Vodafone's books were back in the black after three years in the red as the country's biggest mobile operator boosted revenue in an increasingly competitive telecommunications sector.
Auckland-based Vodafone reported a profit of $57.5 million in the 12 months ended March 31, turning around a loss of $18.3m a year earlier, financial statements lodged with the Companies Office show.
Revenue edged up 2.8 per cent to $2.05 billion, a 2.7 per cent increase in cost of sales to $979.5m.
The bottom line was buoyed by 72 per cent slide in net finance costs to $41.8m, which largely come from related party loans owed to its UK parent, which totalled about $1.01b as at March 31, down from $1.15b a year earlier.
Earnings before interest, tax, depreciation and amortisation rose 8 per cent to $423.3m, beating the 3 per cent increase in arch-rival Spark's 3 per cent ebitda gain to $1.02b in the June year reported last week.
Vodafone's ebitda margin widened to 20.7 per cent from 19.6 per cent a year earlier, but is lagging behind Spark's 28 per cent.
Earlier this year, Vodafone Group noted New Zealand's service revenue increased 0.8 per cent in the year "with strong fixed performance and mobile customer growth across both consumer and enterprise".
The local unit of the global telecommunications giant had sought to build the country's biggest telecommunications and media group in a merger with Sky Network Television, but was batted away by the Commerce Commission which deemed the tie-up would centralise too much power into the entity.
The companies have since given up on appealing the decision, instead looking for ways to develop their existing commercial relationship.