SINGAPORE – Singtel on Aug 13 reported a 71.6 per cent fall in first-quarter net profit to $818 million from S$2.88 billion the previous year.
The group attributed the dip to exceptional gains from the sale of a partial stake in Airtel and the Intouch-Gulf Energy merger in the same quarter in 2025.
Underlying net profit was up 21 per cent to $831 million from $686 million, driven by Airtel, AIS, NCS, Optus and its Digital InfraCo arm. The group bases its core dividends on underlying earnings.
The group’s operating revenue and earnings before interest, taxes, depreciation and amortisation (Ebitda) grew 4.9 per cent and 8.7 per cent respectively.
This was led by improved performance of NCS, Optus, Digital InfraCo and a stronger Australian dollar, but partially offset by weaker results from Singtel Singapore, the group noted. The group’s operating companies comprise Optus, Singtel Singapore, NCS, its Digital InfraCo arm, as well as its corporate operations.
Singtel also recorded net finance income, compared to net finance expense before, primarily due to a first-time dividend received from Gulf Development Public Co of $153 million.
Continued price competition
Singtel Singapore’s operating revenue fell 3.1 per cent to $901 million, from $929 million the previous year. Singtel attributed the dip to “continued intense price competition”.
“The increase in data and Internet was offset by declines in mobile, information and communication technology, and legacy services,” said Singtel.
Mobile service revenue was down 4 per cent on lower average revenue per user.Singtel Singapore’s Ebitda fell 4.6 per cent to $363 million, from $380 million the previous year.
“While Singtel Singapore continues to face pricing pressures, it remains focused on executing its tri-brand strategy (Singtel, Gomo, Hi!) to serve different customer segments,” said Yuen Kuan Moon, group CEO of Singtel.
On the other hand, contributions from regional associates grew at double digits, reflecting stronger performances from Airtel and AIS. Post-tax contributions of regional associates rose 16.1 per cent to $543 million, from S$468 million the previous year.
Airtel’s post-tax contribution rose 15.9 per cent, while AIS post-tax contribution rose 32.7 per cent.
“The improved performance (by AIS) was driven mainly by higher mobile and broadband services, continued cost discipline as well as lower depreciation and amortisation charges,” noted the group.
Operating revenue of the group’s Digital InfraCo arm was up 18.9 per cent on higher contributions from its data centre arm Nxera, following the operational commencement of DC Tuas in Singapore earlier in 2026, as well as growth in its cloud services.
Ebitda of the Digital InfraCo arm was up 20.8 per cent to $70 million, from $58 million the previous year.
In July this year, Singtel’s management did not rule out a potential Singapore Exchange and Nasdaq dual-listing of Nxera.
“We are beginning to reap contributions from our new growth investments in Digital InfraCo, with our data centre arm Nxera seeing good growth in contracted capacity in Singapore and the region from strong customer demand for artificial intelligence and cloud,” said Yuen. THE BUSINESS TIMES
