10.05.2001
Far EasTone revises down financial forecasts

• No.3 cellular play Far EasTone has downgraded FY01 revenue forecast by 21.5%, to NT$34.5bn from NT$44bn, pretax earnings by 27% and net income by 12%, to NT$6.5bn from NT$7.4bn (EPS NT$3.44). The revision is due to stunted growth in subscriber numbers and reduced ARPU (Average Revenue Per User). TCC (4901.TT) and Chunghwa Telecom (2412.TT), respective no.1 and no.2 mobile plays, are taking more and more market share, intensifying competition in the sector. We expect these two dominant companies to post stronger growth compared to rivals.