(Reuters) - Australia's TPG Telecom <TPM.AX> on Thursday said it expects to experience the greatest financial impact in full year 2020 from customer migration to a state-owned broadband network.
The telco said the combined headwinds from residential Digital Subscriber Line - a type of broadband internet - and home phone customers moving to the National Broadband Network (NBN) are expected to be around A$85 million ($57.4 million).
TPG said it expects to have less than 15% of its residential broadband customer base remaining on Asymmetric digital subscriber lines - a variant of broadband communications technology - by the end of full year 2020.
Earlier this week, TPG's larger rival Telstra <TLS.AX> raised its 2020 core earnings range guidance slightly, anticipating that the worst impact of the NBN rollout would occur later than previously expected.
TPG reported a fall of about 13% in annual underlying profit at $376.2 million.
Annual profit including one-off items fell more than 56% to A$173.8 million, hurt by an impairment charge of about A$237 million on the company ceasing the rollout of its Australian mobile network in January.
TPG is currently fighting a case challenging the anti-trust regulator's move to block its about $10 billion merger with Vodafone's <VOD.L> local joint venture.
TPG declared a final dividend of 2 cents per share.
(Reporting by Aby Jose Koilparambil in Bengaluru; editing by Richard Pullin)
