SINGAPORE (Reuters) - Singapore Telecommunications Ltd (STEL.SI), Southeast Asia’s largest telecoms firm, said on Thursday it expects to make a fairly large number of acquisitions to gain access to digital content but may incur some start-up losses.
SingTel, which posted slightly higher quarterly earnings earlier on Thursday, has been trying to develop services and content it can bundle with its mobile phone services to differentiate itself from other providers.
SingTel said in a management discussion sheet its Digital Life unit “will focus on long-term strategic plans to deliver distinctive global products for emerging and developed markets.”
“As a result of these investments, Group Digital Life is expected to deliver strong revenue growth but register start-up losses,” it said.
SingTel posted underlying quarterly net profit of S$1.02 billion ($813.62 million) - slightly higher than S$998 million a year earlier but below the S$1.06 billion average forecast from six analysts polled by Reuters.
Reporting by Kevin Lim; Editing by John O'Callaghan