SingTel - RHB Invest 2023-08-21: FX Headwinds; Twin Engines Firing Well; BUY

• SingTel’s 1QFY24 (Apr to Jun 2023) results were within expectations, with macroeconomic headwinds and strong S$ weighing on revenue and EBITDA while Optus’ opex spiked from higher energy cost. The twin growth engines (NCS and Digital InfraCo) are performing well, with EBIT up 17% y-o-y.
• - Read this at SGinvestors.io -

SingTel's 1QFY24 broadly in line.

• SingTel (SGX:Z74)'s 1QFY24 core earnings of S$571m made up 22 % of our forecast (consensus: 24%). We deem this as being in line with expectations of a further normalisation in roaming traffic, continuing mobile price repair in Australia, and NCS’ contributions gaining momentum in subsequent quarters.
• - Read this at SGinvestors.io -
• The standouts were NCS and Digital InfraCo’s good topline growth of 14% and 17% y-o-y, which more than offset SingTel’s weaker revenues from Singapore and Optus.

Roaming dials back.

• Read more at SGinvestors.io.

Singapore Research RHB Securities Research | https://www.rhbgroup.com/ 2023-08-21 SGinvestors.io

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