SINGAPORE -(Dow Jones)- Singapore Telecommunications Ltd. (T48.SG) said second quarter net profit rose rose 5.7% from a year earlier, helped by earnings at its regional mobile associates.
Net profit for the three months ended Sept. 30 rose to S$809 million from S$766 million a year earlier, Southeast Asia's largest telecommunications company by market capitalization said in a statement Thursday.
Revenue for the quarter rose 5.8% to S$3.3 billion from S$3.1 billion a year ago.
SingTel was expected to report a net profit of S$739 million, according to Dow Jones poll of five analysts.
SingTel said underlying net profit increased 2.7% to S$755 million.
The company continues to face stiff competition in Australia, with net profit at its Optus unit down 8.1% to A$150 million.
For its Singapore operations, net profit for the quarter rose 2% to S$618 million from S$605 million.
Earnings growth for the group continued to be driven by its regional mobile associates, with their net profit contribution up 2.5% at S$268 million.
Among the associates, India's Bharti and Indonesia's Telkomsel continued to be the main growth drivers, SingTel said.
Tuesday, SingTel said mobile subscribers totaled 74.05 million at the end of September, a gain of 2.91 million from the end of June.
SingTel said it will review alternative capital management strategies to achieve an optimal capital structure.
For the full year SingTel said consolidated operating revenue is expected to increase but operating earnings before interest, tax, depreciation and amortization will decline.
"While the Group may not achieve double digit growth in underlying earnings for the current financial year, this remains the objective in the medium term," the company said.
-By Jessica Tan, Dow Jones Newswires;
65-6415-4150; jessica.tan@dowjones.com
-Edited by Stephen Wright
(END) Dow Jones Newswires "
Posted to the site on 10th November 2005
Posted to: www.cellular-news.com/story/14767.php