NBN doubles its revenue

THE authority tasked with building Australia’s broadband network almost doubled the money it raked in over the past financial year.

NBN Co’s revenue hit $1.98 billion in 2017-18, compared to $1 billion the previous year, the corporation said in its latest annual report released yesterday.

A significant spike in the number of broadband services activated at homes and businesses is largely responsible for the boost, with 4 million properties having been activated at June 30.

NBN Co also earnt a little more from each of its customers in 2017-18, with its average revenue per user rising from $43 to $44.

But the corporation’s depreciation and amortisation expenses were also up for the year, rising 46 per cent to $2.2 billion.

That helped to bring its net loss after tax to $4.8 billion.

In a statement, chairman Ziggy Switkowski and departed chief executive Bill Morrow noted that NBN Co had not reached forecasts in its 2018-21 plan.

That was due to pausing sales for connections through its Hybrid Fibre Coaxial (HCF) network to make improvements and to improve the experience for those who are using it.

But NBN Co has no regrets about the move, the leaders suggest.

“We made conscious decisions to prioritise the experience of end users,” the pair wrote.

The corporation’s annual report has also laid bare the hefty pay packets of some of its executives.

Mr Morrow took home $3.1 million, down more than $300,000 from what he earned the previous year, while another four of the organisation’s top brass earned upwards of $1 million each during the period.

Recently departed ABC chair Justin Milne, chairman of NBN Co’s remuneration committee, said there had been “no material change” in the remuneration of senior executives in the past year.

Stephen Rue stepped into the chief executive role in September.