SingTel - Maybank Research 2024-02-23: Soft On Surface, But Pockets Of Optimism

• SingTel (SGX:Z74) posted a flat 3QFY24 underlying NPAT with 9MFY24 net income trending at 70% of MIBG and 72% of street FY24 estimates.

3QFY24: Missing consensus but bright spots emerge

• - Read this at SGinvestors.io -
• Associates’ pre-tax contribution fell 8% y-o-y on Airtel (due to Africa FX depreciation) and Telkomsel softness.
• Reported 3QFY24 NPAT fell 13% y-o-y.

Softness in Singapore; limited Optus drag

• Singapore operations revenues/EBITDA declined -2%/-5% y-o-y due to softness in device sales and enterprise revenues while costs rose on inflationary pressures.
• - Read this at SGinvestors.io -
• NCS was also impressive with EBITDA up 47% y-o-y on a 4% revenue rise helped by cost optimization. NCS bookings remained firm in 3Q at S$0.7bn.
• Digital InfraCo revenues were up 16% y-o-y helped by data center growth but EBITDA was down 3% linked to business development investments.

Associates: Mixed bag & partial FX weakness

• Read more at SGinvestors.io.

Singapore Research Team Maybank Research | https://www.maybank-ke.com.sg/ 2024-02-23 SGinvestors.io

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