SINGAPORE, Nov 11 (Reuters) - Singapore Telecommunications , Southeast Asia's largest telecoms firm, reported lower-than-expected quarterly profit, partly due to the cost of acquisitions by its Indian ally.
The company, 55 percent owned by Singapore state investor Temasek Holdings, said the earnings were hit by costs from Bharti Airtel's acquisition of the African telecom assets of Kuwaiti group Zain in June.
Singtel owns 32 percent of Bharti.
SingTel, the biggest company on the Singapore Exchange with a market value of $41 billion, earned S$892 million ($693.1 million) in July-September, down from S$956 million a year ago. The net profit lagged estimates by four analysts who had predicted quarterly profit of S$960.5 million on average.
Revenue climbed 8.1 percent to S$4.43 billion.
With a domestic market of just 5 million people and virtually everyone in Singapore owning mobile phone, SingTel has bought stakes in mobile operators in high-growth Asian countries such as India, Indonesia and in Australia to boost its earnings.
SingTel shares have risen by 6 percent so far this year, underperforming a 14 percent rise in the benchmark Singapore index.
(Reporting by Harry Suhartono; Editing by Anshuman Daga)
((harry.suhartono@thomsonreuters.com; +65 6403 5658; Reuters
Messaging: harry.suhartono.reuters.com@reuters.net) ($1=1.287 Singapore Dollar) Keywords: SINGTEL/RESULTS (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The company, 55 percent owned by Singapore state investor Temasek Holdings, said the earnings were hit by costs from Bharti Airtel's acquisition of the African telecom assets of Kuwaiti group Zain in June.
Singtel owns 32 percent of Bharti.
SingTel, the biggest company on the Singapore Exchange with a market value of $41 billion, earned S$892 million ($693.1 million) in July-September, down from S$956 million a year ago. The net profit lagged estimates by four analysts who had predicted quarterly profit of S$960.5 million on average.
Revenue climbed 8.1 percent to S$4.43 billion.
With a domestic market of just 5 million people and virtually everyone in Singapore owning mobile phone, SingTel has bought stakes in mobile operators in high-growth Asian countries such as India, Indonesia and in Australia to boost its earnings.
SingTel shares have risen by 6 percent so far this year, underperforming a 14 percent rise in the benchmark Singapore index.
(Reporting by Harry Suhartono; Editing by Anshuman Daga)
((harry.suhartono@thomsonreuters.com; +65 6403 5658; Reuters
Messaging: harry.suhartono.reuters.com@reuters.net) ($1=1.287 Singapore Dollar) Keywords: SINGTEL/RESULTS (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.