Bangkok--23 Jul--dtac
dtac reported total revenues for Q115 of THB21.9 billion, a slight increase of 0.2% from the same period last year as a result of higher level of handset sale. Net profit for the period amounted to THB1.4 billion, declining 53% due to the expansion of network to support strong data traffic growth, prepaid handset subsidization, higher SG&A expenses, as well as unrealized loss on foreign exchange. However, dtac declared THB0.80 per share interim dividend, a payout ratio of 138%.
Total subscriber base at the end of Q215 totaled 26.9 million, of which 87% having been ported to DTN. Furthermore, penetration of smartphone continued to rise, reaching 57% in Q215, as demand for data service remained strong. dtac is committed to become the leading Internet provider in Thailand and continues to improve and expand its networks. With the CAPEX of THB18 – 20 billion for the year, dtac targets to achieve 95% population coverage and largest bandwidth on 4G service by the end of 2015.
In the first half of 2015, the recovery of overall economy has been slow. Furthermore, challenges in the wireless industry still remain as competition among operators continues to suppress the full growth potential, particularly on handset subsidies and data monetization. Consequently, dtac revised the outlook for 2015 to be (1) service revenue excluding IC slightly below 2014; (2) EBITDA margin in the range of 31% - 33%; and (3) CAPEX of THB18 – 20 billion.
Lars-Ake Norling, dtac’s Chief Executive Officer, said “We continued to keep our focus on becoming the leading Internet provider in Thailand, as we still see a huge potential in mobile data services. In doing so, we plan to continue improving our network, strengthening our sales and distribution, focusing on data monetization, and providing the best customer experience. By the end of 2015, we aim to have 3G footprint covering 95% of population, the fastest 4G network, and 2.5 million 4G customers and 60% of our customers using data services. Moreover, we are well prepared for the upcoming auction for 1800 MHz and 900 MHz spectrum in November this year, as scheduled by the NBTC.”