The company recorded its maiden operating profit in the financial year ending March 2001, with operating profit of $70 million, up from a $2 million loss in 2000. It also achieved strong EBITDA growth, with a 123% increase to $177 million. Revenues of $539 million were up 32% on the previous financial year.
In January 2001, Vodafone bought 3G radio spectrum, which will enable it to provide more mobile services including videoconferencing and advanced messaging. In April 2002, it acquired a further block from TelstraClear.
Since launching, the company has pumped millions into the business, including $200 million over several years into the network and another $50 million into distribution. Part of this expenditure has gone on new facilities for Auckland, including eight new sites. During the 1998-2000 period Vodafone increased the number of cell sites around the country by 63%. The company also updated its call centre with the building of a $7 million switch.
In July 2001, Vodafone purchased spectrum in the 890MHz to 900MHz frequency range to, in its own words, ‘improve existing services, not to offer new ones.’
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