Axiata net profit up 28pc, doubles dividend payout
KUALA LUMPUR, Feb 23 — Axiata Group Berhad’s net profit for 2011 rose 28 per cent to RM2.7 billion despite slower market conditions said the regional telecommunications group today.
Axiata also said that it ended the year with RM6.6 billion in cash and is proposing an accumulative increase payout in dividends of 19 sen per share, or a 60 per cent payout ratio, double that of the 30 per cent ratio last year.
Axiata said that subject to business conditions, it will continue with its policy of progressively increasing the payout ratio.
“Consistent with the policy, and as a guidance for next year, it is our intention to increase the payout ratio to around 65 per cent subject to a number of factors,” said the group in a statement.
Revenue grew five per cent to RM16.4 billion on the back of strong performance from its operating companies which include Celcom.
It added that a weaker currencies in countries that it operates in outside of Malaysia had impacted earnings.
Axiata said that revenue would have been 7.5 per cent higher at constant currency values.
Its key subsidiary, Celcom saw profits rise 11 per cent to hit RM2 billion last year.
The group also said that its total subscriber base rose 25 per cent to 200 million.
Group Chief Executive Officer Datuk Sri Jamaludin Ibrahim said that data will be the focus of growth in mature markets while subscriber growth would continue in India and Bangladesh.