Analyst Note
| Brian Han |We lift our fair value estimate on Spark New Zealand by 4% to NZD 4.90 per share, or AUD 4.50 at current exchange rates, mainly reflecting upgrades to our mobile earnings expectations. The key driver of the in-line 3% growth in fiscal 2023 group EBITDAI to NZD 1,188 million (excluding a NZD 5 million one-off gain) was wireless. Mobile service revenue was up 9%, with management guiding to a further 5% lift in fiscal 2024. The strength was such that mobile more than offset earnings declines in all other units (except procurement), and positive trends in wireless operating metrics are set to continue.