Managing investment cost and accelerating private-sector partnerships are TOT Plc's strategic goals as it seeks to ensure the highest possible level of productivity and the lowest costs.
The state telecom enterprise hopes to make a profit this year despite the initial projection of a 10-billion-baht loss, said Gen Surapong Suwana-adth, the new chairman of TOT's board.
Since December 2013, TOT has been barred from booking concession revenue as its own. Instead it must pass the revenue to the state coffers.
In addition, the concession of Advanced Info Service (AIS) will end in September this year. AIS pays 20 billion baht a year under a revenue-sharing agreement with TOT.
Gen Surapong said pursuing partnerships with private telecom firms should boost TOT's revenue, especially in the area of 3G mobile broadband service.
He said TOT was back on track after carrying out a turnaround strategy over the past five months, culminating in last year's healthier operating result.
TOT yesterday officially reported a profit of 1 billion baht in 2014, a huge turnaround from an anticipated loss of 7.8 billion baht.
Consolidated revenue excluding concession fees reached 29.8 billion baht, up from 28.9 billion baht in 2013.
Gen Surapong attributed the stronger-than-expected performance to efficient cost-cutting strategies and comprehensive business and investment policies.
He said TOT expected to enter several partnership deals with private companies by June and realise strong revenue growth in 2016.
A TOT source said the state enterprise had shortlisted three prospective private partners: AIS, Loxley Plc and Mobile LTE.
The three are all TOT concessionaires.
Djitt Laowattana, a TOT board director, said TOT would invest in an optical-fibre network serving 2 million ports this year.
TOT is transforming into a comprehensive telecom network provider to comply with government policy.