The growth will be underpinned by improved profitability from its core businesses (in Singapore and Optus), its ongoing cost-out programme, better contributions from its regional associates and strong revenue growth from NCS and Nxera (an infrastructure company), according to the analysts.
Analysts at UOB Kay Hian (UOBKH) are maintaining their “buy” call on Singapore Telecommunications (SGX:Z74
) (Singtel) with the target price of $3.58.
Singtel has improved its ROIC from 8.3% in FY24 to around 9%, and is expected to continue its upward momentum towards its medium-term goal of low double-digit percentage in three years’ time.
