Highlights

SGX Stocks and Warrants

Author: kimeng   |   Latest post: Wed, 21 Aug 2019, 9:28 AM

 

NetLink NBN Trust: In-line Set of Results

Author:   |    Publish date:


NetLink NBN Trust’s (NLT NBN) 1QFY20 results were within our expectations. Revenue grew 6.9% YoY to S$92.0m, on the back of higher residential connections and installation-related revenue partially offset by lower ducts and manholes service and diversion revenue. We note that the higher installation-related revenue was mainly due to StarHub migrating its coaxial cable subscribers to fibre.

EBITDA rose 9.1% YoY to S$66.5m, which comprises 26.6% of our full-year forecast. Excluding the impact of SFRS (I) 16, the group’s EBITDA margin would have been 71.5%, compared to 70.8% in 1QFY19, which we believe is a consequence of a drop in diversion revenue which typically carries lower margins.

PAT came in at S$20.9m, or 24.6% of our full-year forecast. We note that the group saw NBAP connections drop 5.2% QoQ to 1,505 connections, due to the government’s review of the Smart Nation Sensor Platform programme.

We maintain our BUY rating but place our FV under review..

Source: OCBC Research - 6 Aug 2019

Share this

Related Stocks

Chart Stock Name Last Change Volume 
NetLink NBN Tr 0.89 +0.005 (0.56%) 6,392 

  Be the first to like this.
 


 

122  142  162  676 

ActiveGainersLosers
Top 10 Active Counters
 NameLastChange 
 LionGold 0.0010.00 
 ThaiBev 0.93+0.005 
 YZJ Shipbldg SGD 0.93-0.035 
 SingTel 3.24+0.05 
 Rex Intl 0.076-0.001 
 MMP Resources^ 0.003-0.001 
 Kep Infra Tr 0.515+0.005 
 Koh Eco 0.052+0.001 
 RHT HealthTrust 0.019+0.001 
 Frasers L&I Tr 1.19-0.03 
Partners & Brokers