Tuas Limited - FY24 Financial Results Presentation - 24 September 2024
TUA (TUA) Share Update September 2024 Monday 23rd
Tuas Limited Reports Strong Financial Growth in FY24
Tuas Limited (ASX: TUA) has released its financial results for the period from 1 August 2023 to 31 July 2024, showcasing substantial growth in key financial metrics.
Instant Summary:
- Achieved EBITDA of $49.7M, a 60% increase over FY23.
- Revenue increased by 36% to $117.1M.
- Net Profit After Tax (NPAT) improved from a loss of $15.3M in FY23 to a loss of $4.4M in FY24.
- Subscriber base grew significantly, reaching over 1 million active mobile services.
- Positive cash flow milestone achieved for FY24.
Financial Performance
Tuas Limited has reported a strong financial performance for FY24, with a notable increase in both revenue and EBITDA. The company's revenue grew by 36% from $86.1M in FY23 to $117.1M in FY24. This growth was driven by an expanding subscriber base and a diverse plan mix catering to various customer needs.
The EBITDA for FY24 was $49.7M, representing a 60% increase from the previous year's $31.1M. The EBITDA margin also improved from 36% in FY23 to 42% in FY24. Despite the improvements in revenue and EBITDA, the company reported a Net Profit After Tax (NPAT) of -$4.4M, an improvement from the -$15.3M reported in FY23.
Subscriber Growth
Tuas Limited's subscriber base saw significant growth, reaching over 1 million active mobile services by the end of FY24. The company also reported a year-over-year increase in Mobile ARPU (Average Revenue Per User) from $9.37 to $9.68.
Cash Flow and Investments
The company achieved a positive cash flow milestone for FY24, with net cash from operating activities amounting to $59.994M. Cash receipts from customers totaled $124.521M, while cash paid to suppliers and employees was $66.067M. The company also made significant investments, including $45.812M in plant and equipment and $2.180M in intangible assets.
Business Updates and Outlook
Tuas Limited continued to invest in network CAPEX to support subscriber growth and expand 5G coverage. The company also received regulatory approval to deploy 5G on the 900MHz band, in addition to its existing 4G deployment. The company's fibre broadband service, which now accepts 10Gbps orders island-wide, saw strong consumer interest with over 4,000 subscribers by the end of FY24.
Looking ahead to FY25, Tuas Limited aims to continue its broad-based mobile subscriber growth and expand its 10Gbps residential fibre broadband service. The company has set a CAPEX guidance of $45M to $55M for mobile and broadband investments and is targeting to achieve a full-year positive NPAT.
The strong financial performance and significant subscriber growth reported by Tuas Limited are likely to positively impact the company's stock price. Investors may view the company's improved EBITDA and revenue figures favorably, especially given the challenging market conditions. The positive cash flow milestone and continued investments in network infrastructure further strengthen the company's growth prospects.
Investor Reaction:
Analysts are likely to react positively to Tuas Limited's financial results, given the substantial improvements in key metrics. The company's focus on expanding its subscriber base and investing in network infrastructure is expected to drive future growth. However, some investors may remain cautious due to the continued NPAT losses, despite the improvements.
Conclusion:
Investors should closely monitor Tuas Limited's strategic initiatives and financial performance in the coming quarters. The company's strong growth trajectory and continued investments in network infrastructure position it well for future success. Stay informed on Tuas Limited's developments and consider the potential long-term impacts on your investment portfolio.