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SA’s Telkom losing fixed-line penetration battle

SA’s Telkom losing fixed-line penetration battle

Telkom increased its ADSL subscriber based by just 5.2 per cent during the year ending March 31, 2013, while its fixed-line penetration rate dropped to 7.3 per cent (5.2 per cent down on March 2012).

HumanIPO reported earlier today on South Africa’s part state-owned fixed line giant’s financial results, which included a 1.7 per cent drop in operating revenue and headline earnings per share (HEPS) falling by 73.2 per cent.

The published end of year results also included details of its customers performance.

The total number of fixed access lines owned by Telkom is 3.8 million – 2.4 million of which are post paid.

Not only has the number penetration of fixed lines gone down, but revenue per fixed line is also down, falling 1.4 per cent to ZAR4,581 (US$464) per line.

The total number of mobile subscribers in the group is now almost 4.2 million, representing 36.8 per cent growth on the previous year, but active mobile users is only thought to be 1.5 million which is only a 3.4 per cent growth.

The Telkom Group has altered its mobile significantly over the past few months by introducing Telkom Mobile alongside its 8ta brand in a bid to attract higher-end customers.

Posted in: Telecoms

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