DiGi posts net profit of RM496 million
Steady growth in customer base and revenue for first half
SHAH ALAM, 20 July 2007: DiGi.Com Berhad ("DiGi") kept up its growth momentum to record a profit after tax ("PAT") of RM496 million for the first six months ended 30 June 2007, up 29% from the corresponding period last year.
The Group's revenue jumped 17% to RM2.07 billion on the back of increased usage and a larger customer base.
Total customer base rose 11% to 6 million amid intense competition and a maturing market.
Attractive festive promotions and a segmented market approach led to higher voice traffic and increased blended average mobile revenue per user to RM58 from RM54 in 2006.
DiGi Chief Executive Officer Morten Lundal said, "We are pleased with the results, especially in boosting usage and growing our customer base in target markets."
"Our focus on operational efficiency has also paid off," Lundal added.
The higher revenue boosted earnings before interest, tax, depreciation and amortisation ("EBITDA") to RM999 million, up 25%.
The solid revenue growth and increased cost efficiency also strengthened EBITDA margin to 48% from 45% previously in 2006.
The strong operating results in the first half year raised profit before tax ("PBT") by 27% to RM683 million.
Comparing Q2 2007 and Q2 2006, PBT rose to RM345 million with an after tax profit of RM250 million, up 25%.
Lundal is confident that the company will continue a good growth momentum in the second half of the year, targeting a mid-teens revenue growth. "We are ready for new challenges that come with a maturing market. We will continue our creative and competitive approach to further widen our customer base and grow revenue."
This includes the recently launched DiGi Postpaid 1Plan that offers only 13 sen per minute for calls to anyone on any network, anytime and anywhere in Malaysia with a minimal monthly commitment of RM70.
DiGi will pay an interim dividend of 68.5 sen per ordinary share, less 27% income tax. The entitlement date is 8 August 2007.
DiGi is Malaysia's fastest growing mobile operator driving innovation, simplicity and best value through DiGi Prepaid, DiGi Postpaid and DiGi Business with a focus on exciting broadband solutions.
Corporate Communications Department
DiGi Telecommunications Sdn Bhd
Lot 30, Jalan Delima 1/3
Subang Hi-Tech Industrial Park
40000 Shah Alam, Selangor Darul Ehsan