New Zealand operator Chorus posted EBITDA of AUD 648 million for the year ended 30 June 2020, which was in line with February’s guidance of AUD 640 – AUD 655 million. Net profit after tax reached AUD 52 million, compared to AUD 53 million for the year ended 30 June 2019. Operating revenue for the period was AUD 959 million, down from AUD 970 million in the year-earlier period. 

Chorus completed the original Ultra-Fast Broadband (UFB1) fibre roll-out to 28 major towns and cities across the country in November 2019. The completion of the UFB1 rollout, together with the suspension of non-essential rollout and connection activity during the first COVID-19 lockdown, generated a decline in overall capital expenditure from AUD 804 million in FY19 to AUD 663 million this year, Chorus said.

Chorus ended June this year with 751,000 active fibre connections on its network, up from 610,000 n June 2019. In UFB1 areas uptake of fibre reached 63 percent, up from 54 percent in the year-earlier period, while in UFB2 areas uptake has already reached 37 percent.

Chorus to pay final dividend of 14 cents per share

Chorus has also announced it will pay a final dividend of 14 cents per share, fully imputed, on 12 October this year, to all shareholders registered on 15 September. A dividend reinvestment plan will apply for the final dividend at a discount rate of 2 percent. Applications to participate must be received by 16 September. 

FY21 guidance 

For the year ending 30 June 2021, Chorus expects its EBITDA to range between AUD 640 million and AUD 660 million, with capital expenditure between AUD 630 million and AUD 670 million. FY21 dividend has been set at 25 cents per share. Chorus has also updated its UFB2 programme guidance from AUD 505 – AUD 565 million to a new range of AUD 548 – AUD 568 million to reflect greater proportion of underground build and extended footprint of 1,000 premises.