Singapore Telecommunications Q1 Profit Declines 17% on One-Time Items

Singapore Telecommunications SGAPY reported a 17% decline in its Q1 profit. SingTel's quarterly earnings slipped to S$835 million ($668.5 million), versus S$1.01 billion, in the year-earlier period. The recent quarter results included S$46 million in one-off losses, versus S$114 million (post tax) in net exceptional gains in the year-earlier period. Its underlying net profit fell to S$881 million from S$897 million, versus analysts' estimates of S$916 million. In constant currency terms, the company's underlying net profit jumped 5%. SingTel's revenue declined 3.4% to S$4.15 billion, while EBITDA dropped 3.2% to S$1.25 billion. The company's share of Bharti's profit jumped 84% to S$92 million, while AIS's profit contribution dropped 15%. As of June 30, its combined mobile customer base jumped 10% to 525 million users. Ms Chua Sock Koong, SingTel Group CEO said, “This quarter, the Group reported strong operating results and increased free cash flow. Our regional mobile associates delivered a solid performance. Their markets are experiencing strong growth, spurred by improvements in 3G networks, handsets and content. We are collaborating with our associates to accelerate investments in networks, and launch new data and digital services.” SingTel's shares gained 0.35% to close at $31.47 yesterday.