Singtel Earnings Preview: Can the Telecom Giant Sustain Its Rally?

$Singtel(Z74.SI)$   is set to release its full-year and H2 FY2025 results before trading opens on May 22, 2025. After a stellar run—up over 25% year-to-date and nearly 70% in the past 12 months—investors are watching closely to see if Singtel can keep up its momentum.

Singtel is one of Asia’s leading telecommunications companies, headquartered in Singapore and listed on the SGX. It provides a wide range of services, including mobile, broadband, pay TV, and enterprise ICT solutions, serving over 700 million mobile customers across Asia Pacific through its own operations and regional associates such as Optus (Australia), Bharti Airtel (India), AIS (Thailand), and Globe (Philippines).

Key Takeaways

– Revenue: Analysts estimate Singtel will post SGD 3.63 billion for Q4 2025, representing a year-on-year increase of about 3.6%.

– EPS: Consensus earnings per share (EPS) is expected to be SGD 0.044.

– Full-Year Forecast: For the full FY2025, revenue is expected to be around SGD 14.1–14.2 billion, with core net profit in the range of SGD 2.52–2.60 billion, up roughly 11% year-on-year.

Business Highlights & Growth Drivers

1. Core Market Growth

Singtel’s Singapore and Australia operations (Optus) continue to deliver steady growth in mobile and broadband. Both user numbers and ARPU are rising, with NCS (enterprise digital) also contributing to profit gains.

1. Digital & 5G Innovation

Singtel is leading in digital transformation, launching the Perplexity Pro AI assistant for free and partnering with Singapore’s Defence Science and Technology Agency on 5G network slicing—positioning itself at the forefront of smart city and automation solutions.

1. Digital Infrastructure Expansion

The Paragon platform is accelerating enterprise 5G adoption, while investments in cloud, edge computing, and cybersecurity are opening new growth avenues and boosting enterprise stickiness.

Strategic Focus & Outlook

Singtel's management is doubling down on:

– 5G leadership and digital transformation

– Unlocking value from digital infrastructure assets

– Sustaining higher dividends and capital returns

Analysts see room for further dividend increases, improved ROIC, and continued earnings growth. Risks include rising competition in key markets, FX volatility, and potential margin pressure from new investments.

Risks and Considerations

Management is focused on leading in 5G, unlocking value from digital assets, and sustaining higher dividends. However, investors should watch for increased competition, FX volatility, and execution risks as Singtel ramps up digital and infrastructure investments.

With a strong analyst consensus, robust fundamentals, and a clear growth strategy, Singtel remains a favorite among institutional and retail investors alike. However, after such a sharp rally, some may question whether the upside is already priced in.

@TigerStars  @CaptainTiger  @TigerWire  @Daily_Discussion  @Tiger_chat  @Tiger_comments  @MillionaireTiger @Tiger_SG