M1's net profit up 7.5% to $40.3m
Looks like M1 won't be fixing broken lines anytime soon.
According to the research by Maybank Kim Eng, M1 opened 2012 with all the signals intact and pointing in the right direction. While net profit rise of 7.5% QoQ to $40.3m is inline with market expectations and company guidance of a stable performance in FY12, Maybank saw extremely positive YoY trends.
Notably, there are very encouraging signs of an earlier-than-expected ability to monetise its data business. Further, as rollout issues are increasingly resolved, Maybank expects greater gains in fibre subscriber base in the quarters ahead to be another positive catalyst for the stock.
M1’s outlook is clearing up as greater visibility is gained on its future margin and topline drivers.