- On track to achieve annual cost savings of US$158–180 million
- One-off merger adjustments cut FY2024 EBIT by 13.4% and PAT by 11.4%
CelcomDigi Berhad has announced its fourth-quarter and full-year results for the financial year 2024 (FY2024), delivering strong financial and operational performance while executing an extensive integration programme in its second year as a merged company. The company stated that it has progressed ahead of plan in integrating and transforming its network, IT, retail, customer experience, and operating model, laying a strong foundation for long-term profitable growth.
Second-year integration and transformation ahead of plan, synergy targets on-track
In 2024, CelcomDigi accelerated its network integration and modernisation, completing approximately 75% of the programme. It also successfully concluded the first phase of harmonising its billing and customer relationship management system. The rollout of 48 new retail stores has improved sales productivity and enhanced customer and digital experiences. Additionally, the company refreshed its product portfolio across all consumer and enterprise segments, now operating under a unified CelcomDigi brand.
As a result of these cost efficiencies, CelcomDigi remains on track to achieve annual cost savings of US$158 million (RM700 million) to US$180 million (RM800 million) post-2027.
[RM1 = US$0.22]
Creating pathways for sustainable and profitable growth
CelcomDigi maintained a stable topline in FY2024, with strong underlying profitability supported by disciplined cost management and synergy realisation.
One-off merger-related financial adjustments led to a 13.4% decline in reported EBIT and an 11.4% drop in PAT for FY2024. However, excluding these non-recurring adjustments, normalised EBIT grew by 4.0% to RM2,797 million, while normalised PAT increased by 11.6% to RM1,748 million, driven by cost optimisation and synergy savings.
Revenue growth in Postpaid, Home & Fibre, and Enterprise solutions offset declines in Prepaid and Enterprise mobile. FY2024 service revenue stood at RM10,792 million, marking a slight 0.6% decline in the second year of integration.
Postpaid revenue grew 2.6% year-on-year to RM4,181 million, supported by a subscriber increase of 374K, while Prepaid revenue declined by 3.4% to RM4,416 million, with subscriber losses (-23K Q-Q) slowing, indicating signs of stabilisation.
Home & Fibre revenue surged 34.4% year-on-year to RM185 million, with 76K new subscribers, outpacing industry growth. Enterprise Solutions also recorded an 8.8% increase, while Enterprise Mobile improved 5.2% quarter-on-quarter, reflecting stronger adoption of corporate offerings.
CelcomDigi ended the year with approximately 20.4 million subscribers and an improved blended ARPU of RM42. The company declared a fourth interim dividend of 3.7 sen per share, bringing the FY2024 total to 14.3 sen per share, in line with its sustainable dividend commitment.
Transformation initiatives provide launchpad for future growth and efficiency
CEO Idham Nawawi stated, “We achieved significant milestones in our second year of post-merger integration, capturing synergies as planned while maintaining financial discipline to deliver strong financial and operating performance. This execution enabled us to create value for shareholders in line with our FY2024 guidance.”
He added, “With a solid foundation in place, we will focus on strengthening market leadership, driving long-term profitable growth, and enhancing customer value through product innovation and digital services. By optimising costs and refining our operating model, we aim to be one of the most efficient operators globally.”
“We continue to invest in AI-driven capabilities and digital services to redefine customer experiences. These initiatives will sustain our market leadership, drive our telco-tech ambition, and support Malaysia’s development into a 5G-AI-powered digital society,” Idham said.
Financial and operational highlights
- Consumer: Postpaid continuing growth momentum, while Prepaid base stabilised with retention activities
- Postpaid subscribers grew +83K Q-Q and +374K Y-Y in Q4 FY2024, reaching 5.79 million subscribers, driven by the company’s efforts in offering attractive packages and competitive pricing. Q4 2024 revenue was RM1,063 million, +1.6% Q-Q and +3.9% Y-Y, reflecting market trend with growing mid-value customer base, coupled with outbound roamers during the year-end festive period.
- Prepaid subscribers decreased -23K Q-Q, -621K Y-Y to 12.86 million subscribers, driven by targeted retention campaigns. Revenue in Q4 was RM1,088 million, -0.7% Q-Q, -5.1% Y-Y, impacted by lower activations arising from dual-SIM consolidation and a strategic decision to reduce reliance on one-time rotational SIM segment. Average revenue per user (ARPU) remained stable at RM28 despite price competition.
- Home & Fibre: Persistent and solid growth in subscribers and revenue, with industry leading subscriber additions
- Subscribers grew +29K Q-Q, +76K Y-Y, totaling 188K subscribers, driven by competitive offerings and channel push.
- Revenue was RM56 million, +14.3% Q-Q, +48.3% Y-Y, in tandem with the growth of subscribers. ARPU reduced to RM107 due to one-off finance re-classification.
- Enterprise: Improved performance in Enterprise Solutions
- Enterprise revenue improved +4.3% Q-Q driven by increase in Mobile, M2M, ICT Solutions and Bulk SMS, but declined -1.7% Y-Y in Q4 FY2024 to RM307 million, mainly affected by the decline in mobile revenue.
- Growth in the corporate segment attributed mainly to fixed connectivity and ICT solutions.
FY2025 financial guidance
CelcomDigi looks forward to a more robust and sustainable outlook for 2025 onwards. The guidance for FY2025 is as follows:
