Dtac, the third largest mobile operator in Thailand by subscribers, reported a sharp decline in its Q2 profit as it continued to lose prepaid subscribers and service revenue dipped again.
The company’s net profit dropped 76 per cent year-on-year to THB179 million ($5.37 million), driven in part by higher depreciation and amortisation costs from its network investment.
Total revenue decreased 3.5 per cent to THB18.8 billion due to declines in service and handset turnover of 3.8 per cent and 4 per cent respectively.
Dtac said it continued to focus on the post paid segment, adding almost 500,000 subs compared with Q2 107, but intense competition in the prepaid market and migration from prepaid to post paid plans resulted in its prepaid base dropping nearly 14 per cent to 15.7 million.
Its total subscriber base stood at 21.6 million at end-June, down 8.4 per cent from Q2 2017: 4G users accounted for 41 per cent of the total.