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Telstra Corporation Limited

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Telstra Corporation Limited
1.0 Background of the company
Telstra Corporation Limited is a telecommunications and media company, which is a leading provider of mobile phones, mobile devices, home phones, broadband internet and operating telecommunications networks in Australia. Telstra’s goal is to be one of the most admire, respected and trusted telecommunication companies in the world with their four strategic priorities of improving customer satisfaction, retaining and growing our customer numbers, simplifying the business, and developing new growth businesses (Telstra Corporation Limited, 2012). With its successful in Australia, Telstra has also operates entities in other foreign countries. Beside some offshore controlled entities that provide managed network services, international data and satellite across Asia Pacific, China, India, Europe and Africa, Telstra also has two largest telecommunications provider and mobile operator in New Zealand and Hong Kong, which are TelstraClear and CSL New World (Telstra Corporation Limited, 2010). According to the latest Telstra’s annual report (2012), the company’s strategy will be continue to provide customers and shareholders an opportunity to gain more benefits, with an increased focus on customer service leading to strong customer retention and acquisition in the next few years.

2.0 Telstra’s financial analysis 3.1 Summary of key revenue and profit data Telstra Corporation Limited | 2008 ($m)1 | 2009 ($m)2 | 2010 ($m)3 | 2011 ($m)4 | 2012 ($m)5 | Sales revenues | 24,657 | 25,371 | 24,813 | 24,983 | 25,232 | Other revenues | 171 | 136 | 104 | 110 | 136 | Total revenues | 24,828 | 25,507 | 24,917 | 25,093 | 25,368 | Profits before tax | 5,140 | 5,658 | 5,538 | 4,557 | 4,934 |
Table 1. Key revenue and profit data of Telstra Corporation Limited
As can be clearly seen in Table 1, the revenues of Telstra Corporation Limited have risen to $25.5 billion in 2009 and fall down to $24.9 billion in the next year. According to

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