Year-on-year performance amped by stronger growth and efficiency momentum
SUBANG JAYA, 13 July 2018 - Digi.Com Berhad (Digi) recorded steady performance in Q2 2018 underlined by stronger growth and operational efficiency momentum across the business. The company saw positive uplifts on its top line, closing the quarter with RM1,484 million service revenue and a healthy EBITDA of RM743 million or 47% margin. This was underscored by 11.7 million customers on its network.
The stronger growth and efficiency momentum for the quarter was attributed to the company’s disciplined acquisition quality, strong focus on data adoption and monetisation, digitisation across its businesses, and strong management on its cost structures. This has resulted in a higher postpaid subscriber mix, better quality prepaid base, and good traction on new digital innovations.
Data traffic volumes increased 14% in Q2 2018, with customers using an average 8.2GB per month. Overall internet revenue climbed 26.4% y-o-y and 5.8% q-o-q to RM805 million or 54.2% of service revenue. The strong performance was fuelled by a larger 8.8 million internet subscriber base, which included 7.1 million 4G LTE subscribers, and a higher smartphone adoption of 76.1% on its network.
Digi's CEO Albern Murty said, "We have maintained good momentum in the first half of the year, contributed by a disciplined cost focus, investing in areas with better margins and growing data usage in our base. Our digitisation efforts have given us valuable insights to better sell and serve various customer segments to easily access the internet the way they want. Our primary focus is to continue to provide our customers with quality digital experiences over a consistent network, and to do this in a sustainable manner."
Steady Q2 2018 Financials
RM million 2Q18 1Q18 Q-o-Q Y-o-Y Service revenue 1,484 1,483 (0.1%) (2.1%) EBITDA 743 741 0.3% 3.6% EBITDA margin 47% 46% 0.5pp 0.6pp PAT 359 352 (2.0%) (0.0%)
Note: All analysis and comparisons are made based on old accounting principles.
Key Highlights (Y-o-Y)
Connecting customers with easy, affordable access to quality network and digital services in Q2 2018:
More information on Digi's Q2 2018 performance is available at www.digi.com.my/investors.
We are a mobile connectivity and internet services provider enabling 11.7 million Malaysians to get the most benefit out of an increasingly connected world. With a strong legacy of product and service innovation delivered on Malaysia's widest 4G Plus network, Digi has an ambition to become customers' favourite digital partner, providing relevant, personalised and engaging digital products and services that will further enable all Malaysians' digital lifestyles. This is because we believe digital communication empowers everyone to improve their lives, build societies and secure a better future for all. Listed on Bursa Malaysia, Digi is part of global telecommunications provider Telenor Group and is a leader in driving progressive and responsible business practices. For more information about Digi, visit www.digi.com.my.
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