Singltel announced a new strategic direction designed to capture digital growth in the 5G era on a day when it reported that its net profit for FY2021 was down 49%. The company announced that it will resort to a strategic reset through which it will aim to leverage its 5G technology, develop new growth engines in information & communication technology (ICT) and digital services and leverage its infrastructure assets. The strategic reset has been prompted by the mass migration online over the last 18 months which has been accelerated by the pandemic. The telecom company plans to restructure and reposition itself at a time when its revenue was down 5% for the FY2021 to S$15.64bn ($11.8bn) YoY. Its EBITDA was S$3.83bn ($2.9bn), down 18% YoY. The net profit was lower by 30% at S$1.73bn ($1.3bn) due to the headwinds posed by Covid-19. The net profit including exceptional charges was down 49% for the full year at S$554mn ($418mn) and was down 93% for 2H2021 at S$88mn ($66mn). The net debt of the company was stable at S$12.4bn ($9.4bn) compared to last year. The free cash flow of the company witnessed a drop of 10% at S$3.4bn ($2.6bn) as the company experienced lower operating cash flows and higher capital expenditure. Singtel announced a dividend of 2.4 cents per share bringing the total dividend to 7.5 cents for the year and amounting to S$1.23bn ($930mn). Mr Yuen Kuan Moon, Singtel Group CEO, said, “This year’s results are disappointing given unprecedented headwinds from COVID-19 and ongoing structural challenges.”

Show Buttons
Hide Buttons