Investor Presentation PDF (2 MB)

H1 Financial Results

For the half year ended 30 Sep 2021

Yuen Kuan Moon, Group CEO

11 Nov 2021

1

Forward looking statement - Important note

The following presentation contains forward-looking statements by the management of Singapore Telecommunications Limited ("Singtel"), relating to financial trends for future periods, compared to the results for previous periods.

Some of the statements contained in this presentation that are not historical facts are statements of future expectations with respect to the financial conditions, results of operations and businesses, and related plans and objectives. Forward-looking information is based on management's current views and assumptions including, but not limited to, prevailing economic and market conditions. These statements involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those in the statements as originally made. Such statements are not, and should not be construed as a representation as to future performance of Singtel.

"S$" means Singapore dollars, "A$" means Australian dollars and "US$" means United States dollars. Any discrepancies between individual amounts and totals are due to rounding.

2

Improved first half profit

Operating revenue

S$7,653m

• 3% (Stable1)
• • 5%2

Regional associates' PBT

S$1,009m

• 21% (▲ 24%1 )

EBITDA

S$1,929m

• 1% (▼ 2%1 )
• • 16%2

Underlying net profit

S$983m

• 17% (▲ 19%1 )
• • 56%2

EBIT

(before associates' contributions)

S$572m

• 4% (▼ 6%1 )
• • 71%2

Net profit

S$954m

• 105% (▲ 108%1 )
• • 293%2

Interim dividend	: 4.5 cents/share or 76% dividend payout
FY22 dividend	: Expected to be at upper half of 60-80%3 dividend policy range

1. Constant currency - assuming constant exchange rates from corresponding half year in FY2021.

2.	Excludes Optus' NBN migration revenues (H1FY22: A$51m, H1FY21: A$209m) & Jobs Support Scheme credits (JSS) from the Singapore government (H1FY22: S$4m, H1FY21: S$94m).	3
3.	Barring unforeseen circumstances, the Group expects to pay dividends at the upper half of its dividend policy range of between 60% and 80% of underlying net profit for FY22.

Revenue

S$7,653m

• • 3%1 (Underlying2 ▲ 5%)
• Mobile services rose in Australia, reflecting positive price trajectory
• NCS pivot to digital services
• Healthy data centre demand
• Challenges:
• • Continued carriage erosion
  • Handset shortage
  • COVID-19restrictions

S$M

7,425	7,653 ▲ 3% (Underlying2	▲ 5%)

3,275	3,344	Australia Consumer ▲ 2%3

1,857	1,863	Group Enterprise Stable

1,060	1,107	NCS ▲ 5%4
878	867	Singapore Consumer ▼ 1%
410	490	Amobee ▲ 19%
Trustwave ▲ 2%
	195				199
		-217
-251			Interco Eliminations5

H1FY21H1FY22

1. Stable in constant currency.
2. Excludes Optus' NBN migration revenues.
3. Down 3% in A$ terms.
4. Up 9% excluding Singtel-originated business that has been progressively transferred to Singtel, as part of the Singtel Group's restructuring, from 1 April 2021 and was completed by 30 September 2021.

5. Elimination of intercompany transactions between Group Enterprise, NCS & Trustwave.

4

EBITDA

S$1,929m

• • 1%1 (Underlying2 ▲ 16%)
• Strong 16% increase in underlying2 EBITDA underpinned by:
• • Optus' margin expansion from mobile re- pricing & cost control
  • Growth in NCS revenue from higher demand for digital services
  • Improved performance of Amobee & Trustwave
• EBITDA increased 1% on Optus' positive performance, offset by:
• • Lower NBN migration revenue
  • Reduction in JSS

S$M

1,903	1,929	▲ 1% (Underlying2 ▲ 16%)
	884	979		Australia Consumer ▲ 11%3 (▲ 35%2)
	620
			612		Group Enterprise ▼ 1% (Stable2)
	314	298		Singapore Consumer ▼ 5% (▲ 2%2)
	187	147		NCS ▼ 21% (▲ 5%2)
	7	Amobee
-5			-50
	-56	Trustwave
-40
	-64		Others4
H1FY21	H1FY22

1. Down 2% in constant currency.
2. Excludes Optus' NBN migration & JSS.
3. Up 5% in A$ terms.

4. Includes intercompany eliminations & corporate.

5