Telecom New Zealand has issued a second profits warning in just over two months after announcing it would spend NZ$574m (US$356m) on its next generation mobile network during the next two years.

The company warned that current year earnings guidance would be as much as 8 per cent lower than it had previously estimated. In August, the southern nation’s biggest telecoms group reported a 30 per cent drop in its fourth quarter profits and warned of a similar size drop in its current financial year.