ADVANC Reports 10% Revenue Growth amid High Demand for iPhone14 and Growing Broadband Business

Advanced Info Service Public Company Limited (SET: ADVANC) has announced its 3Q22 consolidated financial statement through the Stock Exchange of Thailand as follows;

Quarter 3Q22 3Q21
Net Profit (Loss)
Million Baht
6,032 6,374
Earning Per Share
2.03 2.14
% Change -5.4
9 Months 2022 2021
Net Profit (Loss)
Million Baht
19,256 20,349
Earning Per Share (Baht) 6.27 6.75
% Change -5.4

In 3Q22, ADVANC reported net profit was at THB6,032 million, decreased -5.4% YoY and -4.3% QoQ pressured by lower EBITDA in 3Q22 partially offset by less unrealized foreign exchange loss and lower finance cost.

ADVANC generated total revenue of THB46,234 million, increasing 9.1% YoY and 2.1% QoQ due to high volume sales of the new iPhone14 which was launched earlier by one quarter this year together with continued business momentum in broadband business.

Meanwhile, cost of service was at THB21,863 million, increased 2.0% YoY and 1.1% QoQ mainly from the increase in network OPEX due to rising of utility cost.

EBITDA was at THB22,091 million, decreased -1.2% QoQ from network OPEX and decreased -3.5% YoY from higher marketing expenses.

Mobile subscribers increased 0.3% QoQ and reached 45.6 million, representing a total net addition of 157k subscribers in this quarter. Prepaid subscribers decreased 138K, or -0.4% QoQ, from a contraction of consumer purchasing power especially in the low-to-mid income segment with increased churn rate after high tourist sims sales in 2Q22. Postpaid gained new subscribers of 296k, increased 2.5% QoQ due to higher handset bundling sales with 5G packages especially in the affluent segment. The blended ARPU dropped -1.6% QoQ to Bt212 pressured by consumer behavior amid inflation and intense price competition. 

At the end of 3Q22, 5G subscribers increased 41% QoQ to stand at 5.5 million from efforts to encourage 5G adoption through affordable 5G packages and device bundling.

AIS Fibre continued surging and closed 3Q22 at 2.1 million with net increase of 115k subscribers, a strong increase of 25% YoY. The increase was due to an expansion of service coverage to more suburban areas as well as efforts to reduce the churn rate from the strategy to offer more varieties of packages and services. However, price competition remained intense as operators continued to offer low-price plans in the market for new acquisitions, causing a downward trend in ARPU falling to THB418 or -3.4% QoQ.