Hutchison 3G Australia says that it has connected over 100,000 customers in ten months of operation. Hutchison Chief Executive Kevin Russell said 2003 was a significant year for Hutchison, marked by a 61% increase in mobiles revenue, strong customer growth in 3 and Orange and the prospect of even greater growth in 2004.

“In 2003 Hutchison set a platform to stake its claim as a major player in the Australian mobile market in the years ahead,” Mr Russell said. “We now have over 440,000 mobile customers across 3 and Orange.”

“In Orange, we significantly increased our sales rate in the second half, to post over 325,000 customers at year end. Strong growth is continuing in 2004, with more than 15,000 additions by close of business yesterday.

With ongoing cost discipline, we were able to record our third successive half-year of positive EBITDA performance in 2003, including our first full year of positive EBITDA.

“In 3, we have passed the 100,000 customer mark and our handsets, services and pricing offers have progressively built into a clearly differentiated product offering against our competitors.”

“Losses in 3 are consistent with our business plan and with our rapid growth in 3 and Orange we are working towards one million mobile customers across the two businesses by the end of 2005,” he said. “In Australia we have a jump of at least a year or two on our competitors – and 2004 is going to begin to show how important that lead is,” Mr Russell said.

The company reported total operating revenues of US$270 million, an increase of 50% on the previous corresponding year, and a net loss of US$324.6 million -- within the planned US$2.4 billion project funding cost.

Launched in Sydney and Melbourne in April, 3 contributed US$70 million to total revenue. EBITDA loss of US$242.5 million, reflecting start-up losses consistent with the business's early stage of development. Average revenue per user of US$63.37 and churn rate of 1.1%

Notes to the full year accounts however revealed Hutchison's current cash flow forecasts estimated "up to a further US$792 million" would be needed to keep 3 on track in 2004.