Telstra said it expects to return to annual revenue and profit growth this year, after reporting lower results for its fiscal year to June 2011. In fiscal 2012, the company expects low single-digit revenue and EBITDA growth, continuing its improved performance in the second half of fiscal 2011. Capex is expected to remain at around 14 percent of sales, and free cash flow is estimated at AUD 4.5-5.0 billion, versus AUD 5.2 billion last year. The company also reiterated plans to maintain its dividend at AUD 0.28 per share. The NBN is not expected to have a material impact on financial results in 2012, the company said. In fiscal 2011, the company reported revenues up 0.7 percent to AUD 25.09 billion, while EBITDA fell 6.4 percent to AUD 10.15 billion and net profit dropped 17.5 percent to AUD 3.25 billion. The company attributed the lower result to spending on strategic initiatives to improve customer service, acquire customers and simplify the business. Revenue growth was led by the mobile business, up 10.7 percent to AUD 8.10 billion, while fixed revenues dropped 4.8 percent to AUD 9.50 billion, and Sensis fell 6.4 percent to AUD 1.79 billion due to lower Yellow Pages revenues. Telstra added 742,000 new mobile customers in the second half of the year for a total 12.2 million, and mobile revenue growth accelerated to 11.4 percent in the last six months. Mobile broadband revenue grew 18.9 percent over the full year to AUD 974 million, and Telstra had 2.6 million mobile broadband customers at the end of June, up by 409,000 from six months earlier. Fixed-line results were hurt by lower voice and wholesale revenues, while retail broadband grew by 1.4 percent to AUD 1.59 billion. Telstra added 158,000 new broadband customers in the year, as well as 190,000 customers for its T-Box and 175,000 for the T-Hub.
