Advanced Info Service Public Company (ADVANC) Q1 2025 earnings summary

Executive summary

• Q1 2025 delivered strong bottom-line growth, with net profit reaching THB 10.584 billion, up 25.3% year-on-year, driven by a profitability-focused strategy, efficient spending, and a resilient Thai economy.

• All core segments—mobile, broadband, and enterprise—contributed to higher revenues and profitability, with enterprise services growing 12% year-on-year.

• EBITDA and net profit improved significantly year-on-year and quarter-on-quarter, reflecting quality revenue growth and lower finance costs.

• Maintained leadership in network quality, 5G adoption, and digital services, while advancing sustainability and digital inclusion initiatives.

• Paid a final dividend of THB 5.74 per share (THB 17,071 million) in April 2025.

Financial highlights

• Total revenue for Q1 2025 was THB 56.3 billion, up 5.7% year-on-year, with gross profit at THB 21,343 million and gross margin improving to 37.9%.

• Mobile revenue grew 4.3% year-on-year, broadband revenue increased 10% year-on-year, and enterprise/other revenues rose 24% year-on-year.

• EBITDA increased 7.4% year-on-year to THB 30.1 billion, with margin at 53.4%.

• Cash and cash equivalents rose to THB 35,042 million, and free cash flow after lease liabilities was THB 18 billion.

• Net cash from operating activities was THB 32,890 million.

Outlook and guidance

• Maintains full-year guidance for core service revenue and EBITDA growth of 3–5%, with Q1 already exceeding this range.

• Cautious outlook for Q2 and Q3 due to seasonality and revised GDP growth down to 1.8%.

• Ongoing capital expenditures focus on network modernization, IT upgrades, and broadband integration.

• 5G upgrades continue to deliver over 15% ARPU uplift.

• No material impact expected from ongoing legal disputes.