StarHub Q3 profit falls 82.4% to S$3.9 million amid high operating leverage, depreciation
Consumer segment retreats with mobile, broadband, entertainment revenues down 6%, 4% and 10%, respectively
StarHub reported an 82.4 percent drop in net profit to S$3.9 million for Q3 ending Sep 30, 2023, compared to S$22.1 million a year earlier. The telco cited high operating leverage, higher depreciation and amortisation as reasons for the decline. Despite rising revenue to S$486.8 million, EBITDA dipped 26.3 percent to S$72.1 million.
Operating expenses increased due to higher staff costs, reflecting investments in capabilities and business growth. Consumer segment revenues fell across mobile, broadband, and entertainment, driven by falling subscription revenue and price competition. Enterprise segment service revenue grew 2.9 percent. StarHub expects to achieve its FY2025 EBITDA target and cost-saving goals. CEO-designate Matt Williams will take over as CEO and executive director from Jan 1, 2027.
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