M1 shares fall 8% after announcement of 20.8% Q2 net profit dip, major shareholders call off strategic review

The Straits Times

M1 shares fell 8% to S$1.925 at 9.15am this morning, after the company announced a 20.8% drop in its Q2 net profit to $32.5 million, The Business Times has reported.

While it recorded a 4.7% rise in revenue to $251.6 million for Q2, M1’s earnings per share was at 3.5 cents, 20.8% lower than the same period last year.

According to The Straits Times, M1’s stock sank as much as 8.8% to $1.915 after the opening bell on Wednesday, its lowest in more than six months.

Shareholders Axiata Group Bhd, Keppel Telecommunications & Transportation and Singapore Press Holdings – which hold a 61% stake in M1 – said on Tuesday that they would not proceed further with the strategic review of their shareholdings.

Although there were potential candidates, The Straits Times reported that none of the parties were able to meet the minimum criteria and parameters determined by the majority shareholders.

For more on M1’s review of stakes, go to The Business Times and The Straits Times.