Written by Joseph Chin
Wednesday, 28 October 2009 13:00
KUALA LUMPUR: DIGI.COM BHD [] posted net profit of RM244.08 million for the third quarter ended Sept 30, 2009, a decline from the RM269.94 million a year ago.
The telco said on Wednesday, Oct 28 that revenue was RM1.238 billion versus RM1.222 billion a year ago. Earnings per share were 31.4 sen versus 34.7 sen.
It declared a single-tier exempt dividend 75 sen a share.
It also increased its dividend commitment to a minimum 80% pay-out of its net income from 2010 in view of optimistic long-term financial prospects.
DiGi chief executive Johan Dennelind said: "DiGi is still charting growth with a strong operational cash flow and balance sheet. Returning excess cash is part of our effort to provide sustainable long term yields to our shareholders. Over the years, we have built a solid track record and remain committed to continue creating superior value for our shareholders."
On a quarter-on-quarter basis, revenue grew 3% to RM1.2 billion attributed to well-received segment offerings, in addition to the steady increase in the subscriber base over the current quarter.
Profit before tax (PBT) was RM333.2 million compared to RM323.9 million in the immediate preceding quarter while profit after tax (PAT) rose by 4% to RM244.1 million from RM234.5 million recorded in the second quarter this year.
Dennelind said that DiGi is determined to deliver better results, "We are seeing positive indicators signaling an upward momentum from the relatively flat start this year. We have pushed the envelope on delivering quality services to our customers to ensure we capitalise on the progressive economic recovery."
He also said DiGi was currently spending a significant portion of its total capital expenditure estimated at RM700 million for the year, on rolling out its 3G mobile broadband network.
"Our future growth is in Internet and we will continue to invest to bring relevant and affordable internet to the people on Malaysia's newest Turbo 3G™ (14.4Mbps 3G/HSPA) network.
"With the introduction of DiGi Internet last week, we now have a complete 3G offering that will enable us to capture additional revenue streams arising from new subscribers as well as higher data usage," he said.