Singtel’s annual net profit jumps on mobile growth, 5G adoption

Singtel's annual net profit jumps on mobile growth, 5G adoption

Singapore Telecommunications on Thursday (May 25) posted a 14 per cent jump in full-year net profit, as its core businesses benefited from a recovery in international travel and roaming as well as rising 5G adoption.

Singtel also recorded robust mobile growth and price lifts supported by increased demand for information technology and communication services.

Southeast Asia’s largest telecom firm said net profit for the year ended March was S$2.23 billion (US$1.68 billion), compared with S$1.95 billion a year ago. Analysts were expecting S$2.26 billion, according to Refinitiv.

Pre-tax profit contributions from Singtel’s regional associates grew 10 per cent despite currency headwinds, with partly owned Bharti Airtel – India’s No 2 telecom carrier by subscribers – reporting solid earnings on higher mobile average revenue per user (ARPU).

Its Australian unit Optus, which reported a data breach of up to 10 million customers last October, saw operating revenues gain 2.8 per cent with growth across its mobile and fixed businesses.

Singtel said it expects the group’s core capital expenditure to be around S$2.1 billion in fiscal 2024, adding that it will invest about S$0.5 billion in data centres and satellites in the next financial year.

It proposed to pay a final dividend of 5.3 Singapore cents per share.