Maxis delivers stable growth with increased profitability in Q2
- EBITDA of RM1,094 million, a 4.6% increase year-on-year (YoY)
- Profit After Tax of RM398 million, an 11.8% increase YoY
- Service Revenue of RM2,204 million, a 0.5% decrease YoY
- Interim dividend of 4 sen per share
Maxis, Malaysia's leading integrated telco, delivered stable growth with improved profitability in the second quarter ended 30 June 2025. Driven by a disciplined focus on operational excellence and cost management, earnings before interest, tax, depreciation, and amortisation (EBITDA) grew by a healthy 4.6% year-on-year (YoY) to RM1,094 million. In line with this, Profit After Tax (PAT) rose by 11.8% to RM398 million.
Underlying service revenue remained stable, with growth in the Consumer Postpaid, Home, and Enterprise segments. Maxis registered service revenue of RM2,204 million, flat YoY due to the continued impact from the change in commercial arrangements for the Company's device protection programme, which was first announced in Q1 2025 and is expected to affect YoY comparisons for the remainder of the year.
In Consumer Mobile, service revenue declined by 1.3% YoY, impacted by the aforementioned commercial arrangements and lower interconnect rates. However, mobile subscriptions grew by 2.8% YoY, led by healthy growth in Postpaid from enhanced data plans that deliver greater value. The Prepaid segment remains focused on targeted product offerings, most recently for travellers and budget-savvy consumers.
The Consumer Home segment, which includes fibre broadband and home solar solutions, maintained a steady momentum with service revenue growth of 1.2% YoY in tandem with a 1.4% increase in total Home connections. The Company’s converged Home proposition continues to deliver exceptional customer value and a seamless experience for households across mobile and broadband connectivity, devices, and solar energy.
The Enterprise business maintained its growth momentum with a 1.5% rise in service revenue, driven by higher mobile subscriptions alongside growth in fixed and solutions revenue. Ongoing business digitalisation continues to boost demand for connectivity and cloud services, driving growing adoption of adjacent solutions like IoT, cybersecurity, managed services, and artificial intelligence (AI). The Company maintains a healthy pipeline of business across all key enterprise segments, from small and medium enterprises (SMEs) to large corporates and the public sector, by providing customised solutions to support their digital transformation needs.
“Our Q2 results demonstrate our continued resilience, driven by a disciplined focus on operational excellence. This includes driving greater efficiency and reliability through digitalisation and AI to enhance and automate processes, including network optimisation. We maintain our full-year guidance for low single-digit service revenue growth and flat to low single-digit EBITDA growth, and will continue to strategically invest in our network and offerings to enhance our integrated capabilities and meet evolving customer needs. Reflecting our sound fundamentals and continued strong cashflow, we are declaring an interim dividend of 4 sen per share.” - Goh Seow Eng, Chief Executive Officer of Maxis
Financial highlights: Q2 2025 vs Q2 2024
- Service Revenue declined by 0.5% to RM2,204 million, due to the previously announced changes in commercial arrangements related to Maxis’ device protection programme.
- Consumer Business service revenue declined by 1.0% to RM1,797 million.
- Consumer Mobile service revenue decreased by 1.3% to RM1,543 million, while subscriptions grew by 2.8%, bringing the total number of mobile subscribers to 9.81 million. The decrease in service revenue is due to the aforementioned commercial arrangements related to Maxis’ device protection programme, and lower interconnect rates.
- Consumer Home service revenue grew by 1.2% to RM254 million, supported by a 1.4% rise in subscriptions to 788,000 subscribers. Growth was driven by the continued focus on delivering exceptional customer value and converged home offerings.
- Enterprise Business service revenue rose by 1.5% to RM407 million, driven by higher mobile subscriptions and fixed and solutions revenue growth.
- EBITDA increased by 4.6% to RM1,094 million, supported by stable underlying service revenue and efficient cost management.
- PAT increased by 11.8% to RM398 million in line with EBITDA growth.
- Interim dividend of 4 sen per share for the quarter.
- Capex of RM165 million, prioritising investments in fibre infrastructure that enhance Maxis’ integrated network capabilities and continued focus on targeted upgrades to its mobile network to meet capacity requirements.
- Operating free cash flow stood at RM929 million with a strong cash balance of RM688 million as of Q2 2025, supported by effective working capital management.
Key Initiatives:
- Announced a major expansion of Maxis’ own-built fibre network infrastructure through deployment in Penang, with the goal of connecting more than 100,000 homes in the state by 2027.
- Partnered with Aduna to accelerate enterprise innovation through powerful network application programming interfaces (APIs).
- Presented Hotlink’s best value proposition for budget-savvy consumers under Hotlink Pasti Mampu prepaid and postpaid offerings.
- Launched Hotlink’s Travel SIM with unlimited internet, providing users with reliable connectivity across Malaysia, Singapore, Thailand, and Indonesia.
- Collaborated with the Ministry of Education (MoE) through Maxis eKelas to empower B40 students towards academic success and higher education.
