Uniti Group revenue, profit soar as fibre-to-the-premises rollouts ramp up

Fibre network operator and telco Uniti Group saw its revenue and profits soar as its deployment of fibre-to-the-premises (FTTP) networks ramped up throughout calendar year 2021, as well as deals with a number of multi-dwelling apartments.

In the half year ended 31 December 2021, Uniti reported revenue of $109.5 million, up 101 percent year over year from $54.6 million, while net profit after tax was $29.3 million, up 650 percent from $3.9 million the previous year.

The growth came during a period where Uniti did not make any acquisitions, focusing on the integrations of OptiComm and former Telstra subsidiary Velocity. Uniti said the growth was driven by FTTP deployments and securing strategic partnerships with developers of multi-dwelling apartments and broadacre housing developments.

Uniti said it added 51,000 new contracted FTTP premises during the half-year and 115,000 new contracted FTTP premises in calendar year 2021, putting the total contracted or in construction premises to around 292,000 as of 31 December 2021.

“Our commitment to our shareholders is to build a strong, sustainable company. We are doing that by continuing to win in market, building best-in-class fibre access networks and filling those networks with customers – ‘Win, Build, Fill’ remains our core strategy.” Uniti Group managing director and chief executive Michael Simmons said.

“Our results for the first half of FY22 again illustrate the exceptional platform we have built, delivering high growth from purely organic endeavours, whilst expanding margins, building our operating leverage as we increase the number of active premises, providing protection against macro inflationary pressures.”

Simmons added some 90 percent of Uniti’s earnings are now generated from high margin, recurring, annuity revenues from its FTTP networks, and the company expects that number to increase in the following years.

“With integration and simplification largely completed in 2021, Uniti is now primed for continued organic growth in greenfields and adjacent property markets and inorganic growth through asset acquisitions aligned to our core infrastructure business,” Simmons said.