Axiata targets single-digit growth in revenue, Ebit in FY2023

KUALA LUMPUR (April 27): Digital and telecommunications conglomerate Axiata Group Bhd aims to achieve mid single-digit revenue growth and high single-digit growth in earnings before interest and taxes (Ebit) in the financial year ending Dec 31, 2023 (FY2023).

Group chief executive officer and managing director Vivek Sood said the group's strategy revolves around stringent capital expenditure (capex) and operational expenditure management, as well as the establishment of a fit-for-purpose and dynamically-optimised capital structure to maintain operational resilience and sound business fundamentals.

“These initiatives will enable us to remain well positioned to withstand disruptions and capitalise on opportunities.

“Our commitment to sound business fundamentals allows us to create sustainable value for all our stakeholders, driving long-term success of the group," he said in Axiata's Integrated Annual Report 2022 released on Thursday (April 27).

According to Vivek, Axiata remains wary of potential macroeconomic headwinds in 2023 posed by a strengthening US dollar and rising interest rates, regulatory risks and potential changes in the industry landscape due to consolidation and implementation of 5G in some markets.

“We will manage associated risks to operating companies by taking proactive measures, such as reducing foreign exchange exposure, increasing hedging activities, reducing capex, and zero-based costing to ensure resilience.

“Our strategic intent, as outlined in the Axiata 5.0 Vision, continues to guide us, as we move from being a telecommunications company to a technology company, and reinforce our operational excellence drive with a focus on resilience.

“We view 2023 as a year of great opportunity, with efficiency gains and increased returns from core operations, supplemented by new growth frontiers across infrastructure, digital and enterprise businesses," he said.

In the meantime, Vivek said the group will continue to build and strengthen its digital core.

“Following the net zero emissions and science-based target commitments made last year, Axiata has refreshed its sustainability framework, and established the necessary governance structures and resources to oversee matters relating to sustainability, including digital inclusion and climate action," he added.

Source: Axiata