Financials Singapore Telecommunications Limited

Equities

Z74

SG1T75931496

Integrated Telecommunications Services

Market Closed - Singapore S.E. Other stock markets 01:30:15 30/04/2024 pm IST			5-day change	1st Jan Change
2.39 ^SGD	+1.70%		+1.27%	-3.63%

11:26am	Maybank Securities Adjusts Singapore Telecommunication’s Price Target to SG$3.10 From SG$3.05, Keeps at Buy	MT
11:25am	Citi Research Adjusts Singapore Telecommunication’s Price Target to SG$3.00 From SG$2.88 Yuan, Keeps at Buy	MT

Valuation

Fiscal Period: March	2019	2020	2021	2022	2023	2024	2025	2026
Capitalization ¹	49,292	41,459	40,294	43,581	40,600	39,278	-	-
Enterprise Value (EV) ¹	59,444	53,958	52,659	53,319	49,825	48,001	48,262	48,600
P/E ratio	16 x	38.7 x	72.2 x	22.4 x	18.4 x	16.2 x	15.5 x	13.6 x
Yield	5.79%	4.82%	3.07%	3.52%	5.85%	5.38%	5.53%	6.19%
Capitalization / Revenue	2.84 x	2.51 x	2.58 x	2.84 x	2.78 x	2.72 x	2.63 x	2.55 x
EV / Revenue	3.42 x	3.26 x	3.37 x	3.48 x	3.41 x	3.32 x	3.24 x	3.15 x
EV / EBITDA	12.7 x	11.9 x	13.7 x	14.2 x	13.5 x	12.9 x	12.2 x	11.7 x
EV / FCF	16.3 x	14.3 x	15.5 x	17.3 x	19.1 x	12.9 x	14.3 x	12.4 x
FCF Yield	6.14%	7.01%	6.45%	5.78%	5.24%	7.73%	6.98%	8.09%
Price to Book	1.65 x	1.55 x	1.51 x	1.55 x	1.56 x	1.49 x	1.47 x	1.42 x
Nbr of stocks (in thousands)	1,63,22,018	1,63,22,326	1,65,13,963	1,65,07,889	1,65,03,958	1,65,03,347	-	-
Reference price ²	3.020	2.540	2.440	2.640	2.460	2.380	2.380	2.380
Announcement Date	14/05/19	27/05/20	26/05/21	26/05/22	24/05/23	-	-	-

¹SGD in Million²SGD

Estimates

Income Statement Evolution (Annual data)

Fiscal Period: March	2019	2020	2021	2022	2023	2024	2025	2026
Net sales ¹	17,372	16,542	15,644	15,339	14,624	14,450	14,917	15,408
EBITDA ¹	4,692	4,541	3,832	3,767	3,686	3,733	3,955	4,149
EBIT ¹	2,470	1,961	1,147	1,045	1,112	1,196	1,350	1,487
Operating Margin	14.22%	11.86%	7.33%	6.81%	7.6%	8.27%	9.05%	9.65%
Earnings before Tax (EBT) ¹	3,746	1,565	754	2,621	2,598	2,265	3,375	3,748
Net income ¹	3,095	1,075	553.7	1,948	2,225	2,033	2,528	2,833
Net margin	17.82%	6.5%	3.54%	12.7%	15.21%	14.07%	16.95%	18.38%
EPS ²	0.1893	0.0656	0.0338	0.1176	0.1340	0.1473	0.1532	0.1756
Free Cash Flow ¹	3,650	3,781	3,395	3,081	2,613	3,709	3,370	3,933
FCF margin	21.01%	22.85%	21.7%	20.08%	17.87%	25.67%	22.59%	25.53%
FCF Conversion (EBITDA)	77.78%	83.25%	88.59%	81.77%	70.89%	99.34%	85.22%	94.8%
FCF Conversion (Net income)	117.92%	351.82%	613.08%	158.11%	117.43%	182.41%	133.28%	138.86%
Dividend per Share ²	0.1750	0.1225	0.0750	0.0930	0.1440	0.1280	0.1317	0.1474
Announcement Date	14/05/19	27/05/20	26/05/21	26/05/22	24/05/23	-	-	-

¹SGD in Million²SGD

Estimates

Income Statement Evolution (Quarterly data)

