corporate

Maxis' net profit up 27.5pct to RM366mil in Q3

KUALA LUMPUR: Maxis Bhd's net profit rose 27.5 per cent to RM366 million in the third quarter ended Sept 30, 2024 (3Q24) from RM287 million a year ago, driven by an increase in subscribers and lower expenses. 

Revenue for the quarter increased to RM2.58 billion from RM2.44 billion previously, the group said in a filing to Bursa Malaysia today. 

As a result, Maxis registered a higher earnings per share of 4.60 compared to 3.70 in 3Q23.

For the first nine months of FY24, Maxis registered a higher net profit of RM1.08 billion from RM937 million a year ago, while revenue increased to RM7.77 billion from RM7.44 billion. 

The group declared an interim dividend of four sen per share.

Meanwhile, Maxis' service revenue increased by 3.2 per cent to RM2.21 billion in 3Q24, driven by consumer and enterprise business growth.

Similarly, consumer mobile revenue grew by 2.1 per cent in tandem with steady subscriber growth of 3.8 per cent, bringing total postpaid and prepaid subscribers to 9.56 million. 

Consumer home connectivity service revenue rose by 8.7 per cent to RM251 million, while home connections reached 782,000, driven by continued expansion in fibre broadband customers.

Its enterprise service revenue grew by 4.2 per cent to RM396 million from a segment-focused strategy to meet growing demand for connectivity and connectivity-plus solutions.

Maxis invested a capital expenditure (capex) of RM140 million strategically during the quarter to future-proof targeted areas, including strengthening its transmission backbone, expanding its fibre footprint, and digitalising processes.

However, its operating free cash flow declined to RM753 million due to higher tax payments, with a healthy cash balance of RM827 million.

Commenting on the results, Maxis chief executive officer Goh Seow Eng said the group is on course for a strong close to the year. 

"Our focus to provide the best connectivity experience, enabled by network excellence and disciplined execution in each segment, remains unchanged. 

"This is in line with our steadfast commitment to address customer needs through first-rate products and services," he said in a separate statement. 

Looking ahead, Maxis said it will continue to provide 5G services to customers through our existing access agreement with Digital Nasional Bhd (DNB).

The group remains committed to growing mobile, fibre, and enterprise services as Malaysia's leading integrated telco. 

"We are dedicated to delivering high-speed, reliable network connectivity and services to our customers, both consumers and enterprises. 

"We are steadfast in providing consistent and sustainable returns to our shareholders through delivering excellence and operating efficiencies," it noted.

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