M1 reports 6.6% increase in first-quarter net income

15 Apr 2015

Singapore’s M1 Limited (M1) has announced its unaudited group financial results for the three months ended 31 March 2015, noting that net income for the period rose by 6.6% year-on-year to SGD45.7 million (USD33.5 million), fuelled by non-voice revenue which increased 6.9 percentage points over the twelve-month period to account for 52% of service revenue. Service revenue was ‘stable’, increasing as it did by 0.2% y-o-y to SGD204.4 million, as continued growth in fixed and mobile services helped offset a fall in service revenues from international call services. Mobile services accounted for SGD167 million of the total, up from SGD164 million in the year-earlier period, while fixed telephony rose to SGD19 million, from SGD16 million previously, and international call services fell SGD5 million to SGD19 million. Quarterly EBITDA edged up 2.3% y-o-y to SGD83 million, although M1 noted a 3.5% fall when compared to the previous quarter. EBITDA margin of 40.8% was 0.8 points higher than for 1Q14. CAPEX was SGD25 million, down from SGD33 million a year before.

Operationally speaking, M1 added a net 8,000 post-paid and 10,000 pre-paid mobile users to close out March with a total of 1.87 million subscribers – of which almost 1.16 million were on monthly contracts. Monthly post-paid churn improved to 1%, compared to 1.2% in the preceding quarter and 1.1% in 1Q14. Post-paid ARPU was down 0.5% y-o-y at SGD62 per month, while pre-paid ARPU climbed to SGD15.1 per month, from SGD12.6 in the first three months of 2014. Average post-paid smartphone data usage increased to 3.2GB per month in the latest quarter, from 2.8GB per month a year ago, while average pre-paid data usage doubled year-on-year to 0.8GB per month, it said. Data plan ARPU slipped 10.3% y-o-y, however, to SGD17.5 from SGD19.5.

M1 also added 5,000 fibre customers during the quarter to bring its total user base to 108,000. Fibre monthly ARPU improved to SGD45.3 in 1Q15 from SGD41.7 in the corresponding period of 2014, although M1 noted that it fell 2.4% when compared to 4Q14.

Singapore, M1