Singtel

Singtel reported 1QFY16 revenue (S$4.2bn, 1.5% YoY), EBITDA (S$1.2bn, -1% YoY) and recurring net profit ($895m, 1.6% YoY). While Optus’s mobile revenues grew 5.6%, competitive intensity is likely to escalate. In its results call, Telstra increased its mobile capex guidance and signaled a willingness to compete on pricing to defend market share. Maintain Buy at TP of S$4.60.