StarHub profits up but revenues static

Singaporean triple-play operator StarHub has reported net profit up 21% to S$78 million for the second quarter, despite static revenues at $532 million. EBITDA rose 10% to S$161 million.

But pay-TV revenues fell by 2%, down to S$101 million. Higher revenue a year ago was attributed to Euro 2008. Pay-TV ARPU fell S$2 year-on-year.

Subscriptions rose, however, up 4% to 530,000. The number of digital subs increased 16% to 528,000 and are now almost 100% of the total.

In other units, mobile revenues grew 1% to S$272 million; broadband revenues fell 3% to S$60 million and fixed network revenues increased 7% to S$80 million.

The percentage of hubbing homes those subscribing to two or more StarHub services stood at 54%, with 43% subscribing to all three services.

Terry Clontz, CEO of StarHub, said: "We are pleased with the results given the challenging business environment that we operate in. Our diversified revenue base has allowed us to mitigate the impact of softer demand due to the weakened economy in certain segments. Good cost containment has delivered excellent free cash flows with substantial headroom for sustaining our guidance on dividend payments. However, as it is not clear whether we have yet seen the worst impact of the economic downturn on our business, we will remain diligent in looking for ways to control costs while pursuing profitable growth.

The company expects full-year revenues to be maintained at 2008 levels.