KUALA LUMPUR: Maxis Bhd posted a lower net profit of RM298.0 million in the first quarter ended March 31,2022 from RM334.0 million.
The company, however, said it recorded solid growth in fibre and enterprise segments as well as higher investments in mobile business.
Group turnover rose to RM2.41 billion from RM2.24 billion year-on-year, contributed by higher revenues in service, consumer business as well as enterprise segments.
Chief executive officer Gökhan Ogut said the performance showed that Maxis' convergence strategy was on the right track.
"Our top priority is to continue to deliver a great converged network with an unmatched personalised experience across all channels for our customers. We are committed to building and connecting communities for the digital future of the nation," he said in a statement today.
The company declared an interim dividend of five sen net per share for the quarter.
Maxis said its capital expenditure for the quarter stood at RM171 million, up 25.7 per cent as it continued to invest in strengthening its ubiquitous access and platforms to deliver on enterprise solutions as well as rebalancing capacity.
Operating free cash flow, normalised for RM185 million Universal Service Payment, remained robust at RM669 million, up 11.3 per cent year-on-year, driven by a strong focus on working capital initiatives and cash flow management.
Maxis said it had achieved commercial targets for Jendela in the first quarter of 2022, accelerating capacity for both mobile and fixed, with 12 new sites, 609 upgraded, and expanding fibre footprint to 3,000 premises passed.
The company is closely monitoring and assessing the impact of equity participation in Digital Nasional Bhd, 5G commercial launch and Covid-19.
"However, the commercial 5G launch details remain under industry-wide negotiation and when finalised, could affect our execution approaches, timelines and future financial performance. The group is assessing the impact based on the information available," it added.