Fiscal Period: March	2021 S1	2021 S2	2022 Q1	2022 Q2	2022 S1	2022 Q3	2022 Q4	2022 S2	2023 Q1	2023 Q2	2023 S1	2023 Q3	2023 Q4	2023 S2	2024 Q1	2024 Q2	2024 Q3	2024 Q4	2025 Q1	2025 Q2	2025 Q3
Net sales ¹	7,425	8,219	-	3,855	7,652	3,913	3,773	7,687	3,584	3,675	7,259	3,713	3,652	7,366	3,488	3,540	3,593	3,578	-	-	-
EBITDA	1,903	1,928	-	-	1,929	-	-	1,839	-	-	1,878	-	-	1,808	-	-	-	-	-	-	-
EBIT ¹	595.9	550.9	-	260.4	572.4	313	221.8	472.4	328	251	579	288	311	-	300	279.6	324	264.7	-	-	-
Operating Margin	8.03%	6.7%	-	6.75%	7.48%	8%	5.88%	6.15%	9.15%	6.83%	7.98%	7.76%	8.51%	-	8.6%	7.9%	9.02%	7.4%	-	-	-
Earnings before Tax (EBT)	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Net income ¹	-	-	-	-	-	-	-	-	-	-	1,170	-	-	-	-	-	465	-	-	-	-
Net margin	-	-	-	-	-	-	-	-	-	-	16.11%	-	-	-	-	-	12.94%	-	-	-	-
EPS ²	-	-	-	0.0300	-	-	0.0200	-	-	0.0300	-	-	-	-	-	-	0.0385	0.0366	-	-	-
Dividend per Share ²	-	-	-	4.500	-	-	0.0480	-	-	0.0460	-	-	0.0490	-	-	0.0520	0.0650	0.0562	-	0.0640	-
Announcement Date	11/11/20	26/05/21	10/08/21	10/11/21	10/11/21	14/02/22	26/05/22	26/05/22	24/08/22	09/11/22	09/11/22	15/02/23	24/05/23	24/05/23	21/08/23	08/11/23	22/02/24	-	-	-	-

¹SGD in Million²SGD

Estimates

Balance Sheet Analysis

Fiscal Period: March	2019	2020	2021	2022	2023	2024	2025	2026
Net Debt ¹	10,151	12,499	12,365	9,739	9,225	8,723	8,985	9,322
Net Cash position ¹	-	-	-	-	-	-	-	-
Leverage (Debt/EBITDA)	2.164 x	2.752 x	3.227 x	2.585 x	2.503 x	2.336 x	2.272 x	2.247 x
Free Cash Flow ¹	3,650	3,781	3,395	3,081	2,613	3,709	3,370	3,933
ROE (net income / shareholders' equity)	9.48%	8.68%	6.51%	7.14%	7.59%	8.7%	9.7%	10.7%
ROA (Net income/ Total Assets)	5.8%	5.02%	3.57%	4.01%	4.29%	3.66%	4.57%	4.68%
Assets ¹	53,362	21,402	15,488	48,564	51,841	55,618	55,374	60,521
Book Value Per Share ²	1.830	1.640	1.620	1.700	1.580	1.590	1.620	1.680
Cash Flow per Share ²	0.3300	0.3600	0.3400	0.3200	0.2900	0.2400	0.2500	0.2600
Capex ¹	1,718	2,037	2,214	2,217	2,162	2,451	2,508	2,180
Capex / Sales	9.89%	12.31%	14.15%	14.45%	14.79%	16.96%	16.81%	14.15%
Announcement Date	14/05/19	27/05/20	26/05/21	26/05/22	24/05/23	-	-	-

¹SGD in Million²SGD

Estimates

EPS & Dividend

Year-on-year evolution of the PER

Year-on-year evolution of the Yield

Change in Enterprise Value/EBITDA

Ratings for Singapore Telecommunications Limited

Trading Rating

Investor Rating

ESG Refinitiv

C+

More Ratings

Analysts' Consensus

Sell

Buy

Mean consensus

BUY

Number of Analysts

Last Close Price

2.38 SGD

Average target price

3.061 SGD

Spread / Average Target

+28.62%

Consensus

EPS Revisions

Estimates Revisions

Quarterly earnings - Rate of surprise

Company calendar

Sector Other Integrated Telecommunications Services

	1st Jan change	Capi.
SINGAPORE TELECOMMUNICATIONS LIMITED	-3.63%	28.81B
CHINA MOBILE LIMITED	+7.87%	196B
VERIZON COMMUNICATIONS	+4.66%	166B
DEUTSCHE TELEKOM AG	-1.20%	114B
NIPPON TELEGRAPH AND TELEPHONE CORPORATION	-1.04%	91.21B
CHINA TELECOM CORPORATION LIMITED	+15.51%	72.01B
AMÉRICA MÓVIL, S.A.B. DE C.V.	+5.15%	59.31B
SAUDI TELECOM COMPANY	-6.81%	50.04B
EMIRATES TELECOMMUNICATIONS GROUP COMPANY	-15.38%	40.25B
CHARTER COMMUNICATIONS, INC.	-33.48%	36.86B

Other Integrated Telecommunications Services