SUBANG JAYA, 20 October 2022 – Digi.com Berhad (“Digi”) today announced its FY2022 third quarter results, highlighting steady growth across the company’s Postpaid, Prepaid, Fibre, and Business segments, driven by its high-speed internet value offerings delivered on its strengthened mobile network.
Consumers’ demand for data continued to surge, as evidenced by the company’s data traffic growth of 6.2% Y-Y, with monthly average data per user reaching 23.0GB. To support the demand for high-speed internet connectivity, a total of RM173 million CAPEX, or CAPEX-to-total-revenue ratio of 11.3%, was invested in the quarter under review to further improve its network quality and coverage. Digi’s average download speeds surpassed 45.0Mbps from 44.1Mbps in the last quarter, while its 4G LTE and LTE-A network coverage now serves 95% and 80% of populated areas nationwide respectively, alongside an extensive fibre network of 10,372KM across the nation.
Digi’s focus on delivering quality internet experience through attractive best-in-value plans to its customers saw continued improvements in its subscriber base. Postpaid subscribers grew for the eight consecutive quarter, with +164K Y-Y net additions to a total of 3.4 million subscribers. Its Prepaid base also strengthened, with +177K Y-Y net additions to 7.3 million subscribers, attributed to the encouraging recovery of the migrant base combined with continued good growth within the Malaysian segment. Blended ARPU declined RM2.5 Y-Y to RM40, mainly due to impact from lower Prepaid ARPU as the Jaringan Prihatin programme ended.
The company’s strategy in growing its Fibre segment through targeted bundling offers yielded additional 17.6K Y-Y subscribers, with RM22 Y-Y uplift in ARPU to RM130. Digi Business also sustained its strong growth momentum with 18.1% Y-Y increase in its subscriber base while revenue lifted 12.4% Y-Y, from reflecting the company’s commitment in helping SME digitalise and supporting large enterprises’ needs for advanced digital and connectivity solutions.
Digi’s Acting Chief Executive Officer and Chief Marketing Officer, Praveen Rajan said, “We see continued demand for mobile services across all segments. Looking ahead, with macro-economic uncertainties such as risks of a global recession weighing on the market, we will remain disciplined in cost management, while continuing to invest in strategic growth areas, network improvements, and modernisation agenda. Discussions related to 5G access agreements with relevant parties are progressing well, and we’re also looking forward to completing the proposed Celcom-Digi merger this year.”
Steady sequential performance for Q3 2022 with healthy margins sustained
Digi’s service revenue remained resilient with a marginal 0.5% Q-Q drop to RM1,319 million in the third quarter of 2022, despite impact from adverse macro pressures and the end of the Jaringan Prihatin programme. EBITDA stood at RM749 million, up 0.9% Q-Q with a healthy 48.9% margin, attributed to resilient topline development, modernisation initiatives, and efficient cost management.
Financial highlights for Q3 FY2022
Operational highlights for Q3 FY2022
Internet-centric plans catering to consumers and businesses’ affordability and digital needs
Sustaining Responsible Business initiatives
Digi maintains its 2022 guidance as follows:
More on Digi’s Q3 2022 performance is available here.