Outage Weighs Down Singtel Earnings
Singtel’s (Singapore Telecommunications) profit and revenue fell in its latest quarter, weighed down by charges related to units in India and Australia. Singapore's largest mobile network operator said Friday that net profit fell 13% from a year earlier to 465 million Singapore dollars (US$346.2 million) in its fiscal third quarter ended December.
The drop was mainly due to a S$54 million provision related to the recent network outage in Australia, where its subsidiary Optus operates, and to also due to revaluation of foreign-currency convertible bonds at its Indian associate company Bharti Airtel. The charges pushed exceptional items in its accounts to S$94 million, up from S$28 million a year ago.
Group Chief Executive Yuen Kuan Moon highlighted that underlying results were "stable despite a tough macroeconomic environment and persistent currency headwinds." Quarterly underlying net profit, which strips out exceptional items, was flat at S$559 million.
Shares were down 1.3% after the results, extending losses so far this year to 4.5%. Read more about this story on our LinkedIn page
The drop was mainly due to a S$54 million provision related to the recent network outage in Australia, where its subsidiary Optus operates, and to also due to revaluation of foreign-currency convertible bonds at its Indian associate company Bharti Airtel. The charges pushed exceptional items in its accounts to S$94 million, up from S$28 million a year ago.
Group Chief Executive Yuen Kuan Moon highlighted that underlying results were "stable despite a tough macroeconomic environment and persistent currency headwinds." Quarterly underlying net profit, which strips out exceptional items, was flat at S$559 million.
Shares were down 1.3% after the results, extending losses so far this year to 4.5%. Read more about this story on our LinkedIn page