KUALA LUMPUR: CelcomDigi Bhd
is entering a new stage of growth with an improved performance in the first quarter of the financial year, underpinned by higher topline contributions and lower operating expenses.
In 1QY26, the telco posted a net profit of RM418mil, up from RM384mil in the year-ago quarter, representing earnings per share of 3.56 sen as compared to 3.27 sen in the comparative quarter.
While the group's total quarterly revenue was flat at RM3.21bil, its service revenue grew 1.6% year-on-year (y-o-y) to RM2.7bil due to continued growth momentum in the postpaid, home and fibre, and enterprise solutions.
It declared a first interim dividend of 3.4 sen, with entitlement date on June 12, 2026, and payable on June 30, 2026.
According to the telco's results announcement, postpaid revenue grew 3.1% y-o-y to RM1.1bil. Post paid subscribers increased 4% to 6.1 million while average revenue per user (Arpu) rose 7.7% to RM113.
Prepaid revenue during the quarter contracted 3% y-o-y to RM1.02bil due to two fewer revenue days during the period. The number of subscribers dropped 7.6% y-o-y to 11.99 million, but Arpu improved to RM30 due to higher-value customers and personalised offerings.
In the home and fibre segment, revenue surged 56.1% y-o-y to RM89mil on the back of subscriber growth of 92,000 y-o-y to 297,000 due to sustained demand for CelcomDigi One plans and a reclassification adjustment from postpaid. Arpu rose 6.3% y-o-y to RM102 on a higher-value mix and more sustainable margins.
For the enterprise business, core mobile revenue grew 3.7% y-o-y while revenue from enterprise solutions jumped 29.8% y-o-y on continued growth momentum.
"Our Q1 performance reflects our disciplined execution and the strong structural foundations we have built over the past three years.
"As we enter the next phase of growth, we are sharpening our portfolio to drive higher-quality, sustainable value for the consumer segment through stronger mobile and home and fibre propositions, as well as more personalised, segment-based services that enhance customer experience.
"We continue to focus on a more disciplined, data-driven approach to operational efficiency that will sustain growth and margin," said CEO Albern Murty in a statement.
He added the group's three-year integration and transformation programme is in its final stretch with network modernisation and integration surpassing 90% completion.
"Major IT consolidation efforts included the rollout of the Distribution Management System (DMS)
and Dealer Wallet in Q1, now supporting over 22,000 outlets nationwide.
These initiatives have streamlined dealer operations, improved efficiencies, and enabled faster, more seamless go-to- market execution across CelcomDigi’s retail and distribution ecosystem."
Over 60 CelcomDigi stores have been modernised, while the nationwide refresh of more than 300 exclusive partner stores is now 80% complete, with final completion targeted by the third quarter this year.
