Q4 FY25 Connections Update

Chorus Limited
Level 10, 1 Willis Street
P O Box 632
Wellington
New Zealand

Email: company.secretary@chorus.co.nz


STOCK EXCHANGE ANNOUNCEMENT

11 July 2025


Q4 FY25 Connections Update

Chorus today released its connections update for the Q4 period to 30 June.

Data demand steps up in winter months

The quarter featured a strong step up in data demand with average monthly usage
consistently above 670 gigabytes (GB) in April, May and June. Fibre usage in June
averaged 671GB compared to 642GB in April.

The increase through the quarter was likely driven by ongoing changes in consumption
combined with holidays, winter streaming habits and gaming updates. A new record for
daily usage on the network of 30 petabytes, the equivalent of 30 million gigabytes,
coincided with a Fortnite gaming update on 8 June. June also saw the proportion of fibre
users consuming more than 1,000GB in a month, or 1 terabyte of data, near 19% for the
first time.

Steady fibre connection growth

Total fibre connections increased by about 8,000 lines in the quarter to 1,115,000. This
growth more than offset a decline of about 6,000 copper lines in Chorus’ fibre areas.

Fibre uptake in UFB2 rollout areas, completed between 2018 and the end of 2022, rose
from 61% to 62%. Fibre uptake across Chorus’ wider fibre network footprint, excluding
other local fibre company areas, lifted by 0.1% to 72.1 %.

Another 7,000 addresses were passed by fibre in the period. This included about 2,000
addresses covered by Chorus’ network extension project for existing homes in smaller
communities. Half of the more than 9,000 planned addresses can now connect, with
1,200 connections activated so far.

Chorus boosts home fibre plan speeds

Chorus completed its Big Fibre Boost for retail partners in June, lifting home fibre
50/10Mbps plans to 100/20Mbps and 300/100Mbps plans to 500/100Mbps, at no extra
wholesale cost. Retailers are now enabling the upgrade for their customers.

The Home Fibre Starter plan, now 100/20Mbps, remained popular in the challenging
economic environment with another net 11,000 connections added in the quarter. About
67% of gross adds on the plan were from new fibre connections or off-net addresses, and

another 6% transferred from legacy low-speed plans. Just over a quarter of the gross
adds were from higher speed plans.

Residential demand for speeds of 1Gbps and above remained resilient with another 1,000
connections added in the quarter and Hyperfibre demand close to 5,000 connections.

Copper retirement in Chorus fibre areas by mid-2026

Chorus’ total fixed line connections reduced by 7,000 lines, consistent with the trend in
the prior quarter. This reflected the combination of reducing demand for copper
connections, partly offset by growth in fibre connections.

Another 15,000 copper lines disconnected in the quarter, leaving about 92,000 in service
nationwide at the end of June. Just 13 ,000 of these lines remain in service in Chorus’
fibre areas, with copper services in these areas on track to be retired by mid-2026.

In areas where fibre is not available, Chorus saw about 7,000 copper customers choose
to migrate to alternative network options in the quarter. This leaves approximately
68,000 copper lines outside of the existing fibre footprint. Based on this rate of decline
and market estimates, Chorus expects that satellite connections will very soon overtake
the number of copper connections in rural areas, if they haven't already.

In March, the Commerce Commission released a draft recommendation that copper voice
and broadband services should be deregulated given the wide availability of alternative
technologies. A final recommendation is due to Government by the end of 2025.

As part of the copper network retirement, Chorus is committed to a clear, consumer-
centric retirement process that supports the transition of customers still on copper to
modern services.

Improving rural connectivity

Chorus has also proposed expanding fibre from 87% to 95% of New Zealanders to
deliver better socio-economic outcomes for homes and businesses currently beyond the
fibre footprint. This proposal was one of 17 infrastructure initiatives recently endorsed by
the government’s Infrastructure Commission. While this endorsement is independent of
any government funding decisions, it highlights both the importance of improving rural
connectivity and the need for a coordinated strategy to support it.

Authorised by:

Mark Aue
Chief Executive Officer

ENDS


For further information:

Victoria Luong
Media and engagement advisor
Phone +64 22 490 259 1
Email: Victoria.Luong@chorus.co.nz

Brett Jackson
Investor Relations Manager
Mobile: +64 (27) 488 7808
Email: Brett.Jackson@chorus.co.nz

