Optus

Australian Telecomunications Update


Market analyst, UBS has the following market commentary with regards to the Australian telecommunications sector. TLS has performed in-line with the market (ASX200INDXF) ytd (+1.7%) with a nominal re-rating (+8.2%) driven by H107 results and a lack of a competitive response. SGT has underperformed (-8.8%) after outperforming in CYQ406 (+21%) while TEL continues to be plagued by domestic woes despite YPG sale optimism (-10.7%). A draft ACCC cost model prices MTA 50% below current rates (12c); TLS would be a net beneficiary everything else being equal.

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