2degrees makes 2 per cent increase in profit

2degrees CEO Stewart Sherriff. Photo / Michael Craig.

10-year-old 2degrees, which first made it into the black in 2016, is continuing on its modest growth trajectory.

The telco made a net profit of $19.6m for the 12 months to December 31, 2018, according to a Companies Office filing posted today - a 2.6 per cent increase on the $19.0m net profit it booked for 2018.

Revenue rose 10 per cent to $805m from the year-ago $733m.

Ebitda was not included as a line item, but 2degrees says operating earnings increased to $131m from the year-ago $119m.

2degrees says a highlight was a 9 per cent increase in customers on contract, but its prepay subscribers sank 6 per cent - in part because of the closure of its 2G network.

Although now profitable and growing, a decade after its launch 2degrees still trails the Big Two by some margin.

Spark made Ebitda (ebitda plus investment income) of $489m on revenue of $1.75b in its half year to December.

Vodafone NZ had revenue of $1.99b in the year to March 31 and adjusted ebitda of $463m, according to un-audited accounts released around the Infratil-Brookfield deal

Total mobile customers

• Vodafone: 2.55m (41% on contract)
• Spark: 2.46m (49% on contract)
• 2degrees: 1.41m (31% on contract)

Fixed broadband customers

• Spark: 698,000
• Vodafone: 424,000
• Vocus (incl Orcon, Slingshot): 194,000
• Trustpower: 107,000
• 2degrees: 87,000