Hong Kong-based conglomerate Hutchison Whampoa reported a 42 percent fall in net profit for full-year 2008 today, but provided an upbeat outlook for its 3 Group mobile unit, forecasting that the business will breakeven this year. Hutchison’s net profit for the year fell to HKD17.66 billion (US$2.26 billion) from HKD30.60 billion in 2007, a year that saw its profits boosted by the sale of its stake in Indian operator Hutchison Essar to Vodafone. The result surpassed most analysts’ expectations. Total revenue grew 13 percent to HKD348 billion. Meanwhile, 3 Group saw losses (before interest and tax) reduce 39 percent to HKD10.9 billion from HKD17.9 billion in 2007. Hutchison said that “barring any significant adverse market developments or regulatory developments” it expects 3 Group to achieve a full year breakeven EBIT position in 2009.

The company said that all 3 Group markets reported improved results for the year with the exception of 3 Italia. The group’s total 3G customer base rose 7 percent to 20.7 million by year-end, including 2.5 million mobile broadband customers, up 305 percent from a year earlier. However, ARPU declined by 16 percent to EUR33.50 compared to 2007. The operator attributed the ARPU decline to reductions in mobile termination and roaming rates in certain markets, and the increase in the proportion of mobile broadband customers in its customer base.