[SINGAPORE] Asian Pay Television Trust (APTT) posted a first-quarter net profit of S$7.3 million, down 47.2 per cent from S$13.8 million in the previous corresponding period.
Revenue fell 6.5 per cent on the year to S$59.4 million from S$63.5 million, the trustee-manager said in a bourse filing on Wednesday (May 14).
This was despite broadband growth momentum continuing during the quarter, with the addition of about 8,000 new broadband subscribers. In total, the trust’s net subscriber base increased by about 7,000, to around 1.4 million subscribers.
APTT operates as its sole investment the Taiwanese cable operator Taiwan Broadband Communications.
Basic cable TV revenue in Q1 fell 10.8 per cent on the year to S$38.6 million from S$43.3 million. The trustee-manager cited a decline in subscribers by about 4,000 and lower average revenue per user, due to competition from Internet protocol television, lower cable television pricing outside of Taiwan Broadband Communications’ franchise areas and the increasing popularity of online video.
Premium digital TV revenue dropped 5.5 per cent to S$2.4 million, from S$2.6 million previously. The decline was attributed to various promotions that were offered to attract and retain subscribers, as well as video piracy issues and aggressive competition.
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Meanwhile, broadband revenue increased 4 per cent to S$18.3 million for the quarter, from S$17.6 million the previous year. Broadband growth was due to a higher average revenue per user in the quarter, which rose by NT$1 (S$0.04) from the previous quarter to NT$386 per month, the trustee-manager said. Its strategy of offering higher speed plans at competitive prices also contributed to the segment’s growth.
Despite a weaker foreign exchange rate contributing a negative variance of 3.8 per cent, the trustee-manager said that broadband revenue grew by 7.8 per cent in constant Taiwanese currency.
The television and broadband trust reaffirmed its full-year distribution guidance of S$0.0105 per unit for 2025, to be paid half-yearly.
Chief executive officer of the trustee-manager Somnath Adak said that the trust’s broadband perfomance was encouraging. “Subscribers and revenue, in both constant dollar terms and our reporting currency have been growing consistently for over five years, cushioning the decline in basic cable TV.”
The trustee-manager said that its basic cable TV segment is unlikely to experience growth due to Taiwan’s competitive cable TV market. However, it said that total subscriber base is expected to continue its growth throughout 2025.
“Overall, we are moving in the right direction where we aim to grow cash flows from broadband to a level that consistently more than offsets the decline in our basic cable TV business,” Adak added.
Units of APTT closed flat at S$0.08 on Tuesday.
