Macau, China, 16 Apr - Companhia de Telecomunicacoes de Macau (CTM) chief executive officer said Wednesday that the company made a net profit of 706 million patacas( US$ 88.25 million) last year, a growth of 7.6 percent on 2007.

 

Vandy Poon Fuk Hei said that last year , CTM recorded a gross revenue of 2.4 billion patacas ( US$ 305 million), a year-on-year growth of seven percent.

Last year's profit was largely generated by the company's revenue between the first and third quarter-before global financial tsunami struck in the fourth quarter.

Due to the company's healthy profit, Vandy Poon promissed CTM would lower its tariffs for long-distance calls and leased circuits soon.

According with The Macau Post Daily Vandy Poon also said that CTM would continue to invest at least one billion patacas in the coming three years for the optimization of its broadband and mobile phone facilities, introduction of 3G aplication services, expansion of internet bandwidth and installation of a next-generation fibre-optic network particulary in residential buildings.

CTM's chief executive officer also pinted out that his company would reach a final agreement within this month with the Telecommunications Regulation Bureau ( DSRT) about the company's concessionary agreement wich ends on December 31,2011.

"CTM will relinquish its exclusive right to provide fixed telephone line services(...) this is our major contribution to the government's agenda on liberalising the market", he said.

Vandy Poon also said that the government's granting of a fourth 3G mobile telephone service licence this year would put additional pressure on the telecommunication market.

The CTM's CEO also warned against possible "market saturation" affecting the local market of mobile telephone services.

"With four 3G licences in place, in addition to the existing 2G operators going through a transition stage, there wold ultimately be eight mobile networks serving Macau with a population of just half a million", Vandy Poon also said..

The Macau government is expected to grant the fourth - and last- 3G licence in June.

CTM had a customer base of 440,220 for its mobile services last year.

CTM is a subsidiary of UK company Cable and Wireless, which has a 51 percent stake in the company, while Portugal Telecom owns 28 percent, CITIC Pacific Ltd owns 20 percent with the remaining one percent in the hands of the government of Special Administrative Region of Macau.

(Macaunews)