---

Q4 FY25
CONNECTIONS
U P DAT E

2
Q4 FY25 CONNECTIONS UPDATE
Q4 FY25 overview
>Fibre connections (including non-address points and LFC areas) increased 8k (Q3 FY25: +9k) to 1,115,000
•in Chorus fibre areas, an 8k increase in fibre broadband connections more than offset a 6k reduction in copper lines
•Chorus completed its Big Fibre Boost for retail partners in June, lifting home fibre 50/10Mbps plans to 100/20Mbps and
300/100Mbps plans to 500/100Mbps at no extra wholesale cost
•Home Fibre Starter (now 100/20Mbps) connections grew by net 11k connections with 67% of growth from new and
offnet addresses
•residential connections of 1Gbps and above grew 1k with Hyperfibre connections reaching ~5k
>Chorus’ fibre footprint now covers 1,532,000 addresses (excluding LFC areas)
•fibre passed another 7,000 addresses in Q4 (Q3: +5k), including fibre to ~2k existing homes in smaller communities
•uptake in UFB2 areas lifted from 61% to 62%
•overall fibre uptake grew 0.1% to 72.1% of passed addresses in Q4 (Q3: +0.3%)
>Total fixed line connections* declined by 7k (Q3: -7k) and now total 1,207,000
•copper broadband connections declined by 10k (Q3: -10k) and copper voice connections declined 5k (Q3: -5k)
•copper lines in non-fibre areas declined by 7k (Q3: -5k) with 68k remaining
>Average monthly data usage on fibre grew to 671GB in June (March:642GB)
•average fibre usage was consistently over 670GB in April, May and June
•the proportion of terabyte users (i.e. consuming 1,000GB+ a month) was ~19% in June (March: ~17%)
•record daily usage of 30 petabytes on 8 June coincided with a Fortnite gaming update
*includes ~2,000 broadband connections Chorus is subsidising for lower socio-economic households

3
Q4 FY25 CONNECTIONS UPDATE
31 March
2024
30 June
2024
30 Sept
2024
31 Dec
2024
31 March
2025
30 June
2025
Baseband
copper
(no broadband)
51,00045,00040,00034,00029,00024,000
Copper ADSL
(includes naked)
62,00056,00049,00044,00039,00034,000
VDSL
(includes naked)
62,00055,00049,00044,00039,00034,000
Data services
(copper)
1,0001,0001,0001,000NMNM
Fibre broadband
(GPON)
1,064,0001,074,0001,083,0001,089,0001,098,0001,106,000
Fibre premium
(P2P)
10,00010,0009,0009,0009,0009,000
Total
connections*
1,250,0001,241,0001,231,0001,221,0001,214,0001,207,000
Copper connections
declined 15k in Q4 and
total 92k
Fibre connections grew 8k
in Q4 and total 1,115k
*includes ~2,000 broadband connections Chorus is subsidising for lower socio-economic households
Copper comprises less than 8% of Chorus connections

4
Q4 FY25 CONNECTIONS UPDATE
Fibre uptake reaches 72.1%
72.1% fibre uptake across 1,532,000
passed addresses*
•uptake grew +0.1% in Q4
•+8k fibre connections to addresses**
•+7k addresses passed in Q4, including
~2k addresses as part of Chorus’ fibre
expansion programme to smaller
communities
•13k installations in Q4 (Q3:13k)
•240k inactive fibre sockets (Q3: 235k)
71
71.2
71.4
71.6
71.8
72
72.2
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
30-Jun-2430-Sep-2431-Dec-2431-Mar-2530-Jun-25
Fibre connectionsInactive fibre sockets***
Addresses passedFibre uptake (%)
*based on independent address data and Chorus network data for addresses passed by fibre; excludes Chorus fibre in Local Fibre Company (LFC) areas
** includes ~7k fibre premium connections to addresses; excludes smart location (GPON) connections and connections in LFC areas
*** not active on 30 June 2025
%

5
Q4 FY25 CONNECTIONS UPDATE
50
55
60
65
70
75
80
AucklandDunedinWellington
Uptake, by urban area,
for fibre passed addresses
Jun-24Sep-24Dec-24Mar-25Jun-25
•Auckland uptake down 0.1% to 76.3% with
address growth outpacing connection growth
•Dunedin uptake grew 0.1% to 76.5%
•Wellington uptake grew 0.1% to 70.9%

Note: uptake is measured across “urban areas” as defined by
Statistics NZ, rather than the original UFB rollout areas
Uptake (%)
Fibre uptake by city

6
Q4 FY25 CONNECTIONS UPDATE
Fibre ‘boost’ completed for more than 700k homes
•Home Fibre Starter (now 100/20Mbps) connections grew by net 11k connections to 88k with 67% of gross adds from new
fibre connections or offnet (up 1% from Q3), 26% from higher speed plans, and 6% from legacy low-speed plans
•residential connections of 1Gbps and above grew 1k with Hyperfibre connections reaching ~5k
•Chorus completed its Big Fibre Boost for retail partners in June, lifting home fibre 50/10Mbps plans to 100/20Mbps and
300/100Mbps plans to 500/100Mbps at no extra wholesale cost. Retailers are now enabling the upgrade for their
customers.
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
Jun-24Sep-24Dec-24Mar-25Jun-25
Residential
2Gbps+1Gbps500Mbps300Mbps
200Mbps100Mbps<100MbpsVoice
0
20,000
40,000
60,000
80,000
100,000
120,000
Jun-24Sep-24Dec-24Mar-25Jun-25
Business
2Gbps+1Gbps500Mbps300Mbps
200Mbps100Mbps<100MbpsVoice
60%
25%
32%
61%

