Hong Kong ranked Asia's highest mobile and fixed line penetration country

Check out how other countries fare.

Moody's estimate revenue growth of roughly 1%-3% for telecommunication companies in developed markets such as Singapore, Hong Kong, Japan, Australia and New Zealand and slightly higher growth  of 4%-7% in emerging markets such as Indonesia, Thailand and China.

Going forward, Moody's expects a gradual contraction in EBITDA margins as mobile-phone penetration deepens, driven by subscribers holding multiple devices, and increased competition. Margin contraction will be intensified by increasing data revenues, ICT and content services. Moody's however notes that a few operators have managed to buck this trend of declining margins.

For example, the mobile arm of Hong Kong Telecommunications (HKT) Limited (Baa2 stable) has improved its EBITDA margins primarily by expanding its data revenue due to its superior 3G and 4G network. HKT is able to bundle wireless and fixed-line products by taking advantage of its dominant position in fixed line, supported by strong fiber-based networks. This has helped acquire and retain more remunerative 3G and 4G customers, said Moody's.