KUALA LUMPUR (Sept 7): Celcom Axiata Bhd has reported a revenue (excluding device) of RM2.91 billion in the first half of 2021 (1H2021), rising 4.6% year-on-year (y-o-y) from RM2.78 billion recorded in the same period last year.
On a quarter-to-quarter basis, the mobile network operator posted a revenue growth of 3.4% to RM1.48 billion for the second quarter period (2Q2021) from RM1.43 billion.
Celcom said the financial performance recorded was driven by strong prepaid performance coupled with higher mobile virtual network operator (MVNO) revenue, offset by lower roaming revenue.
The improvement in credit management and staff cost further supported Celcom's year-to-date (YTD) earnings before interest, taxes, depreciation, and amortization (EBITDA) performance, with a growth of 12.4% in 1H2021 to RM1.33 billion from RM1.19 billion.
Concurrently, profit after tax and minority interest (PATAMI) was up 28.8% YTD to RM414 million from RM322 million in the same period a year ago, with the improvement further aided by lower net finance cost.
However, the underlying EBITDA and PATAMI growth excludes a one-off employee restructuring programme and accelerated depreciation of 3G assets, it said.
Meanwhile, Celcom recorded y-o-y net additions of 1.2 million subscribers on the back of a strong double-digit prepaid revenue growth performance.
Its prepaid subscriber base saw a 20% y-o-y growth, primarily from affordable prepaid plans with a resilient average revenue per unit (ARPU) of RM30.
As for the postpaid segment, Celcom recorded subscriber growth for four consecutive quarters with a 6.1% y-o-y customer base increase and a sustained ARPU of RM83, supported by industry-wide initiatives such as Jaringan Prihatin.
The mobile operator also saw its network record more than 40% data traffic growth with 741 Petabytes (PB) compared to 516 PB in 2Q2020. Data usage per month per user increased by 22% y-o-y to 23.9GB per month per user as compared to 19.6GB per month per user a year earlier. Celcom’s widest 4G network coverage reached a population coverage of 93%, while 4G LTE-A stands at 90%.
Celcom said it has been aggressive in addressing the rapid data traffic growth by accelerating its capital expenditure (capex) for network investments through multiple network enhancement initiatives that are aligned with Jalinan Digital Negara (JENDELA).
To date, Celcom has completed almost 95% of network upgrading works at approximately 9,500 sites, performed network optimisation at more than 3,600 sites and delivered 4G coverage improvements at 3,200 sites, nationwide.
In a virtual media briefing today, Celcom chief executive officer (CEO) Idham Nawawi said the company’s transformation delivered promising operational results despite the challenges in a difficult macro environment.
“Our growth trajectory in 1H2021 has been the result of focus on operational cost management and accelerated network investments, coupled with a strong performance in our trade and distribution throughout the first and second quarters. The rapid growth of data traffic from our users indicates that our network is widely utilised as a primary internet access, especially in areas without fixed broadband alternatives, during this pandemic,” he said.
Idham added that Celcom’s accelerated network investments and optimisation efforts to improve customer experience in the new norm are on track, with the cessation of 3G services by year end.
“We will continue to work to raise the quality of our 4G network coverage and experience, as well as ensure our customers have a seamless transition from 3G to 4G. Our network teams remain dedicated to provide immediate service resolutions and improvements in high-risk areas, as well in rural areas,” Idham said.