Singtel anticipates SGD1.21bn charge in annual results as it launches business review

17 May 2021

Singapore-based Singtel Group announced last Friday (14 May) that it is likely to book a ‘record’ SGD1.21 billion (USD907.1 million) charge in its full-year results to 31 March 2021, in large part related to an impairment charge on advertising platform Amobee and its cyber security business, Trustwave. Bloomberg notes that the carrier believes that both companies need ‘a longer cycle to achieve their goals’, while also confirming that Australian unit Optus will likely book ‘similar charges’.

Further, Singtel confirmed that it has launched a strategic review, part of which will consider options for Amobee and Trustwave, which may include the sale of the businesses. The review will focus on reinvigorating core business, new growth engines, reallocation of capital and unlocking of value, Yuen Kuan Moon, Singtel Group CEO, said at a media briefing. ‘This review could involve the restructuring of product or business segments, a full or partial divestment or business combinations with other industry players,’ Yuen confirmed in the statement. ‘We are open to all types of strategic partnerships and deals’.

Singtel will reportedly disclose further details on the group’s strategic direction and priorities on 27 May 2021, when it announces its full-year results.

Singapore, Singtel Group