DTAC Reports a 6% Decline in Profit as Service Revenue Fall, Offering a Dividend of ฿2.12

Total Access Communication Public Company Limited (DTAC) has announced its yearly consolidated financial statement through the Stock Exchange of Thailand as follows;

DTAC reported a net profit for FY2020 amounted to THB 5,107 million, decreasing 5.8% YoY as at the end of the year total subscriber base stood at 18.9 million, declining 1.8 million from the same period a year earlier. The decline was accounted mostly by prepaid, reflecting primarily loss in tourists and migrants, and lower acquisition following the lockdown crisis and intense competition.

 

Service revenues excluding IC dropped 2.0% QoQ in Q420 and 4.6% YoY in FY2020. Core service revenues (defined by bundle of voice and data service revenues) declined 2.2% YoY in FY20. Blended ARPU increased slightly at 1.0% hin FY20 despite declining trends in prepaid and postpaid from customer spending optimization. 

 

EBITDA (before other items), excluding one-time effect, was relatively flat in FY20 primarily due to lower network OPEX and SG&A despite challenging external environments. EBITDA margin for FY2020 was 38.3%. However, excluding revenues from CAT lease agreements and TOT network rental, EBITDA margin stood at 43.1%.

 

At the end of FY20, postpaid subscriber base stood at 6.1 million, reflecting a decline of 321k from FY19 but increasing 63k QoQ. Prepaid subscribers dropped 1.5 million YoY but increased 110k QoQ to 12.8 million, reflecting gradual recovery following dtac’s focus on Thai mass segment in the second half of the year. 

 

Average Revenue per User excluding IC (ARPU) for FY20 was THB 252 per month, which was a slight increase of 1.9% YoY. At the end of FY2020, postpaid subscriber base accounted for approximately 32.4% of total subscriber base. Postpaid ARPU for FY2020 was THB 518 per month, showing an increase of 0.6% YoY, while prepaid ARPU was THB 128 per month, showing a decline of 6.4% YoY, driven by customer spending optimization.

 

Traffics on TOT’s 4G-2300MHz network continued to stay at the high levels, driven by change in customer behavior as part of the new normal adaptation after the lockdown. No. of 4G-2300MHz installed base stations under the partnership with TOT reached approximately 20,400 at end of FY2020, increasing by approximately 3,000 base stations from FY2019. The number of 4G users reached 12.2 million, representing approximately 64% of total subscriber base. The number of 4G compatible devices increased to 83% of total subscriber base. Smartphone penetration reached 87.5%.

 

In addition, the Board of Directors of DTAC has approved an annual dividend of THB 2.12 per share. The Record Date will be 15 February 2021 and the payment is scheduled to be made on 20 April 2021.