M1’s 1Q18 net income stalls at SGD34.8m

18 Apr 2018

Singapore telecoms operator M1 Limited has published its financial results for the three months ending 31 March 2018, reporting that service revenue increased by 3.0% year-on-year to SGD184.7 million (USD140.9 million), aided by higher sales of Fixed segment services and post-paid revenues – the corporate & government segment, for example, contributed 37% of total service revenue and reported 19% y-o-y growth in the quarter. Net income, however, stalled year-on-year at SGD34.8 million, although it was up 8.3% quarter-on-quarter, M1 said. Operating costs stood at SGD102 million in the first three months of 2018, down 4.5% from SGD107 in the year-ago quarter. EBITDA slipped 2.3% y-o-y to SGD75 million, but was only 0.5% lower than the figure of SGD76 million reported in 4Q17. First-quarter CAPEX was SGD23 million, down 54.2% from SGD50 million previously.

The city-state’s third largest operator by subscribers and revenue said Fixed services revenue continued to see strong growth, increasing 13.9% y-o-y to SGD31.9 million (17.3% of service revenue), thanks to strong subscriber gains in both residential and business fibre broadband users; M1 ended 31 March 2018 with a total of 194,000 broadband subscribers, up a net 5,000 in the quarter, and compared to 168,000 in 1Q1. Meanwhile, Mobile service revenue increased 2.6% on an annualised basis to SGD140.9 million, with mobile data contributing 61.3% of the total, up from 54% a year ago. Average post-paid smartphone data usage was 4.5GB per month in the period under review, up from 3.7GB per month in 1Q17, as M1 added a net 12,000 post-paid customers in the quarter, for a total of 1.304 million at 31 March 2018. Monthly post-paid ARPU was SGD54.6, down from SGD55.7, although churn remained stable y-o-y at 1.0%. Pre-paid mobile users, however, dipped to 688,000 from 775,000 at 31 March 2017. PAYG ARPU was SGD9.9 per month, down from SGD11.0 in 1Q17.

Singapore, M1