Starhub has released is latest financial reports and investors are probably keen to know if starhub’s fortune has turned and is its 9 cents dividends sustainable.
ARPU has Stopped Declining
Let’s focus on the positives: the first is that ARPU for Starhub’s mobile subscribers has stopped. In Dec 18, average revenue per post paid user (ARPU) was $41, it declined to $39 in Sep 19 and then moved to $40 in Dec 19. Based on the other previous quarter results, the decline in ARPU has probably stopped. This is a positive since mobile revenue is the largest contributor to Starhub’s business. Its mobile revenue has experienced a slight decline by about 2%
The second positive is the growth in the enterprise business largely due to its recent acquisitions as it can be seen revenue has grown by 10 million, which offsets the negative I am seeing in a certain revenue segment of Starhub’s