Maxis down 12 sen after 4Q earnings halved

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KUALA LUMPUR (Feb 15): Shares in Maxis Bhd retreated 12 sen or 2.1% to RM5.58 after the noon break today, following the group's announcement that its fourth quarter net profit came in at RM266 million for its financial year 2018, half the amount it reported in the previous year's corresponding quarter.

As at 4.45pm, the stock was one of the top decliners on Bursa Malaysia despite thin trades of 772,800 shares.

Maxis had attributed the decline in the quarterly net profit to one-off costs associated with the launch of a new strategy to become a converged communications and digital services company in both the fixed and mobile markets.

This had included repricing and migration initiatives, new modems, marketing campaigns and network expenses and a multiyear productivity programme to optimise its operating model and cost structure.

Conversely, quarterly revenue had inched up 2.9% to RM2.45 billion from RM2.38 billion a year ago, largely on the back of strong demand for its postpaid services while prepaid revenue remained stable.