Telcos troubled by increasingly anemic income growth

Weak voice and roaming revenue are to blame.

Lacklustre revenue growth was a key theme in the second-quarter results of Singapore’s three telcos.

A report by Barclays highlighted that underwhelming revenue trends persisted in Q2, despite rising wireless data usage on 4G and price hikes that went effective in the fourth quarter of 2014.

The sub-par growth can be blamed mainly on shrinking voice usage, coupled with weakening roaming trends.

“We believe that (still rapidly) declining voice revenue is the main reason for this lacklustre service revenue trend. At the industry level, voice revenue is still declining by a high single-digit rate y/y every passing quarter, and voice still remains a significant part of overall service revenue (c50% as of 2Q15),” Barclays said.

Join Singapore Business Review community
A NOTE FROM SINGAPORE BUSINESS REVIEW

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.


If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.