KUALA LUMPUR: Astro Malaysia Holdings Bhd
’s latest financial results have come in line with Maybank Investment Bank Research’s expectations.
The research house said Astro’s 1QFY18 earnings and dividends were within its expectations.
“1QFY18 core net profit of RM188mil and 1QFY18 Ebitda of RM460mil accounted for 23% and 24% of our full year estimates respectively,” Maybank said.
It added that the first interim dividend per share of 3sen was also in-line at 24% of its full year estimate.
“We note that although 1QFY18 core net profit inched up 5% year-on-year (YoY), it was due to 18% less depreciation and amortisation YoY while 1QFY18 Ebitda and 1QFY18 revenue were marginally down by 3% YoY,” Maybank said.
The research house believes that pay-TV subscribership may have eased again after a brief respite in 4QFY17.
“To be fair, Astro gathers that ARPU and adex will grow YoY going forward. Coupled with less content cost YoY in 2QFY18 and 3QFY18, we opine that FY18 earnings still ought to be higher YoY.
“We trim our FY18/FY19/FY20 earnings estimates by 2%/2%/1% but tweak SOP-TP up by 5 sen to RM2.60 on minor housekeeping changes,” it said.
