Singapore Telecommunications Limited (Singtel), one of the leading telecommunications providers in Singapore, has reported a significant decline in its net profit for the third quarter that ended on 31 December 2022. Singtel’s net profit decreased by 28% year-on-year (YoY) to $532 million, compared to $734 million in the corresponding quarter of the previous year.
Why the profits declined?
Singtel attributed the decline in its net profit to a “net exceptional gain in the corresponding quarter last year,” which resulted in a higher base of $734 million. This gain was due mainly to the partial divestment of Indara. Singtel’s operating revenue and earnings before taxes, interest, depreciation and amortisation (EBITDA) also reduces during the quarter, dropping 5.1% and 8.0%, respectively. The company explained that the declines were due to the absence of contributions from Amobee and sharp 8% decline in the Australian Dollar. Singtel remains committed to strengthening its position in the market and expanding its business operations. The company is making strategic investments in key growth areas and building partnerships to enhance its capabilities and offerings.
Also read: Singapore Airlines And Scoot Record Four-Fold Increase in Passenger Traffic From Last Year
Singtel’s Q3 2022 financial results reflect the impact of the net exceptional gain in the previous year, which resulted in a higher base for comparison. Despite the decline in net profit, the company remains committed to driving growth and innovation.
