StarHub Reports 1H2025 Revenue of S$1.1 Billion

StarHub reported today Service and Total Revenue of $976.1 million and $1.1 billion respectively for the six-month period ended 30 June 2025 (“1H2025”). This represents a 3.0 percent and 2.2 percent year-on-year (“YoY”) growth compared to the equivalent period a year ago (“1H2024”), underpinned by robust performance in the Broadband, Regional Enterprise segment and Cybersecurity Services which grew 4.4 percent, 6.8 percent and 20.1 percent respectively YoY. Net profit attributable to shareholders (“NPAT”) stood at $62.0 million for 1H2025 when excluding one-off forfeiture payment of $14.1 million for the return of one-lot of 700MHz spectrum rights.

Commenting on the results, StarHub’s Chief Executive, Nikhil Eapen, said,“ In a market where eroding prices challenges industry sustainability, we drove our industry leading market position in Broadband by upgrading our customers to UltraSpeed plans while extending our number two position in Mobile by delivering for our customers the quality, reliability and experience they expect from the StarHub brand. We intend to remain aggressive across brands and segments in the domestic consumer market to position for eventual market recovery.  In parallel, we serve our Government and Enterprise customers with our Modern Digital Infrastructure platform bringing new value and agility to help them drive their own transformations. We have grown our Regional Enterprise business well and intend to scale it further."

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1H2025’s growth was led by stronger performance from the Enterprise Business segment. Regional Enterprise Business grew 6.8% YoY to $296.1 million, driven by double-digit YoY growth in Managed Services (+12.8%) reflecting higher project completions from Modern Digital Infrastructure solutions. Cybersecurity Services delivered robust 20.1% YoY growth reflecting the sustained demand for advanced cybersecurity solutions against the backdrop of an increasingly sophisticated cyber threat landscape.    

On the Consumer front, StarHub’s Multi-Brand, Multi-Segment strategy continued to drive growth across key segments. The Mobile business saw 8.2% YoY subscriber growth led by strong demand for SIM-Only plans from giga! and eight, with revenue at $274.1 million. Broadband revenue grew 4.4 percent year-on-year to $128.3 million, supported by higher ARPU from proactive migration to higher bandwidth plans and bundled offerings. Entertainment remained a key acquisition and bundling lever, with $99.4 million in revenue, reinforcing the Group’s Infinity Play proposition through a broad range of sports and OTT content.

In anticipation of a shifting broadband landscape, StarHub has furthered industry consolidation by fully acquiring MyRepublic Broadband. This move enables deeper strategic alignment by securing both brand equity and critical operational assets of MyRepublic Broadband, reinforcing StarHub’s position in the Singapore market. It also strengthens StarHub’s Multi-brand, Multi-segment strategy, with MyRepublic Broadband’s distinct value propositions tailored to digital natives; unlocking greater value through service differentiation, targeted customer engagement and cross-product bundling. In addition, the consolidation enhances operational efficiency and positions StarHub to compete effectively in a rapidly evolving digital environment.

On forward-looking expectations, Nikhil commented, "We have completed the investment phase of DARE+, moving our IT and network infrastructure to hybrid multi-cloud. We will now leverage our platforms to deliver truly human experiences for our consumers across segments and brands. DARE+ has also allowed us to further scale Modern Digital Infrastructure with new platform modules whilst co-creating new use cases with our Government and Enterprise clients.  Lastly, our transformation has also enabled us to move forward on a long-term deliberative cost reduction roadmap centered around Automation and AI, systems re-architecture and business simplification.

Further, Cybersecurity remains a top priority for StarHub. As a national telco and a trusted enterprise partner, we recognise the critical responsibility we bear in today’s evolving threat landscape. To strengthen protection for our customers and support Singapore’s digital future, we are deepening investments in areas such as advanced threat intelligence and AI-driven security operations. These are enabled by our fully digitalised, hybrid multi-cloud core and delivered through secure-by-design infrastructure. We are well placed to meet the complex cyber needs of our customers while contributing to national cyber resilience efforts."

In response to the increasingly sophisticated cyber threat landscape, cybersecurity remains to be a critical pillar and national infrastructure commitment. The Group will continue to deepen investments in its hybrid multi-cloud digital infrastructure enabling AI-native, cloud-native cybersecurity tools to defend critical systems, customer data, and enterprise environments at scale. StarHub’s role as a trusted technology partner for government and large-scale enterprises continues to grow in strategic importance.

Concurrently, to reinforce long-term resilience, the Group has expanded our cost structure optimisation efforts through a multi-year cost management program. The programme focuses on four key areas: legacy decommissioning, network automation, systems re-architecture, along with business simplification. This will strengthen StarHub’s ability to compete aggressively and sustainably, improve unit economics, and drive long-term shareholder value.

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FY2025 Outlook

Against the FY2025 outlook, to maintain competitive agility, StarHub is retaining strategic flexibility to adopt a more aggressive commercial stance in 2H2025. Accordingly, the Group is revising its FY2025 EBITDA outlook from the earlier “stable YoY” to achieving 88 percent to 92 percent of the FY2024 EBITDA excluding the utilisation of a non-recurring provision disclosed under Cost of Sales. This revision reflects a deliberate strategic decision to preserve competitiveness and defend market share while continuing to invest in long-term growth levers.

Dividend

The Group has declared an interim dividend of 3.0 cents per ordinary share for 1H2025 after considering short to mid-term business conditions, cash flow and ongoing investment requirements. StarHub has reiterated its dividend outlook of at least 6.0 cents per ordinary share for FY2025 and remains committed to its dividend policy. In addition to the ongoing $50 million share buyback programme, this demonstrates StarHub’s commitment to enhancing long-term total shareholder returns.

StarHub’s balance sheet remains healthy despite one-off spectrum related payments supported by disciplined capital management. As of 1H2025, Cash and Bank balances stand at $487.1 million. While Free Cash Flow may be temporarily impacted in FY2025 due to the spectrum payment, the Group expects positive Free Cash Flow trends to resume from FY2026. The Group continues to enjoy low leverage with Net Debt to EBITDA at 1.92 times as at 30 June 2025.