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BRIEF-Telstra To Create 3 Legal Entities Within Group, Affirms FY21 Forecast

Published 12/11/2020, 08:17 am
Updated 12/11/2020, 08:18 am
© Reuters.

Nov 12 (Reuters) - Telstra Corporation Ltd TLS.AX :

* RECONFIRMS FY21 GUIDANCE

* EXPECT TOTAL ENTERPRISE BUSINESS TO RETURN TO GROWTH IN FY22 AFTER COMBINING MOBILE, DATA & IP, NAS AND INTERNATIONAL

* PROPOSED LEGAL STRUCTURE INCLUDES INFRACO FIXED, WHICH WOULD OWN & OPERATE CO'S PASSIVE/PHYSICAL INFRASTRUCTURE ASSETS

* UPDATED ROIC TARGET ACCORDINGLY TO BE AROUND 8 PERCENT BY FY23

* HAVE PLAN TO IMPROVE FIXED EBITDA AND ARE TARGETING A MID-TEENS NBN RESELLER MARGIN IN FY23

* PROPOSED LEGAL STRUCTURE INCLUDES INFRACO TOWERS, WHICH WOULD OWN & OPERATE CO'S PASSIVE/PHYSICAL MOBILE TOWER ASSETS

* EXPECT OUR TOTAL ENTERPRISE BUSINESS TO RETURN TO GROWTH IN FY22

* ON TRACK TO DELIVER $2.5 BILLION IN NET PRODUCTIVITY BY FY22

* PROPOSED LEGAL STRUCTURE WITHIN TELSTRA GROUP, EXPECTED TO BE COMPLETED BY DECEMBER 2021

* PROPOSED LEGAL STRUCTURE INCLUDES SERVECO, WHICH WOULD OWN RADIO ACCESS NETWORK & SPECTRUM ASSETS

* INTENDS TO START SEEKING INVESTMENT FROM THIRD PARTIES WHILE MAINTAINING CONTROL OF STRATEGIC TOWERS

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