Business Description:
Singapore Telecommunications Limited (SGT) is a Singaporean telecommunication company providing a range of communication services and solutions, including fixed, mobile, data, Internet, info-communications technology, satellite and pay TV. SGT also invests in six regional mobile operator companies in India, Indonesia, the Philippines, Thailand, Pakistan and Bangladesh. SGT has a network of offices in 20 countries across Asia Pacific, Europe and the USA.

Strategy Analysis:
Focus is ongoing investment in Australia and Singapore to maintain market positions, while continue to invest in regional markets when opportunities arise. The company will leverage its healthy balance sheet to acquire stakes and partner with large telecommunication operators in developing countries. This strategy makes sense given strong market positions of existing operators, significant capital required in establishing a new network and highly regulated nature of the industry. Going forward, the convergence of the telecommunications, media and technology sectors should accelerate. In anticipation, management has taken a bold step in restructuring its reporting line from a geographic basis to be products focused. Singapore Telecommunications reported NPAT down 2.1% to S$1.8bn for the half-year ended 30 September 2011. Revenues from ordinary activities were S$9.21bn, up 5.6% from the same period last year. Diluted EPS was 11.25 Singapore cents compared to 11.50 Singapore cents last year. Net operating cash flow was S$2.86bn compared to S$2.85bn last year. The interim dividend declared was 6.8 Singapore cents compared with 6.8 Singapore cents last year.