Axiata Sees Continued Support from Shareholders at AGM
Kuala Lumpur, 26 May 2017 – Axiata Group Berhad, ("Axiata"), announced today that its shareholders approved all resolutions tabled at its 25th Annual General Meeting ("25th AGM").
Shareholders re-elected Dato’ Mohd Izzaddin Idris and Dato Dr Nik Ramlah Nik Mahmood, both of whom were appointed after Axiata’s last AGM. Dato Dr Nik maintains gender diversity on the Board following the resignation of Ann Almeida on 25 May 2017 after serving on the Board since 3 December 2012.
Since 2010, the Group has maintained a progressively increasing Dividend Payout Ratio (DPR). As outlined in its dividend policy, this is subject to a number of factors including business prospects, capital requirements and surplus, growth/expansion strategy, considerations for non-recurring items and other factors considered relevant by the Board.
Having taken the uncertain investment and business climate into account, the Board has adopted a temporarily prudent dividend payout to ensure the Group is sufficiently resilient while continuing to invest for the future. The Board of Directors declared a conservative final dividend under a single tier system of 3 sen per ordinary share of RM1 each in Axiata. Including the interim dividend of 5 sen per ordinary share paid in 2016, the total of 8 sen per ordinary share translates into a 50% dividend payout ratio for FY2016. Shareholders approved the final dividend of 3 sen for FY2016.
Axiata Chairman, Tan Sri Dato' Azman Hj. Mokhtar said, “We lowered our 2016 dividend as a precautionary measure against unpredictable forex and market volatility and to conserve cash for further spectrum costs and capex. We remain committed to delivering the value proposition of moderate growth and moderate yield to our shareholders over the longer term. Today, we are pleased with the outcome of the AGM and are grateful to see that our shareholders continue to support our long term ambitions.”
Tan Sri Jamaludin Ibrahim, President & Group Chief Executive Officer of Axiata added, “2016 was our most difficult year due to significant external challenges and our own internal weaknesses. Despite this, the Group managed to maintain our regional standing, with some of our companies in dominant leadership positions in their markets. We also made the important and necessary investments to strengthen our position not only in our core mobile business, but also in new ventures such as communications infrastructure and tower services, fixed-mobile convergence, digital services, and Enterprise Internet-of-Things (IoT).
“We are on the right trajectory and are very optimistic about our future with the Group set to execute on our focused needle-moving strategic initiatives. This year will be the year where we can expect solid turnaround in our mobile businesses, while we continue building ourselves into a New Generation Digital Champion.
About Axiata Group Berhad
As one of the largest Asian telecommunication companies, Axiata today operates in ten countries, servicing approximately 320 million subscribers. With a diverse portfolio in mobile network operations, communications infrastructure services and digital services, the Group pieces together the best in connectivity, technology and people in its vision of Advancing Asia.
Axiata has controlling stakes in market leading mobile operators in South East Asia and South Asia. Axiata Group of companies operate under the brand name of ‘Celcom’ in Malaysia, ‘XL’ in Indonesia, ‘Dialog’ in Sri Lanka, ‘Robi’ in Bangladesh, ‘Smart’ in Cambodia and 'Ncell' in Nepal. Further to this, the Group also holds strategic interests in ‘Idea’ in India and ‘M1’ in Singapore.
‘edotco’, the Group’s infrastructure company, operates in six countries to deliver telecommunications infrastructure services, amassing a portfolio of over 16,000 towers and 12,000 km of fibre. It aims to be one of the top regional tower companies and is committed to responsible and sustainable business operations.
Axiata Digital (AD), its digital services arm, captures the rapid growth in internet-based businesses through its portfolio of 29 digital brands, servicing growing demands in mobile money, mobile adverting, e-commerce, entertainment and education.
As a committed and long-term investor, Axiata provides employment to 25,000 people within its operations. In line with its sustainability goals, the Group actively supports and drives young talent development; disaster response and recovery; as well as green initiatives.