TPG Telecom just posted a 69% profit rise on its iiNet purchase and Vocus play

China’s Tiangong 2 space lab is launched. AFP/Getty Images

Billionaire David Teoh’s TPG Telecom just posted a massive 69% rise in full year profit to $379.6 million.

The company’s shares were hammered in early trade because investors didn’t like the latest guidance for 2017. A short time ago, they were down more than 15% to $$9.96.

The result was boosted by the $1.56 billion takeover of iiNet which made TPG the second largest fixed line internet provider in Australia.

Revenue was up 88% to $2.388 billion.

The company also made $17.6 million profit on a part disposal of its interest in rival telecoms player Vocus.

Excluding irregular items, underlying EBITDA (earnings before interest, taxes, depreciation, and amortisation) for the year was up by 60% to $775.3 million, including a maiden contribution from iiNet of $248.9 million in just over 11 months since the acquisition.

The 2017 guidance was set at an underlying EBITDA in the range of $820 million to $830 million, a rise of 6% or better.

The company declared a fully franked final dividend of 7.5 cents a share, bringing the total full year payout to 14.5 cents, an increase of 26%.

Earlier this month TPG announced a bid for Singapore’s fourth mobile phone licence.

A summary of the results:

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