Axiata returns to black in Q4, declares 3.5 sen dividend

PETALING JAYA: Axiata Group Bhd returned to the black registering a net profit of RM24.73 million for the fourth quarter (Q4) ended December 31, 2017 against a net loss of RM309.5 million in the previous corresponding period, mainly attributable to improved earnings before interest, taxes, depreciation and amortisation (ebitda) and forex gains as apposed to forex losses in Q4 16.
Its revenue increased 8.1% from RM5.79 billion to RM6.26 billion.
The telco has proposed to declare a final dividend of 3.5 sen per share, bringing its full-year dividend to 8.5 sen.
Axiata's full-year net profit jumped 80.4% from RM504.25 million to RM909.48 million. Revenue came in at RM24.4 billion, 13.2% higher than the RM21.57 billion it made a year ago.
Its president and group CEO Tan Sri Jamaludin Ibrahim said the group has met all its key performance indicators (KPIs) for FY17 and delivered RM1.3 billion in savings, which is well ahead of its initial target of RM800 million.
Overall, Axiata's revenue and ebitda grew 13.2% and 15.2% each in FY17. It also achieved return on invested capital (ROIC) and return on capital equity (ROCE) of 4.7% and 4.2%, respectively.
However, for FY18, it is targeting a slower revenue and ebitda growth of 6.3% and 5.8%, while ROIC and ROCE are projected at 5%-5.5% and 4.5%-5%, respectively.
The stock fell 1 sen or 0.2% to close at RM5.67, with some 6.17 million shares changing hands.