% to HK$4.28 billion ($550m), with its Hong Kong and Macau mobile operators growing data revenue 40% to $924 million.

In contrast to rival CSL, whose A$170 million ($155m) impairment charge forced parent Telstra cut its earnings guidance, Hutchison’s mobile group posted an operating profit of HK$361 million on 7% higher turnover of HK$2.8 billion.

Data accounted for a third of mobile sales – as much as the voice business - as it boosted postpaid ARPU to HK$214 from HK$202 for the same period last year.

The company attributed this to the recovery of the local economy “and an upturn in spending and traveling.”

The fixed-line business was flat at HK$1.6 billion, with operating profit of HK$226 million.

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