Screenshots

Still no killer app... tons of (expensive) bandwidth, but no killer app.

Certainly a good news, it'll be good for business travellers. But judging the limited bandwidth Digi can offer ~ typical around 90kbps or less, they should lower their price. Otherwise, they may likely be charging the same amount of 3.5G, which as Maxis claimed 10 times faster for every bits transferred unless you go for these unlimited usage package, but still, it's not much cheaper... Looking forward for more & better offer.

A Positive Momentum
05.04.06 17:07 CET by Morten Lundal

We started out with our perspective on broadband.? Globally, there is a tremendous trend for people wanting to have broadband at home, but the trend is not that obvious when it comes to people on the move.? Or to say it another way, absolutely everyone wants their PC to be a part of Internet but a very small percentage feel the need to connect their mobile phone with the broadband solution.?? Why is that?? We mentioned several reasons in the press conference: lack of awareness, lack of killer applications, complexity and cost.

3G will in itself, at least in the current version, not change this picture significantly.? 3G and EDGE both offer the same kind of proposition (3G marginally higher speed; EDGE more handsets, coverage and lower prices).? But none of them are true broadband solutions, which I will define as above one megabyte.? The roadmap to such speeds is there, and there are a variety of emerging technologies that will compete with the next generation of 3G to offer such speed.? So we can safely say that there will be many ways to deliver broadband mobile.? The more interesting question is how many customers will need and pay for these services.? The global answer right now is actually very few.? But most industry observers predict that over time the mass market will adopt these services.? And we agree.? DiGi is committed to a world where most people will have devices that are seamlessly connected to Internet via a broadband access.? It will take time to get there, but we will move in that direction.?

We also announced important price changes for data services, in order to make our high speed data solutions available to many more Malaysians.?

We also announced that we will step up our efforts further to reach nationwide quality voice coverage and to expand our high speed data services to reach more than 60% of the population by the end of this year.?

Our next topic was about giving some perspective on Q1 and our predictions of 2006 as a whole.? As expected revenue and subscriber growth has slowed down versus the hectic 2005 growth, but we still showed solid progress.? Also our profitability in Q1 was satisfactory.? We gave the press and financial analysts a revised guidance for the year which was improved versus our previous guidance.?? Key figures here are we believe in a revenue growth from 2005 to 2006 in the mid-teens (13% to 17%) and a profit after tax growth of above 20%.

Our final topic was on capital restructuring.? DiGi's balance sheet is too strong.? That may sound strange to some of you, but when a company has a lot of cash and little debt and no need for that cash to fund any conceivable investments, then the company has an inefficient financial structure.? Which is the case with DiGi today.? We have above Rm1.3 billion in the bank at low interest rates, close to no debt and no conceivable investments that we cannot fund with our operational cash flow or credit facilities.? We have already announced capital repayment and an aggressive dividend policy.? Yesterday we announced capital payment No. 2 of Rm450 million, so we, through repaying capital to our shareholders, can gradually achieve a more efficient capital structure for the company.? I want to underline that this does not reduce DiGi's investment capacity at all.?

And that's it.? We think that all the messages are positive messages for shareholders, customers and employees.? It shows and proves DiGi in positive momentum.?