Telecom has reported a net profit after tax of just over $1 billion for the six months to December 31, its first financial result since the demerger of Chorus.
Most of that, however, was due to accounting adjustments related to the Chorus spin-off, including a $863 million non-cash gain.
Adjusted net earnings after tax came in at $240 million and revenue was down 8.5 percent to $2.32 billion.
Telecom also announced it will buy back 200 million ordinary shares during 2012, worth around $300 million, with the effect of increasing the value of investors' shares by that amount.
Telecom's mobile revenues were up 12 percent on the first half of the prior financial year though its prepaid customer base is down by 92,000 connections, with 639,000 remaining on the CDMA network (due to be shut down in July).
Broadband revenues were up 5 percent.