KUALA LUMPUR: Digi.com Bhd kicked off the financial reporting season for the quarter ended Dec 31,2019 on Wednesday, announcing net profit of RM1.43bil.
It said in a statement the net profit was down by 6.9% from RM1.54bil a year ago. Revenue fell by 3.5% to RM6.297bil from RM6.527bil a year ago.
“FY 2019 service revenue stood at RM5.84bil with a healthy earnings before interest, tax, depreciation and amortisation (Ebitda) of RM2.92bil or 46.3% margin, ” it said.
It announced a dividend of 4.40 sen for the fourth quarter bringing the total dividend for the year to 18.20 sen. In 2018, the 4Q dividend was 4.80 sen and total dividend was 19.6 sen.
Digi said it recorded strng performance in growth areas, namely postpaid, internet and digital businesses, and making strategic investments to support this growth while keeping focused on its digitisation and efficiency agenda.
In 2019, Digi invested RM753mil capex for IT and network upgrades, innovated new services, matured its device financing programme and continued to transform its digital and physical channels.
The combined effort to improve overall customer experience further shifted its revenue mix from voice to internet and digital services, building a more sustainable runway for growth, profitability and healthy shareholder returns for the long-term.
“We close 2019 with good momentum, delivering steady financial and operational performance by having executed well on our five-year strategy, ” it said.
As for 2020, Digi said it remained focused on driving sustainable growth, efficiency and digital transformation for its customers, as it upgraded its network to deploy next-generation technologies to connect customers to what matters most.
“We have initiated several partnerships via Malaysia’s first 5G OpenLab in Cyberjaya and 5G Demonstration Project (5GDP) in Langkawi to test and find viable use uses to accelerate the country’s 5G development in the near future, ” it said.
For the fourth quarter, its net profit fell by 9.3% to RM342.92nil from RM377.80mil a year ago. Its revenue rose by 0.2% to RM1.678bil from RM1.674bil a year ago.
Earnings per share were 4.41 sen compared with 4.86 sen.
Digi said a 1.6% q-o-q and 0.4% y-o-y service revenue growth to RM1.488bil in 4Q, 2019 showed that the business delivered against its key financial and operational targets for the year.
Source: The Star