Telecom New Zealand announces lowers earnings outlook [2010-04-15]

Forums › Spark New Zealand (including Skinny and BigPipe) › Telecom New Zealand announces lowers earnings outlook [2010-04-15]

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scorpiworld

192 posts

Master Geek

#319547 16-Apr-2010 22:41

walt12: XT connections are 585,000 at 31 Mar, up 128,000 on 31 Dec.

Assuming some loss of customers to 2degrees & Vodafone, how do we account for this? Movements from CDMA?

With all the noise about job cuts and profit downgrades it's taken me 24 hours to see this. First guess is people are walking around with 3 SIM's (XT, VF, 2D), a couple UMTS / GSM devices and CDMA block! ;)

kyhwana2

2566 posts

Uber Geek

#319567 16-Apr-2010 23:53

sbiddle:
Goodbye Telecom. Googbye New Zealand economy.

People just don't realise the implications of what they're wishing when they want NZ's 2nd largest listed company to die.

So when is Biddle Corp buying out Telecom NZ then? ;)

richms

28191 posts

Uber Geek

Trusted

Lifetime subscriber

#319568 16-Apr-2010 23:56

Hopefully they can put a cellsite on beach haven point before the money all runs out for that sort of thing..

Richard rich.ms

NonprayingMantis

6434 posts

Uber Geek

#319598 17-Apr-2010 08:44

scorpiworld:
walt12: XT connections are 585,000 at 31 Mar, up 128,000 on 31 Dec.

Assuming some loss of customers to 2degrees & Vodafone, how do we account for this? Movements from CDMA?

With all the noise about job cuts and profit downgrades it's taken me 24 hours to see this. First guess is people are walking around with 3 SIM's (XT, VF, 2D), a couple UMTS / GSM devices and CDMA block! ;)

industry standard (worldwide) is to report prepaid customer numbers on a 6 month active basis.

this means that any customer who has used their phone at all in the last 6 months counts.

If, hypothetically, 100,000 prepaid XT customers left and moved to Vodafone or 2D in Feb, then this would be reported in the 'gain' number for voda and 2D, but wouldnot show up as churn for Telecom until July or August.

walt12

324 posts

Ultimate Geek

#319602 17-Apr-2010 09:02

NonprayingMantis:
scorpiworld:
walt12: XT connections are 585,000 at 31 Mar, up 128,000 on 31 Dec.

Assuming some loss of customers to 2degrees & Vodafone, how do we account for this? Movements from CDMA?

With all the noise about job cuts and profit downgrades it's taken me 24 hours to see this. First guess is people are walking around with 3 SIM's (XT, VF, 2D), a couple UMTS / GSM devices and CDMA block! ;)

industry standard (worldwide) is to report prepaid customer numbers on a 6 month active basis.

this means that any customer who has used their phone at all in the last 6 months counts.

If, hypothetically, 100,000 prepaid XT customers left and moved to Vodafone or 2D in Feb, then this would be reported in the 'gain' number for voda and 2D, but wouldnot show up as churn for Telecom until July or August.

Thanks for the clarification. I suppose we look for some delayed fallout later in the year then. Notably, lower mobile revenues was mentioned as a reason for the profit guidance downgrade. This wouldn't all be due to just increased regulatory interference and lower MTRs. More likely some combination of a loss of customers and increased competition forcing down retail pricing.

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