Celcomdigi (CDB) Q4 2024 earnings summary

Executive summary

• Achieved strong financial and operating performance in FY2024, with significant milestones in merger integration and transformation, including 75% network modernization and 48 new retail stores launched.

• Growth observed in postpaid, home and fibre, and enterprise solutions segments, with prepaid and enterprise mobile showing turnarounds in Q4 2024.

• Substantial integration progress with 20 out of 50+ IT domains integrated and successful billing transformation.

• Synergy realization and cost efficiencies are on track, with annual cost savings of RM700–800 million expected post-2027.

• Most integration and merger-related costs are now behind, providing a more robust outlook for 2025.

Financial highlights

• FY2024 total revenue was RM12.7 billion, nearly flat year-over-year, with service revenue at RM10.8 billion, down 0.6% year-over-year.

• Reported PAT for FY2024 was RM1.4 billion, down 11.4% year-over-year, while normalised PAT rose 11.6% to RM1.75 billion; normalised EBIT grew 4% to RM2.8 billion.

• Reported EBIT and PAT in Q4 2024 declined due to non-cash impairment and accelerated depreciation of ROU assets.

• Capex for FY2024 was RM2.37 billion, up 35.2% year-over-year.

• Fourth interim dividend of 3.7 sen per share declared, with total FY2024 dividend at 14.3 sen per share.

Outlook and guidance

• FY2025 guidance targets low single-digit growth in service revenue and low to mid-single-digit EBIT growth, with capex intensity at 14–16%.

• Focus areas include market leadership, revenue growth via value-added services, operational excellence, and investments in technology partnerships.