StarHub ( (SRHBF) ) has released its Q2 earnings. Here is a breakdown of the information StarHub presented to its investors.
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StarHub Ltd is a Singapore-based telecommunications company offering a range of services including mobile, broadband, and entertainment, with a notable presence in the cybersecurity sector. In its latest earnings report for the half-year ending June 30, 2025, StarHub announced a modest increase in total revenue to S$1,128.8 million, a 2.2% rise from the previous year, driven by higher contributions from broadband, regional enterprise business, and cybersecurity services. However, the company faced challenges with a 5.4% decline in mobile service revenue and a 9.1% drop in entertainment revenue, attributed to lower subscriber numbers and reduced advertising income.
StarHub’s operating expenses rose by 5.4%, impacting its profit from operations, which fell by 22% to S$86 million. The company’s profit before taxation decreased by 37.3% to S$62.8 million, primarily due to increased non-operating expenses and higher finance costs. Despite these challenges, the cybersecurity services segment showed strong growth with a 20.1% increase in revenue, reflecting the company’s strategic focus on expanding its cybersecurity offerings.
The company’s free cash flow turned negative, with a deficit of S$171.8 million, largely due to significant capital expenditures, including the acquisition of 700 MHz spectrum rights. StarHub’s net cash from operating activities also declined, impacted by higher working capital requirements. However, the company managed to secure a surplus from financing activities, raising funds to support its strategic investments.
Looking ahead, StarHub remains focused on strengthening its core business areas while expanding its presence in the cybersecurity sector. The management is optimistic about the company’s long-term growth prospects, supported by strategic acquisitions and investments in new technologies.