Aussie Broadband's Phillip Britt on the telco's plans to take on the incumbents

Despite the big three's stronghold on the Australian telecom market, an emerging challenger that started out in a living room in regional Victoria in 2003 continues to take market share.

"We have a strong aspiration to get to 10% market share by 2025, so we are rapidly honing in on that and continuing to grow the base," Aussie Broadband co-founder and managing director Phillip Britt said.

"We find we are continuing to attract customers even in the tight market that it is... We are the most trusted telco in Australia and people are putting their trust in us to come sign up with Aussie."

Over the past 12 months, Aussie Broadband's (ASX: ABB) share of the NBN market increased from 6.5% to 7.6%. 

It's also just delivered record profits for the financial year, with revenues lifting 23.1% to $788 million, NPAT lifting a whopping 1569.2% to $21.7 million and EBITDA lifting 52.1% to $89.6 million. Its gross margins are now sitting at 35.4%. 

This came in slightly under expectations, with analysts expecting $789.1 million in revenue and $27.4 million in NPAT for the financial year. 

But Britt says investors should expect higher margins and improved profits from its enterprise and government segment over the next 12 to 24 months. 

"We're seeing all the early signs that it's really going to work well," he added. 

In this C-Suite reporting season interview, Britt shared some of the key wins from the company's latest result, as well as some of the challenges Aussie Broadband is facing today - such as higher wage costs. 

Timecodes: 

• 0:24 - Key results from Aussie Broadband's FY23 result 
• 1:00 - What didn't go to plan
• 1:25 - Commentary on disappointing analyst expectations 
• 1:50 - The impact of wage inflation (and how it has offset this)
• 2:40 - ABB has an eye on churn as costs increase for consumers
• 3:14 - Market share hopes 
• 3:54 - Initiatives on the horizon: Enterprise and Government segment 
• 4:24 - What to expect over the next decade 
• 5:09 - Why investors should get excited about ABB over the next 12 months

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