SYDNEY - Telstra signed up more than a million new customers in the first half of its financial year, giving a hefty lift to its profit.

The nation's largest telco added 958,000 mobile customers in the six months to December 31 on top of 106,000 new fixed broadband subscriptions.

Moreover, the number of customers bundling together a number of different Telstra products grew by 206,000 to more than 1.2 million.

It continued the grab for market share that began in 2010-11, when Telstra earmarked $1 billion for an aggressive marketing campaign that, coupled with lower prices and better customer service, netted 1.66 million new mobile and broadband customers.

``Our strategy is delivering value for customers and for our shareholders,'' said Telstra CEO David Thodey said during Telstra's results presentation in Melbourne yesterday.

``The momentum in our business has continued into the first half.''

Revenues from mobiles rose 10.9 per cent to $4.39 billion, which Telstra said was the strongest growth in six halves.

Ovum research director David Kennedy said Telstra had successfully converted its market share gains in the past 18 months into better profitability through improved economies of scale and tighter cost control.

``Importantly, it seems to have made these share gains permanent, as permanent as they can be in a competitive industry,'' Mr Kennedy said.

Telstra said that net profit for the six months to December 31, 2011, rose 22.9 per cent to $1.468 billion, slightly below market expectations of $1.518 billion.

As a result, Telstra shares closed down 7, or 2.03 per cent, to $3.37 on a day the broader market fell 0.2 per cent.

In terms of earnings guidance, Telstra presented an unchanged outlook for low, single-digit, revenue and earnings before interest, tax, depreciation and amortisation growth for 2011-12 year, as well as a 28 fully-franked dividend.