M1 net profit up in 1H 2006 on improved margins

19 Jul 2006

Singaporean wireless operator MobileOne (M1) today announced its unaudited financial results for the six months ended 30 June 2006. Net profit rose by 2.1% to SGD81.9 million (USD51.4 million) year-on-year on operating revenues of SGD382.9 million, while the group’s net profit margin improved by 1.1% to 24%. EBITDA rose marginally by 0.6% to SGD164.2 million and the EBITDA margin on service revenue climbed 1.7% to 48.2%.

M1 reported a total of 1.228 million customers as at 30 June 2006. It said that the proportion of pre-paid subscribers dipped by 10% in the second quarter of 2006 as a result of the termination of unregistered pre-paid cards. The number of post-paid customers remained stable. Commenting on the results Neil Montefiore, the chief executive officer of M1, said: ‘We will continue to aggressively drive growth in data usage as a key response to the challenges of operating in a mature market with marginal growth in post-paid customer numbers. Based on the current outlook, M1 expects to achieve single-digit growth in profit after tax for the year.’

Singapore, M1 Limited (M1)