DiGi posts strong results for Q4 and 2007
After-tax profit surpasses RM1 billion
SHAH ALAM, 5 February 2008: DiGi.Com Berhad ("DIGi") generated revenue of RM4.36 billion for the financial year ended 31 December 2007 to record a profit after tax ("PAT") of RM1.06 billion, up 32% from the previous year.
The 19% revenue increase was attributed to higher usage driven by innovative and attractive offerings and an enlarged subscriber base of 6.4 million, an increase of 21% from 2006.
DiGi Chief Executive Officer Morten Lundal said, "DiGi's strong growth in revenue and customer base in 2007 is directly linked to the continuously increased quality of our services and also the positive customer experiences we are working so hard to provide."
The strong growth together with higher cost and operational efficiency raised earnings before interest, tax, depreciation and amortisation ("EBITDA") by 25% to RM2.11 billion.
The company's EBITDA margin further improved by 2 percentage points to 48.4% for the year.
Profit before tax ("PBT") increased 33% to RM1.45 billion while earnings per share rose to 141.7 sen against 107.4 sen previously.
Comparing Q4 '07 and Q4 '06, targeted marketing activities and attractive offerings drove revenue up by 22% to RM1.18 billion on the back of an enlarged subscriber base. Helped by strong operational performance, PAT registered at RM293 million.
In Q4 '07 versus Q3 '07, PBT rose 3% to RM387 million as the result of a 6% increase in revenue due to higher usage especially during the festive season and a one-off positive adjustment in prepaid revenue of RM30 million.
For 2008, Lundal said, "We aim to further enhance excellent customer experience in every interaction and touch point. We are well positioned to take advantage of Mobile Number Portability, which will allow customers to transfer their mobile numbers between operators."
The Board of Directors has recommended a final dividend of 4.75 sen per ordinary share less 26% income tax, and 54.5 sen single-tier exempt dividend per ordinary share for the financial year ended 31 December 2007. They will be paid on a date to be determined and are subject to the approval of shareholders.
DiGi is Malaysia's fastest growing mobile operator driving innovation, simplicity and best value through DiGi Prepaid, DiGi Postpaid and DiGi Business.
Corporate Communications Department