Singtel unveiled a new growth plan aimed at boosting business performance and improving capital management, after reporting a SGD1.3 billion ($963.1 million) loss in fiscal H2 2024 (ending 31 March).
CEO Yuen Kuan Moon explained it will move straight into the growth plan from its previous transformation programme “because we’re seeing payoffs from the hard decisions taken over the past three years and we want to build on that and create more traction”.
After its previous strategic reset raised SGD8 million from asset sales, the group identified an additional pipeline of around SGD6 billion in assets to recycle.
The loss compared to a SGD1.1 billion profit in fiscal H2 2023 and was due to impairment charges of around SGD3.1 billion on goodwill and Optus Enterprise’s fixed network assets disclosed in April.
Group operating revenue fell 3.6 per cent to SGD7.1 billon, attributed to the loss of contributions from Trustwave which was divested in October 2023 and a 3 per cent depreciation in the Australian dollar.
Its regional associates’ pre-tax profit contribution rose 3 per cent to SGD2.3 billion.
Home market
Mobile service revenue in Singapore increased 3.7 per cent year-on-year to SGD659 million, while equipment sales fell 8.1 per cent to SGD313 billion.
Prepaid subscribers grew 17.4 per cent to 1.7 million and post-paid 3.2 per dent to 3 million.
Post-paid ARPU was flat at SGD33 and prepaid dropped 18 per cent to SGD10.
Sales at its ICT unit NCS were flat at SGD1.4 billion; revenue at its digital infraco unit, covering data centres and enterprise, increased 4 per cent to SGD211 million.
Optus in Australia registered 4 per cent growth in mobile service revenue to AUD2.8 billion ($1.9 billion), with blended ARPU flat at AUD32.
Post-paid subscribers remained at 6 million and prepaid rose 3.2 per cent to 3.5 million.
Revenue from Optus’ wholesale, fleet and enterprise unit dropped 15.7 per cent to AUD612 million, largely due to Optus Enterprise reporting steep declines in fixed carriage revenue due to churn and price erosion.
Optus recorded non-cash impairment charges of AUD551 million on its enterprise fixed access network assets.
For the full fiscal year, group net profit dropped to SGD795 million from SGD2.2 billion.
Capex remained at SGD2.2 billion, with 66 per cent going to Optus investments. The outlay for fiscal 2025 is SGD2.8 billion.
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