True Corporation Public Company (TRUE) Q3 2024 earnings summary

Executive summary

• Achieved seven consecutive quarters of EBITDA growth, reaching THB 25 billion in Q3 2024, up 16.5% YoY and 2.7% QoQ, with normalized net profit after tax at THB 3.1 billion.

• Service revenue grew 4.2% YoY, driven by mobile and online segments, while total revenue increased 1.4% YoY.

• Network modernization reached 64% completion, with 10,800 sites upgraded, covering 92% of Thailand with 5G.

• Strategic expansion into digital, cloud, and AI-powered IoT solutions, with strong growth in smart home and cybersecurity services.

• ESG initiatives include securing Thailand's largest sustainability-linked syndicated loan and a commitment to carbon neutrality by 2030.

Financial highlights

• EBITDA grew 16.5% YoY and 2.7% QoQ to THB 25 billion, with normalized profit at THB 3.1 billion, up THB 0.7 billion QoQ.

• Net debt to EBITDA reduced to 4.4x, a 1.2x YoY and 0.3x QoQ improvement, with net debt reduced by THB 37 billion YoY.

• Product sales declined 17.4% YoY, but cost of sales fell 21%, improving profitability.

• CapEx for Q3 was THB 9.9 billion, mainly for network modernization.

• Consolidated revenue for the nine months was Baht 153,278 million, with gross profit at Baht 45,509 million.

Outlook and guidance

• 2024 EBITDA growth guidance of 12%-14% will be surpassed, with Q4 expected to be seasonally strong.

• Network modernization to be completed by Q3 2025, with further cost savings anticipated.

• Dividend discussions expected in the second half of 2025, subject to reported profitability and board approval.

• CapEx guidance for 2024 is THB 30 billion, with continued focus on operational efficiency and synergy realization.

• Ongoing efficiency measures and synergy realization expected to support profitability.