Axiata Q1 net profit jumps 71pct on stronger operations

KUALA LUMPUR: Axiata Group Bhd posted a strong start to financial year 2026, with net profit for the first quarter ended March 31, 2026 (Q1 FY26) surging 71.3 per cent to RM273.8 million from RM159.8 million a year earlier.

The telecommunications giant said earnings were further supported by foreign exchange gains and lower financing costs, which helped offset currency volatility across its operating markets.

However, revenue declined 3.2 per cent to RM2.8 billion from RM2.89 billion, mainly due to unfavourable foreign currency translation effects as operating company currencies depreciated against the ringgit.

Chairman Tan Sri Shahril Ridza Ridzuan said the board was encouraged by the company’s strong start to the year, highlighting improved profitability, stronger cash flow and continued balance sheet discipline.

“As Axiata advances into its next phase under Axiata28: Advancing Asia, our focus remains on disciplined capital allocation, consistent execution and sustaining returns across a more focused and resilient portfolio,” he said in a statement.

He added that the board would continue prioritising financial strength, governance discipline and long-term shareholder value creation.

Axiata group chief executive officer and managing director Vivek Sood said the Q1 performance reflected disciplined execution under the Axiata28 strategy.

“With the completion of the 5×5 strategy, Axiata is entering its next phase as a more focused and resilient asset manager, supported by a strong balance sheet and a portfolio of self-sustaining assets,” he said.

He added that under Axiata28: Advancing Asia, the group is prioritising capital discipline, portfolio simplification and unlocking value across its telecommunications and technology businesses.

Meanwhile, he said 5G deployment is progressing across all markets, with Bangladesh’s Robi at an earlier stage of rollout, positioning the group to capture future growth opportunities.

He also noted that Axiata is streamlining its portfolio to optimise performance, strengthen cash generation from telecommunications assets, and scale its technology businesses to support long-term shareholder returns.

“The group is entering a phase focused on disciplined asset management and value creation across both telecommunications and technology portfolios,” he said.

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المصدر: New Straits Times