Broadband lifts True's Q1 revenue
published : 20 May 2020 at 04:00
newspaper section: Business
Telecom giant True Group reported first-quarter service revenue of 26.6 billion baht, up 3% from the same period a year earlier, supported by firm earnings from mobile and fixed internet broadband services.
The result drove first-quarter ebitda (earnings before interest, tax, depreciation and amortisation) to grow 12% from the previous year to 8.5 billion baht, or 12.2 billion baht when allowing for the effect of the new TFRS 16 accounting standards.
But the group posted a 161-million-baht net loss in the first quarter, reversing a profit of 1.5 billion baht in the year-earlier period and a 210-million-baht profit in last year's fourth quarter.
The group's mobile business TrueMove H saw service revenue grow 5.2% year-on-year to 20.1 billion baht in the first quarter, supported mainly by double-digit growth of postpaid revenue.
TrueMove H gained more than 300,000 new subscribers for postpaid services in the first quarter, resulting in a total subscriber base of 30.3 million, of which 8.6 million were postpaid and the rest prepaid.
"TrueMove H continued to outperform both in terms of revenue and postpaid subscriber growth amid the industry's quarterly declining revenue trend," said Anat Mekpaiboonvatana, co-president of True Group.
The group's broadband business, TrueOnline, posted 6.5 billion baht in first-quarter revenue, up 4.7% from the previous year.
The group said broadband revenue grew on strong response to a bundle package of internet speed of 1 gigabit per second and TrueID, a digital media platform. A further 55,000 subscribers were gained for broadband service in the first quarter, bringing the subscriber base to 3.9 million.
"Telecommunication networks become more crucial as demand for internet usage and online services for working from home, learning at home and home entertainments has surged following the lockdown in late first quarter," said Sarit Jinnasith, another co-president of the group.