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StarHub Q4 profit climbs 10% on iPhone demand

26 Feb 2015

Singapore fixed and mobile operator StarHub says its fourth-quarter net income for October-December 2014 increased by 10% year-on-year to SGD94.2 million (USD69.5 million), on revenue that rose 5.1% to SGD647.4 million, fuelled by strong demand for iPhones which helped drive equipment sales. For the full year, however, the operator said net profit fell 2.4% y-o-y to SGD370.5 million – although total revenue edged up 0.7% to SGD2.38 billion.

StarHub’s mobile division reported Q4 revenue of SGD320.5 million, up 3% on an annualised basis, although the total mobile user base fell 8.7% to 2.147 million. Meanwhile, pay-TV sales of SGD100.1 million were ‘stable’, while full-year turnover increased 1% to SGD389.7 million thanks to higher subscription revenue and a larger customer base of 542,000 households. On a less positive note, StarHub reported a 16% y-o-y fall in its broadband business to SGD47.7 million in the fourth quarter, and a 17% drop for the full year to SGD201.9 million, impacted by local price competition which undermined subscription revenue from new and existing customers re-subscribing to its services. The operator had a total of 469,000 high speed internet users at the year end, up from 448,000 a year earlier. Looking ahead, StarHub predicts that group service revenue will continue to grow in the low single-digit range in 2015, driven mainly by its enterprise fixed network and mobile services.

Singapore, StarHub

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