‘Renewed confidence’: Singtel lifts FY2027 guidance as underlying profit grows 10%, net profit falls 55%

Detailed summary

Revenue rises 6% as group raises full-year operating earnings guidance

Revenue rises 6% as group raises full-year operating earnings guidance

[SINGAPORE] Singtel on Friday (Nov 13) raised the FY2027 growth guidance for its operating companies’ (Opco) earnings before interest and taxes (Ebit) to between mid and high single digits.

This was an upgrade from the guidance of low to mid single-digit growth it gave in May this year, and the second year in a row that the telco has raised its Opco Ebit guidance at the half-year mark.

The revision came on the back of an 8.7 per cent rise in first-half Opco Ebit to S$902 million.

The growth was led by strong performance by Australian subsidiary Optus, tech service provider NCS and its digital infrastructure arm Digital InfraCo.

Optus Ebit rose 13.7 per cent to A$322 million (US$220 million), NCS’ rose 15.5 per cent to S$212 million and Digital InfraCo’s rose 25.3 per cent to S$51 million.

Arthur Lang, group chief financial officer of Singtel, said at a media briefing of the company’s first-half results on Friday that the telco is entering the second half of the year “with a renewed confidence versus six months ago”.

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His comments came even as the telco reported a 55 per cent drop in net profit to S$1.54 billion for the first half-year ended September, in the absence of exceptional gains recorded the previous year. Underlying profit for the period was up 10 per cent at S$1.49 billion.

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