Bangkok, February 28, 2020 – True Group reported significant core performance improvement driving full year net profit to Baht 5.6 billion in 2019. Its operating profit excluding the gain from asset sale to the Digital Telecommunications Infrastructure Fund (DIF) surged to Baht 4.7 billion, compared to approximately Baht 1 billion loss in a year earlier, driven mainly by TrueMove H’s above-industry service revenue growth of 6.7% YoY adding 1.4 million net subscribers in 2019. The addition of the value 2600MHz and 26GHz spectrum will solidify its network strength with the most comprehensive spectrum portfolio covering 7 frequency bands. This combined with True Group’s comprehensive digital ecosystem and strengthening international and local partners will bolster True Group’s growth prospects while meeting the needs of consumers. The board of directors today approved a dividend payment of Baht 3.0 billion (Baht 0.09 per share) subject to approval by shareholders at the AGM in April, affirming the Group’s commitment to paying dividend in a sustainable manner.
Group President (Co) Mr. Anat Mekpaiboonvatana said, “True Group reported improving business performance and core profit in 2019 as revenue continued to grow particularly in the fourth quarter with cellular service revenue increasing 11.3% YoY and 3.0% QoQ. The Broadband internet business also saw positive development despite competitive intensity driven by our ongoing determination to enhance customer’s usage experience through speed and technology upgrades as well as device innovation. TrueVisions’ top quality and exclusive content continued to add value across True Group’s multiple platforms. True Digital Group is our key differentiator to stay ahead of the competition. It played a vital role in building a complete ecosystem for True Group through engaging digital and privilege platforms while revenues from digital content subscription delivered significant growth. At the same time, data analytics has been utilized to develop targeted propositions and offers that match consumers’ preferences and lifestyles. All these, together with our segmentation, localized strategies, and strengthening sales and distribution channels should accelerate our growth with a strong financial footing.”
Group President (Co) Mr. Sarit Jinnasith said, “The progress of our operations and financial performance with continued above-industry growth of both mobile and broadband customers as well as core profit enhancement in 2019 was a result of our customer-centric strategy. We have laid solid foundation in terms of network utilizing advanced technologies particularly FTTx, 4G and moving ahead with 5G as well as digital platforms and offerings. The value addition of the 2600MHz and 26GHz spectrum will expand our network leadership through the most comprehensive spectrum portfolio covering 7 frequency bands with the optimal mix of industry’s highest low band frequencies (700MHz, 850MHz and 900MHz) as well as medium frequency ranges of 1800MHz, 2100MHz and 2600MHz, and high frequency range of 26GHz matching an ever-growing data usage in both consumer and enterprise segments. At the same time, our synergy with China Mobile, the world’s largest mobile operator with the highest number of 5G customers on the 2600MHz spectrum, for know-how, device, network design and procurement continues to give us a significant competitive edge. Together with the Group's comprehensive digital ecosystem, we are confident of taking the lead in the digital and 5G era.”
TrueMove H continued to take the
lead both in terms of revenue and subscriber growth. Its
cellular service revenue led the industry for the seventh consecutive year. TrueMove H’s service revenue increased 11.3% YoY in the fourth quarter and 6.7% for the full year in 2019 to
Baht 77.7 billion mainly due to double-digit revenue growth in the postpaid segment, the
continued success of its device-bundling and exclusive
campaigns, and its expanding distribution channels
leveraging the strong footprint of partners. TrueMove H
was the only player reporting positive prepaid net adds pushing prepaid revenue
up during the year amid competitive intensity thanks to its market segmentation
and localized strategies. TrueMove H
gained 1.4 million net adds in 2019 and expanded its total
subscriber base to 30.6 million, of
which 8.3 million were postpaid and 22.3
million were prepaid users. TrueMove
H’s commitment to be the first mover and bring
technological advancement to consumers, integrated with True Group’s digital and fulfilment platform, analytics, and
effective sales and service channels will amplify its sustainable growth in the
coming 5G era.
TrueOnline strengthened its
broadband leadership uplifting customer’s experience with
1 Gbps internet speed through the innovative Gigatex Fiber Router and Premium
Mesh WiFi Solution as well as the bundled proposition with TrueID TV box
offering premium content and interactive services to match consumer’s diverse lifestyles. As a result, the
business posted above-industry net adds of 320k in 2019 growing its broadband subscriber base to 3.8 million and revenue to Baht 25.9
billion, driven by higher YoY revenue growth of 5.2% in the fourth quarter despite industry-wide
discounts. Speed and technological leadership as well as
customer segmentation strategy will be key growth drivers to
further penetrate into untapped segments and expand cross
selling potential going forward.
range of quality and exclusive content particularly the broadcasting rights of
the English Premier League (EPL) continued
to add value to True Group’s multiple platforms and matched
the continuing trend of consumers toward on-demand, online
and digital consumption while creating the opportunity to up-sell
and cross-sell other products of True Group.
At the same time, Online Station, an online game and influencer network,
under True Visions Group continued to expand fueling
growth through additional revenue streams while bolstering the Group’s customer acquisition by marketing to the right targets. TrueVisions ended 2019 with a total
customer base of approximately 4 million and service revenue of Baht 12 billion.
True Digital Group continues to scale its ecosystem of platforms and services, further differentiating True Group from other operators. TrueID, its digital media platform has been receiving overwhelming market responses. Since last year, TrueID more than doubled its user base to 24.6 million monthly active users, with significantly improved daily engagement from the added live chat and voice calling functions. TrueID also expanded its offering of premium digital content and lifestyle offers, yielding a 56% QoQ increase of transactions. Its OTT platform TrueID TV also continues to scale rapidly. Since commercial launch in Q2, more than 500,000 TrueID TV boxes were sold. Meanwhile, its privilege and loyalty platform TrueYou and its TruePoints greatly enhanced customer retention and quality subscriber growth. To enhance consumer payment experience, True Digital Group introduced True Digital Card, a debit MasterCard aimed at facilitating digital transactions. Cardholders can gain TruePoints with every payment in relevant merchants. Over 250,000 True Digital Cards were activated since launch. In the enterprise segment, True Digital Solutions (TDS) has scaled up its solutions offering aimed at enabling digital transformation. TDS is focused on strategic industry verticals in the Thai economy such as agriculture, retail, manufacturing, supply chain, logistics, and healthcare. The total number of endpoints and devices supported by TDS has increased by 50% YoY to 237,000.