Earnings call transcript: Tuas H2 2026 profit jumps, but shares sink 14%

In fiscal year 2026, Tuas Limited reported a significant increase in profit, despite its shares falling by 14%. The company's revenue rose 24% to SGD 187.6 million, while its underlying net profit after tax jumped to SGD 29.6 million, a 328% increase from SGD 6.9 million in the previous year. EBITDA grew by 22% to SGD 83.7 million, with the margin remaining steady at 45%.

End-of-year cash and term deposits were SGD 498.8 million after raising capital for the M1 deal. Despite the strong financial results, the stock dropped 13.73% to $2.01, as investors focused on regulatory uncertainty, the failed M1 transaction, and higher cybersecurity spending. Tuas achieved stronger subscriber growth, with mobile subscribers reaching about 1.4 million (16% increase) and active fixed-broadband services at 62,000 (36,000 increase).

The company ranked second in mobile network reliability and first in fixed-broadband consistency. Management highlighted the importance of price leadership and strong service quality, while also noting the growth opportunities in fixed broadband. The company expects capital expenditure of SGD 50 million to SGD 55 million for 2027 and additional cybersecurity spending of SGD 15 million to SGD 30 million.