How Aussie Broadband’s Look-to-28 Strategy Aims to Transform the Telco Market

Strong Financial Performance Amid Market Transition

Aussie Broadband has reported a solid set of full-year results for FY25, showcasing an 18.7% increase in revenue to $1.187 billion and a 14.7% rise in underlying EBITDA to $138.2 million. This growth was driven by a 15% expansion in broadband connections and a growing NBN market share of 8.4%, reflecting the company’s successful positioning as a trusted telco brand with industry-leading customer service.

The company’s diversified business model, spanning residential, business, enterprise & government, and wholesale segments, continues to underpin its revenue growth and margin resilience. Notably, the integration of Symbio has delivered $6 million in synergies and a 35% pro forma EBITDA increase, reinforcing its role as a core growth driver in the wholesale segment.

Strategic Investments and Network Expansion

Capital expenditure of $77 million was deployed in FY25, including $18 million dedicated to expanding the Aussie Fibre network by 237 kilometres, now totaling nearly 2,000 kilometres. This fibre expansion is central to the company’s strategy to increase on-net and near-net connections, improve utilisation, and enhance margins. The launch of the proprietary Nitrogen wholesale platform further supports scalable growth by enabling wholesale partners to operate with greater efficiency and autonomy.

Operational productivity improvements also contributed to removing $11 million in operating expenses, while the company maintained a strong balance sheet with a net leverage ratio below 1.0x, providing flexibility for organic growth and potential acquisitions.

Look-to-28 – Ambitious Growth and Market Leadership

Aussie Broadband unveiled its Look-to-28 strategy, aiming for group revenue exceeding $1.6 billion by FY28, with an EBITDA margin target above 12.5% and EPS growth exceeding 20% CAGR. The plan focuses on expanding fibre infrastructure, enhancing customer experience across all segments, and leveraging security and digital capabilities to build a telco brand that customers love.

Key strategic moves include an exclusive six-year wholesale agreement with More and Tangerine, expected to add $12 million in annualised EBITDA from FY27 and boost broadband connections beyond one million. Concurrently, the company is divesting its digital-first brand Buddy Telco to Tangerine, with connections remaining on Aussie Broadband’s network, allowing focus on core growth areas.

Outlook and Market Positioning

For FY26, Aussie Broadband projects underlying EBITDA growth between 14% and 21%, supported by a capex guidance of $55-$60 million. The company is optimistic about accelerating mobile growth, capitalising on NBN speed upgrades, and expanding its wholesale footprint. The strong sales pipeline in enterprise and government sectors, including recent wins like the Accor hotel group, signals sustained momentum.

With a renewed leadership team and a realigned operating structure, Aussie Broadband is well positioned to navigate the evolving telecommunications landscape, balancing growth ambitions with disciplined capital management and shareholder returns through dividends and buybacks.