Slugfest: Maxis vs Digi in Q3 2016

  • Both seeing challenges in growing top line, but were able to increase profitability substantially
  • Digi remains as the largest mobile operator in the country, in terms of subscriber base
Slugfest: Maxis vs Digi in Q3 2016

TWO of the country's largest mobile operators Maxis Bhd and Digi.Com Bhd announced their third quarter results yesterday. In a nutshell, both companies are seeing challenges in growing their top line, but were able to increase their profitability substantially.

Overall, Maxis chief executive officer Morten Lundal appeared to be pleased with the results. 

"We had a solid operational and financial progress this quarter. It's again amazing to see how data consumption is exploding," said Lundal in a media statement yesterday.

Digi CEO Albern Murty concurred. 

"This is a very busy quarter for us as competition remained intense. (Nevertheless), we continued to remain resilient in the quarter, benefiting from a well-managed cost structure and delivering steady performance with earnings growth anchored by stronger Internet and digital services momentum in particular from our expanded postpaid share," said Albern in a statement.

So, how did the two mobile operators performed in each individual segments? Digital News Asia will try to provide you, the readers, with a better understanding on how they really performed when compared side-by-side.

Overall revenue: 

Slugfest: Maxis vs Digi in Q3 2016

Service revenue:

Slugfest: Maxis vs Digi in Q3 2016

According to Maxis in its filing to Bursa Malaysia, the marginal decline in service revenue - which excludes revenue derived from sales of mobile handsets - is mainly driven by its prepaid business. During the period, the postpaid division going experiencing an intense price competition. 

Meanwhile, Digi explained that the rather flattish service revenue was mainly driven by a seasonally soft quarter for postpaid, as well as the stabilisation of prepaid business.

Next page: A look at the prepaid and postpaid business



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