Malaysian state-owned fixed-line operator Telekom Malaysia Bhd. said Friday it plans to distribute a total of MYR1.42 billion ($472.2 million) to shareholders after it reported a 49% increase in fourth quarter net profit.
The firm is planning a MYR1.07 billion capital repayment, with each shareholder receiving the equivalent of MYR0.30 a share, according to its statement to the Malaysian stock exchange. It also plans to pay a dividend of MYR0.098 a share, bringing the total cash distribution to MYR1.42 billion, the company added.
Net profit for the three months ended Dec. 31 rose to MYR598.3 million from MYR400.6 million a year earlier, largely due to the recognition of deferred tax income, the company said. Revenue increased 5.4% to MYR2.45 billion from MYR2.32 billion. The company said revenue from Internet and multimedia services rose 24% to MYR541.3 million, while revenue from other telecommunications services increased 26.2% to MYR424.1 million.
Telekom Malaysia is targeting 5% revenue growth and an earnings before interest, tax, depreciation and amortization margin of 32% for 2012, the company said in a separate statement. In 2011, its normalised Ebitda margin was 33.5%, surpassing 2010’s 33.1%, the company added.
For full-year 2011, the firm’s net profit slipped 1.7% to MYR1.19 billion from MYR1.21 billion mainly due to lower gains from the disposal of shares and unfavourable foreign exchange rates. The company said it had an unrealized foreign exchange loss on borrowings of MYR58.6 million in 2011 versus a gain of MYR303.7 million in 2010. Revenue for year increased 4.1% to MYR9.15 billion compared with MYR8.79 billion in 2010, the company added.