Time dotCom 2Q profit falls 88.9%

by **Cals** Mon 25 Aug 2014, 03:33

Business & Markets 2014

Written by Supriya Surendran for theedgemalaysia.com

Friday, 22 August 2014 20:22

KUALA LUMPUR (Aug 22): Time dotCom Bhd reported a 88.9% fall in net profit for its second quarter ended June 30, 2014 (2QFY14) to RM44 million, from RM390.4 million a year ago.

The huge year-on-year difference is due to the RM349.4 million fair value (FV) gain from the realisation of its available-for-sale reserves in 2QFY13.

In a filing with the local bourse today, Time said that the absence of the FV gain in the 2QFY14 also caused the group’s net profit in the cumulative six months ended June 30, 2014 (1HFY14) to fall 82.8% to RM73.4 million, from RM426.4 million a year ago.

For the quarter under review, the data-centric telecommunications provider recorded an increase in revenue of 16.1% to RM155.7 million, from RM134.1 million in 2QFY13, driven by higher data sales and improved data centre contributions.

Similiarly, the continued growth in data resulted in an increase in its 1HFY14 revenue by 7.6% to RM287.6 million, from RM267.1 million in 1HFY13.

In a media statement, Time chief executive officer Afzal Abdul Rahim said he is pleased with the continued growth in three businesses, namely its wholesale, enterprise, and small to medium enterprise (SME) and consumer segments.

Moving forward, he said the group’s investments in two submarine cable systems will ensure continued revenue growth in the future, as they will link the group's core telecommunications and data centre businesses in Malaysia with its international submarine cable network.