Digi acting chief executive officer and chief marketing officer Praveen Rajan
KUALA LUMPUR: Digi.com Bhd posted a net profit of RM264.48mil in the third quarter ended Sept 30 (3Q), down 15.45% from RM312.81mil in the same quarter a year earlier.
The telco’s revenue declined 3.3% to RM1.53bil from RM1.58bil a year prior while earnings per share fell to 3.40 sen against 4.02 sen previously.
Digi declared a third interim dividend of 3.4 sen per share, amounting to RM264mil of dividend payout.
In a statement, Digi said its consumers’ demand for data continued to surge, as evidenced by the company’s data traffic growth of 6.2% year-on-year (YoY), with monthly average data per user reaching 23.0GB.
“To support the demand for high-speed internet connectivity, a total of RM173mil capital expenditure (capex), or capex-to-total-revenue ratio of 11.3%, was invested in the quarter under review to further improve its network quality and coverage,” it added.
Digi’s average download speeds surpassed 45.0Mbps from 44.1Mbps in the last quarter, while its 4G LTE and LTE-A network coverage now serves 95% and 80% of populated areas nationwide respectively, alongside an extensive fibre network of 10,372KM across the nation.
Postpaid subscribers grew for the eighth consecutive quarter, with 164,000 YoY net additions to a total of 3.4 million subscribers.
Its prepaid base also strengthened, with 177,000 YoY net additions to 7.3 million subscribers, attributed to the encouraging recovery of the migrant base combined with continued good growth within the Malaysian segment.
Blended ARPU declined RM2.5 YoY to RM40, mainly due to the impact of lower prepaid ARPU as the Jaringan Prihatin programme ended.
Digi’s strategy in growing its fibre segment through targeted bundling offers yielded additional 17,600 YoY subscribers, with RM22 YoY uplift in ARPU to RM130.
Digi Business also sustained its strong growth momentum with an 18.1% YoY increase in its subscriber base while revenue lifted 12.4% YoY, from reflecting the company’s commitment in helping SME digitalise and supporting large enterprises’ needs for advanced digital and connectivity solutions
Acting chief executive officer and chief marketing officer Praveen Rajan said the group continued demand for mobile services across all segments.
“Looking ahead, with macro-economic uncertainties such as risks of a global recession weighing on the market, we will remain disciplined in cost management, while continuing to invest in strategic growth areas, network improvements, and modernisation agenda.
“Discussions related to 5G access agreements with relevant parties are progressing well, and we’re also looking forward to completing the proposed Celcom-Digi merger this year,” he said.
In the first nine months to Sept 30, Digi’s net profit fell 16% to RM720.67mil, or 9.27 sen from RM857.55mil, or 11.03 sen a year ago, while revenue dipped to RM4.6bil against RM4.75bil last year.
