Reach Ten earnings rises 0.3pct to RM8.2mil in Q1, declares 1 sen dividend

KUALA LUMPUR: Reach Ten Holdings Bhd’s net profit climbed 0.3 per cent to RM8.22 million in the first quarter ended March 31, 2026 (Q1 FY26).

The company’s revenue dropped to RM24.31 million from RM28.4 million in the same period last year due to reduced contribution from its satellite-based communication networks and services segment following the completion of major projects.

Despite the decline, the segment remained Reach Ten’s largest revenue contributor, accounting for 61.27 per cent of total revenue during the quarter.

Reach Ten declared a first interim dividend of one sen per share for the financial year ending Dec 31, 2026, payable on July 15, 2026.

Managing director Leo Chin said that the company remains optimistic on its FY26 outlook, supported by anticipated opportunities from rising satellite and fibre connectivity demand and increasing 5G backhaul requirements nationwide.

“Malaysia’s telecommunications industry continues to undergo rapid digital transformation, supported by nationwide and state-level initiatives aimed at expanding connectivity and narrowing digital gaps.

“While our first quarter performance was affected by timing-related project factors, we remain encouraged by the opportunities ahead, particularly our Starlink solution continues to play an important role in serving underserved communities,” he said.

Looking ahead, Reach Ten is focused on accelerating the commercialisation of its infrastructure assets this year, with strategic priorities centred on strengthening recurring income streams and improving infrastructure utilisation.

Within the satellite-based segment, the company is actively pursuing opportunities under government-led digitalisation initiatives, leveraging its established infrastructure and technical expertise to deliver connectivity solutions in remote and underserved areas where satellite remains the most viable access technology.

At the same time, Reach Ten is expanding its fibre footprint in targeted locations with rising data demand and limited broadband access, while positioning itself to capture growing 5G backhaul opportunities as network operators intensify rollout efforts nationwide.

Reach Ten is also progressing strategic partnership discussions within the telecommunications ecosystem and advancing new tower developments funded through proceeds raised from its listing exercise.

“With a solid infrastructure foundation and healthy balance sheet, we remain committed to supporting Malaysia’s digital inclusion agenda while delivering sustainable value creation for shareholders,” said Chin.

© New Straits Times Press (M) Bhd

المصدر: New Straits Times