KUALA LUMPUR (Feb 26): Axiata Group Bhd (KL:AXIATA) reported another quarter of red ink as the biggest Malaysian telecommunications company continued to write down the value of assets.

Net loss for the three months ended Dec 31, 2025 (4QFY2025) stood at RM38.68 million, narrowing sharply from RM224.77 million reported in the same quarter a year earlier, according to an exchange filing. Revenue for the quarter, meanwhile, remained flat at RM2.97 billion.

A second dividend of five sen per share was also declared.

Axiata is now transitioning into another new phase of its growth road map dubbed “Axiata28: Advancing Asia” that emphasises steady execution, disciplined capital allocation and active portfolio management — balancing cash-accretive telecommunications businesses with value-accelerating technology investments to enhance shareholder returns and deliver sustainable, yield-driven growth.

This follows the completion of its previous “Axiata 5x5” strategy, which focused on market consolidation, balance sheet repair, portfolio simplification and strengthening operating foundations.

Outgoing group chief executive officer and managing director Vivek Sood said the group’s earlier strategic moves are beginning to bear fruit.

“With key market consolidations completed and integration progressing well, our operating companies are now positioned to deliver strong cash flows in a more rational market structure,” he said.

He added that frontier markets continue to demonstrate resilience and contribute steady cash flows, while merger synergies in Malaysia and Indonesia are translating into improved earnings visibility.

For the full financial year ended Dec 31, 2025, Axiata net profit fell more than 60% to RM364.62 million from RM946.82 million previously, mainly due to one-off impairments and disposal-related items. Excluding these largely non-cash items, core profit stood at RM761.8 million.

Group revenue declined 6.25% year-on-year to RM11.76 billion from RM12.54 billion, primarily due to foreign exchange headwinds.

At the holding company level, Axiata received RM1.7 billion in dividends from its operating companies during the year.

Despite headline earnings declining, the group said it achieved its FY2025 headline key performance indicator of high single-digit earnings before interest and tax (Ebit) growth. At constant currency and excluding goodwill impairment impact, Axiata recorded Ebit growth of 20.2%, reflecting improved operating momentum across key markets. 

Shares in Axiata rose three sen, or 1.29%, to RM2.35 at the midday break on Thursday, valuing the group at RM21.40 billion. Year to date, however, the counter has declined 8.91%.

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