Telstra Corporation (ASX: TLS) has updated the market about a recent announcement by nbn co to cease sales on hybrid fibre co-axial (HFC) technology for six to nine months from 11 December 2017. nbn co has particularly halted the rollout of super-fast broadband delivered over pay television cables at the back of issues relating to service drop-outs. It has been said that the experience with the hybrid fibre co-axial rollout has been resulted from the frequency band that nbn was using.
Accordingly, Telstra signalled the market that its FY18 guidance included an assumption that the nbn rollout would be broadly in accordance with the nbn Corporate Plan 2017. nbn co subsequently issued its Corporate Plan 2018 on 31 August 2017. TLS will now evaluate the effect of the above announcement in light of the nbn co Corporate Plan 2018 on TLS FY18 outlook. The group would update the market accordingly. At the moment, the delay in the nbn rollout will delay a proportion of the payments to the Company from nbn into future periods.
TLS stock edged slightly low on November 27, 2017.
Disclaimer
The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkine.com.au and associated pages are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). The information on this website has been prepared from a wide variety of sources, which Kalkine Pty Ltd, to the best of its knowledge and belief, considers accurate. You should make your own enquiries about any investments and we strongly suggest you seek advice before acting upon any recommendation. Kalkine Pty Ltd has made every effort to ensure the reliability of information contained in its newsletters and websites. All information represents our views at the date of publication and may change without notice. To the extent permitted by law, Kalkine Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss or data corruption). If the law prohibits this exclusion, Kalkine Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services. There may be a product disclosure statement or other offer document for the securities and financial products we write about in Kalkine Reports. You should obtain a copy of the product disclosure statement or offer document before making any decision about whether to acquire the security or product. The link to our Terms & Conditions has been provided please go through them and also have a read of the Financial Services Guide. On the date of publishing this report (mentioned on the website), employees and/or associates of Kalkine Pty Ltd do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.