Im unsure whether i like this follow up announcement by ABB. All it shows to me is management being influenced by share price movements. This announcement today is a rehash of some of what they already announced. I thought yesterdays update was generally positive and in the long run a 20% fall will mean nothing if the company continues to execute. My message to ABB managemtlent is focus on execution and dont worry about pandering to market sentiment.

I did sell out my position on friday (pure luck on the timing), not because i dont like the business but because i thought the price was fully valued and i wanted some more cash buffer. But this announcement today kind of makes me roll my eyes.

Aussie Broadband upgrades network capacity through strategic backhaul deal

This deal increases ABB's nbn POis by over a 3rd. Which opens up great opportunity for the company. 

Aussie strategy of providing higher quality higher margin internet seems to be playing out. Their target of large business and corporates. The company keeps flagging their Carbon platform as the "game-changer" which helps them win and keep these corporate clients. Does anyone on strawman have real world experience with the Carbon platform? It would be awesome if someone has actually used it and how it compares to other platforms from other companies?

Highlights:

•        Five-year deal with Telstra Wholesale to provide fibre connectivity to 42 nbn POis (point of interconnect) and data centre connectivity not covered by Aussie Broadband's own fibre network

•        When combined with Aussie Broadband's own fibre network build, brings forward combined savings of $1m in FY22 and $15 million annually from FY 23 onwards

•        Provides a significant network upgrade capacity across the Aussie Broadband network

•        Is highly complementary to Aussie Broadband's own fibre network build

•        The upgrade underpins Aussie Broadband's strategy to increasingly target the enterprise and business market

A positive update for Aussie Broadband. They are well ahead of my assumptions in some areas, which give me great confidence in my valuation. Ill wait until full year results are released to reassess.

Highlights:

• 4Q FY21 Revenue grew 8% quarter on quarter (QoQ)1
• FY21 EBITDA excluding IPO costs is expected to be at the upper end of guidance ($17 million - $20 million)1
• 4Q overall broadband connections increased 7.4% and business broadband connections increased 12% on the previous quarter
• 4Q mobile services increased 20% from the previous quarter, from 18,684 to 22,454 connections
• Signed first white label customer
• Launched services on new Optus mobile virtual network operator (MVNO) agreement.

Aussie Broadband Limited (ASX:ABB) is pleased to provide the following trading update for the quarter ending 30 June 2021 (4Q FY21).

Over the quarter, Aussie Broadband has grown connections and revenue and expects EBITDA for the year excluding IPO costs to be at the upper end of the guidance provided on 28 May 2021 ($17 million to $20 million)1.

Overall broadband connections were 400,848, an increase of 27,790 or 7.4% QoQ. At the end of the quarter business broadband connections were 35,354, an increase of 3,825 or 12% QoQ, and mobile services were 22,454, an increase of 3,770 or 20% QoQ.

At the end of the quarter, Aussie Broadband had increased its market share of NBN services to 4.9%, up from 4.4% the previous quarter.

Revenue for the quarter was $100.1 million, an increase of $7.42 million or 8% QoQ

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02402360-3A571924?access_token=83ff96335c2d45a094df02a206a39ff4

Aussie Broadband have launched their new white label solution for other retail brands to sell Aussie's internet and VoIP services under their own brand. They have signed up their first undisclosed customer to this service. 

The company also provided a Q3 connections update. Adding over 26000 new retail and 4000 business broadband customers. A near 10% increase from Dec-20 to Mar-21.