Maxis maintains steady progress in first quarter performance
- Profit After Tax of RM371 million, a 5.1% increase year-on-year (YoY)
- Service Revenue of RM2,171 million, a 0.9% decrease YoY
- EBITDA of RM1,055 million, a 1.1% increase YoY
- Interim dividend of 4 sen per share
Maxis, Malaysia’s leading integrated telco, reported Service Revenue of RM2,171 million for the first quarter ended 31 March 2025, reflecting a slight decline of 0.9% year-on-year (YoY). Underlying revenue remains stable YoY, with the decrease primarily attributed to changes in commercial arrangements related to Maxis’ device protection programme.
The Consumer Mobile segment experienced a 2.6% decrease in service revenue, caused by the changes in commercial arrangements mentioned above, in addition to seasonal fluctuations and lower interconnect rates. Amidst the highly competitive operating environment, the Consumer Mobile segment sustained its growth momentum with a 3.7% increase in subscribers. This reflects Maxis’ continued effort to deliver enhanced value through tailored offerings for both Postpaid and Prepaid customers.
The Consumer Home segment continued to expand, delivering a 4.1% increase in revenue, with home subscribers growing by 2.9%. This growth was driven by healthy adoption of fibre broadband and customised offerings through bundled and value-added services. Maxis has also strengthened its converged home proposition with the recent launch of Maxis Home Solar, expanding access to renewable energy for households across Peninsular Malaysia.
Maxis’ Enterprise Business registered a 2.8% increase in service revenue YoY, driven by higher mobile subscriptions and deliveries of fixed and solution services. The Company continued to support businesses in their digital transformation by offering solutions tailored to customer needs, fostering technology partnerships across industries to develop innovative use cases and integrated solutions, and expanding fibre connectivity to offices, industrial parks, and data centres.
The Company effectively managed its costs, which delivered a 1.1% YoY increase in earnings before interest, tax, depreciation, and amortisation (EBITDA) to RM1,055 million. Additionally, lower depreciation and net finance costs contributed to stronger bottom-line growth, with Profit After Tax (PAT) rising by 5.1% to RM371 million.
“We are actively building greater resilience in a dynamic market by strengthening our core operations and driving digital transformation. We anticipate a return to low single-digit growth in service revenue and flat to low single-digit EBITDA growth by year-end, supported by disciplined capital expenditure under RM1 billion strategically invested in key areas for long-term growth and enhanced customer value.” - Goh Seow Eng, CEO of Maxis
The Company declared an interim dividend of 4 sen per share for the quarter.
Q1 2025 financial highlights: Q1 2025 vs Q1 2024
- Service Revenue with 0.9% decrease at RM2,171 million, due to change in commercial arrangements related to Maxis’ device protection programme.
- Consumer Business service revenue declined by 1.7% at RM1,773 million.
- Consumer Mobile service revenue decreased by 2.6% to RM1,519 million, with a 3.7%, increase in subscribers, bringing the total number of mobile subscriptions to 9.77 million. The decrease in service revenue is due to the changes in commercial arrangements related to Maxis’ device protection programme, seasonal fluctuations and lower interconnect rates.
- Consumer Home service revenue grew by 4.1% to RM254 million, supported by a 2.9% rise in subscriptions to 787,000 subscribers. This growth is driven by healthy adoption of fibre broadband and customised offerings through bundled and value-added services.
- Enterprise Business service revenue rose by 2.8% to RM398 million, driven by higher project deliveries and mobile subscriptions.
- EBITDA increased by 1.1% to RM1,055 million, supported by steady topline performance, and strategic focus on operational efficiencies and disciplined cost management.
- PAT increased by 5.1% to RM371 million, from lower depreciation and net finance costs.
- Capex of RM86 million, prioritising investments that align with long-term strategic goals and optimisation of existing infrastructure.
- Operating free cash flow stood at RM883 million with a strong cash balance of RM1,231 million as of Q1 2025, supported by effective working capital management.
Key Initiatives:
- Introduced Maxis Home Solar, a worry-free solution that makes renewable energy more accessible to households across Peninsular Malaysia.
- Enhanced prepaid offerings to deliver greater value and affordability, ensuring customers receive benefits tailored to their needs.
- Digitalised micro, small, and medium enterprises (MSMEs) through Geran Digital PMKS Madani.
- Launched Maxis Intelligent Assistant (MIA), an innovative generative artificial intelligence (Gen AI) powered concierge service for business customers.
- Forged strategic technology collaborations with Huawei, Nokia, and Universiti Tunku Abdul Rahman (UTAR), as well as talent development partnerships with Universiti Malaysia Terengganu (UMT) and Universiti Tun Hussein Onn Malaysia (UTHM)·
- Offered immediate support for the Putra Heights community following fire incident to mobile and fibre broadband customers.
