StarHub H1 net profit falls by 12.3% to S$67.9m on lower wage subsidies

MAINBOARD-LISTED telco StarHub on Thursday reported a double-digit decline in first-half earnings, which chief executive Nikhil Eapen attributed to lower wage subsidies, lower market prices and "no normalisation from Covid in terms of a return of roaming or prepaid" revenue, against the year-ago period.

Net profit shrank by 12.3 per cent to S$67.9 million for the six months to June 30, despite the scaling-up in StarHub's enterprise business units.

But Mr Eapen said, in reply to queries from analysts at an earnings briefing: "The overall trajectory and profile of profitability continues to improve in these businesses, and they're at levels where they certainly do not threaten our overall cash flows or dividends - so that is obviously sacrosanct, and we look to add a growth element on top of our yield."