7
Q4 FY25 CONNECTIONS UPDATE
Connection changes by zone* (indicative as at 30 June)
Other fibre
company (LFC)
zone
Copper lines (no broadband)5,000Copper connections are declining as Chorus
retires its copper network and customers
migrate to Local Fibre Company and fixed
wireless networks.
Copper broadband lines6,000
Fibre broadband lines (GPON)4,000
TOTAL15,000
Non-fibre
addresses (i.e.
Chorus fibre not
available)
Copper lines (no broadband)12,000Ongoing decline in copper connections as
customers migrate to alternative mobile/fixed
wireless/satellite networks.
Copper broadband lines56,000
TOTAL68,000
Chorus fibre zoneCopper lines (no broadband)7,000Covers all addresses outside of LFC UFB rollout
zone where Chorus fibre is available. Fibre
footprint is growing as a result of network
expansion and new property development.
Copper connections are reducing as Chorus
retires its copper network.
Copper broadband lines6,000
Fibre broadband lines (GPON)1,099,000
TOTAL1,112,000
Quarterly change (’000s) by zone
-2
-4
-3
-4
-3
-2
-1
-2
-1
-2
-1
-1
-1
-1
-4
-5
-4
-6
-7
-5
-4
-4
-5
-5
-1
-1
-2
-2
-1
8
8
6
9
9
1
0
-15-5515
Q4 FY25
Q3 FY25
Q2 FY25
Q1 FY25
Q4 FY24
Q4 FY25
Q3 FY25
Q2 FY25
Q1 FY25
Q4 FY24
Q4 FY25
Q3 FY25
Q2 FY25
Q1 FY25
Q4 FY24
Copper line onlyCopper broadband
Fibre broadband
* Excludes ~12k fibre premium and smart location connections

8
Q4 FY25 CONNECTIONS UPDATE
Just 92k copper lines remaining; 68k outside fibre footprint
0
10
20
30
40
50
60
70
80
90
100
Copper voice
Copper broadband
Chorus fibre zone
LFC fibre zone
Non fibre zone
Copper connections able to be withdrawn with 6
months’ notice where fibre is available
Connections
(thousands)
>Chorus’ fibre zone:
•13k copper lines in service, with full withdrawal
expected by mid-2026
>Non-fibre zones:
•68k copper lines remaining, down 26% in FY25
•Chorus’ fibre extension rollout (~9k premises)
is largely complete with 4.5k premises ready
for service and 1.2k connected to date

9
Q4 FY25 CONNECTIONS UPDATE
Monthly data usage on fibre consistently above 670GB in Q4
312
671
0
100
200
300
400
500
600
700
Jun-20
Sep-20
Dec-20
Mar-21
Jun-21
Sep-21
Dec-21
Mar-22
Jun-22
Sep-22
Dec-22
Mar-23
Jun-23
Sep-23
Dec-23
Mar-24
Jun-24
Sep-24
Dec-24
Mar-25
Jun-25
CopperFibre
Data
usage
(GB)
* includes upstream traffic
Monthly average data usage per connection*
•monthly average data usage on fibre lifted to 671
gigabytes (GB) in June vs 642GB in March
•the proportion of fibre connections using more than 1
terabyte of data was ~19% vs ~17% in March
•copper usage was 312GB (March: 289GB)


Average throughput in June (2020-2025), by time of day

10
Q4 FY25 CONNECTIONS UPDATE
Commerce Commission monitoring shows benefits of fibre
0
10
20
30
40
50
60
Average latency at peak time (idle),
by broadband technology
Source: Measuring Broadband NZ, Report 24, June 2025: Figure 15
0
50
100
150
200
250
300
Fibre MaxFibre 300LEO
satellite
(lite)
Fibre 50VDSL4G FWA
Time to download 79.5GB gaming file
via Xbox Live, by broadband
technology
Source: Measuring Broadband NZ, Report 24, June 2025: Figure 22
Milliseconds
(lower is better)
Minutes

11
Q4 FY25 CONNECTIONS UPDATE
Telco sector regulatory review announced in June
>Ministry for Regulation review:
•Purpose: to ensure that the current regulation
remains fit for purpose in light of technology and
market changes
•In scope:
oshareholder cap and constitutional restrictions
oconsideration of telecommunications service
obligations (TSO)
omethodology for allocating the
Telecommunications Development Levy (TDL)
across telecommunications service providers and
consumers
oRetail Service Quality (RSQ) regulation
(Part 7 of the Act)
oFibre Fixed Line Access (FFLA) services
regulation (Part 6 of the Act)
oFibre service regulations (Part 4AA of the Act),
noting that the vertical separation of wholesale
and retail fibre services is out of scope.
Note: this review is separate from the Commerce Commission’s copper services investigation (draft decision to deregulate) and the
Input Methodologies review.