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OPERATING COMPANIES BUSINESS REVIEW
Axiata Group Berhad | Annual Report 2016
047
Key Highlights
• Singapore’s fastest residential
fibre broadband service 10Gbps
XGPON
• Demonstrated Southeast Asia’s
fastest combined speeds in 4.5G
speed trial
• Singapore’s 1st WiFi-On-The-Go
service trials
• Singapore’s 1st nationwide
commercial narrowband Internet
of Things (NB-IoT) network
• Singapore’s 1st nationwide HetNet
M1 makes available to its mobile and fixed
line customers International Direct Dial (IDD)
services, as well as an International Calling Card
service. M1 also trades wholesale voice minutes
with other international and local service
providers and provides dark fibre services to
carriers and data centres. Since September
2010, M1 has made available a range of
residential fibre broadband services with speeds
of up to 10Gbps, including fixed voice and other
value-added services. The Company offers an
extensive suite of mobile and fixed services to
the corporate segment.
Business Review 2016
In 2016, the postpaid mobile segment remains
the key contributor to M1’s revenue, comprising
61.8% of its total mobile customer base as at
end 2016 and 89.0% of revenue. During the year,
M1 added 52,000 postpaid customers to bring
its postpaid base to 1,247,000.
Driven by faster networks and devices, mobile
data usage grew to an average data usage per
smartphone customer of 3.6GB per month in
the fourth quarter of 2016, up from 3.3GB per
month a year ago.
Throughout 2016, M1 continued to enhance and
expand its products and services. It launched
new Upsized Data bundles to cater to an
increasing data usage trend among customers,
as well as M1 Entertainment Data which enables
customers to enjoy unlimited local access to
OTT video and music services.
Within the prepaid mobile segment, the
Company grew its customer base by 39,000
to 772,000, driven by various marketing
campaigns, promotions and new offerings.
Prepaid customers were able to use their data
bundles in Malaysia, Indonesia, Hong Kong,
Macau and Taiwan. M1 also launched a new IDD
prefix, which offered customers low flat rates
on calls to India, Bangladesh, China, Myanmar,
Philippines and Indonesia.
In the fixed services segment, the Company
added 32,000 customers to bring its fibre
customer base to 160,000, driven by its
competitive service plans, tactical promotions
and new complementary services such as
the M1 Fibre Sports Bundle. M1 also launched
Singapore’s fastest residential fibre broadband
service, the 10-Gigabit Passive Optical Network
(10Gbps XGPON) fibre service in 2016.
In spite of the short-term challenges, Idea
remains committed to the process of building
world class mobile broadband services. The
Company is aggressively participating in the
Digital India mission and is gearing up to offer
Pan India wireless broadband services via 3G
and/or 4G in all 22 telecom service areas in India.
By the end of the first quarter of 2017, Idea’s 4G
services will be expanded to 20 circles, covering
94% of its revenue market. The first half of
2017 will also see the launch of Aditya Birla Idea
Payments Bank.
Idea’s track record has proved that the company
has performed better than the industry
consistently, and the Company believes that
healthy competition in the 4G market will aid
in market growth and offer consumers greater
choices.
PAT
25,043
(720)
2015 2016
SUBSCRIBERS
171.9
185.2
2015 2016
+7.7%
4
Rs Million
Million
REVENUE
264,971
274,496
2015 2016
+3.6%
1
EBITDA & EBITDA
MARGIN (%)
35.5%
29.4%
94,139
80,798
2015 2016
-14.2%
2
-102.9%
3
Rs Million
Rs Million
About M1
M1 is Singapore’s most vibrant and dynamic
communications company, providing mobile
and fixed services to more than two million
customers. Since the launch of commercial
services in 1997, M1 has achieved many firsts,
including the first operator to offer nationwide
4G service, as well as ultra-high-speed fixed
broadband, fixed voice and other services on
the Next Generation Nationwide Broadband
Network (NGNBN). With a continual focus on
network quality, customer service, value and
innovation, M1’s mission is to link anyone and
anything; anytime, anywhere.
The Company holds Facilities-Based Operator
and Services-Based Operator licences issued
by the Infocommunications Media Development
Authority of Singapore (IMDA), for the provision
of telecommunication systems and services.
M1 also has a Telecommunication Dealer’s
Class Licence, for the import and sale of
telecommunication equipment.
M1 operates nationwide 4G LTE Advanced
and 3G/HSPA networks, capable of download
speeds of up to 300Mbps. Through these
networks, it provides customers with a wide
range of data, voice and value added postpaid
and prepaid mobile services. To cater to its
customers’ varied needs, M1 offers service plans
with a choice of data and voice bundles that
they can take up, with or without a device.
Idea
1,2,3 & 4
All financials are for nine months ending December 31 for both years.