Maxis 3Q net profit up at RM365m, declares four sen dividend

Maxis 3Q net profit up at RM365m, declares four sen dividend
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KUALA LUMPUR (Oct 23): Maxis Bhd's net profit rose 1.9% to RM365 million for the third quarter ended Sept 30, 2020 from RM358 million a year earlier, despite posting lower revenue due to the Movement Control Order (MCO).

In a filing to Bursa Malaysia today, Maxis said revenue for the quarter was RM2.21 billion versus RM2.28 billion a year earlier.

Earnings per share rose to RM4.70 from RM4.60 previously.

Maxis declared a third interim dividend of 4 sen per share, payable on Dec 23, 2020.

The group's net profit for the cumulative nine months ended Sept 30 fell to RM1.07 billion from RM1.16 billion a year ago, while revenue dipped to RM6.70 billion from RM6.72 billion in the previous year.

In a separate statement, Maxis said its mobile business remained resilient, leading the market with positive uptake for its attractive Hotlink Prepaid Unlimited and MaxisONE plans.

It posted a stable underlying service revenue — excluding wholesale — at RM1.93 million, driven by growth in core mobile business and fibre segment.

“Meanwhile, Maxis continued to see the surge in data consumption arising from the impact of Covid-19 and work from home practices, as well as the extended redemption period of free 1GB per day Productivity Internet offering.

"To ensure the best network experience, the company accelerated its capacity build to support the data traffic, as well as home fibre and enterprise business growth,” said Maxis.

Maxis chief executive officer Gokhan Ogut commented: “We delivered another quarter of strong performance, driven by our agility in adapting to a rapidly changing and challenging environment. Keeping our employees, customers and the communities safe continue to be a priority while we focus on providing reliable connectivity and an unmatched personalised experience.

“For enterprises, we are committed to developing innovative solutions and being a key partner in helping them achieve their digital ambitions. We are doubling down on our convergence, fibre and enterprise strategy to continue to create value for our stakeholders”.

At midday break, Maxis shares fell four sen or 0.8% to RM4.95, bringing its market capitalisation to RM38.72 billion.

Surin Murugiah