Telstra Corporation Limited (TLS) reiterated full-year guidance provided in August but said its top line growth guidance has come under some pressure from the strength of the Australian dollar. The telco expects continued top and bottom line growth and free cash flow of $6 billion this financial year.

CEO, David Thodey, said guidance also excludes the impacts of any Government regulatory review or NBN outcomes and any unexpected outcomes from any ACCC wholesale pricing determinations.

“In conclusion ... these are challenging times for our company, our industry and our nation,” Mr Thodey said.

“A lot has happened in the last 6 months – and we still have significant work to complete in the coming months.”

Mr Thodey said expects the strength of the local currency to also have some impact on the company’s top line revenue growth.

In regards to the issue of the National Broadband Network, Mr Thodey said the company remains positively and constructively engaged with the Government, but is under no illusions as to the challenges it faces.

“This is an extremely complex negotiation as it covers so many different aspects of our business,” Mr Thodey said.

He assured shareholders at the company’s AGM that the Board and management would not agree to any proposals on the NBN, or separation, unless the company is convinced that it would deliver fair value.

In August Telstra reported a 10.3% increase to full year profit to $4.1 billion versus the previous corresponding period. Revenue rose 2.9% to $25.4 billion in the same period.  

As at 1100 AEDT, Telstra shares were up 2c to $3.24.