This article first appeared on GuruFocus .
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Core Service Revenue:Continued growth supported by strong connectivity and content proposition.
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EBITDA Margin:Remained strong at 55%.
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Return on Invested Capital (ROIC):15%.
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Net Debt to EBITDA:1.9 times, indicating a solid financial position.
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Profitability:Strong due to efficient cost control and lower spectrum costs.
Release Date: November 05, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Advanced Info Service PCL ( AVIFY ) reported solid results for the third quarter of 2025, with core service revenue continuing to grow despite challenging economic conditions.
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The company's EBITDA margin remained strong at 55%, with a return on invested capital (ROIC) of 15%, indicating efficient capital management.
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The mobile segment remained resilient, with 5G services driving increased average revenue per user (ARPU) and content engagement.
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Broadband services delivered another strong quarter, focusing on quality subscribers and innovative product offerings.
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The enterprise segment showed solid momentum, driven by enterprise digital solutions (EDS) and cloud services, contributing to overall growth.
Negative Points
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The macroeconomic environment in Thailand remains in a recovery phase, which could pose challenges to sustained growth.
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Despite strong performance in the first nine months, the company has kept its guidance unchanged, indicating potential headwinds in the fourth quarter.
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There was a sharp decline in administrative and other expenses by 21% year-on-year, which may not be sustainable in the long term.
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The company's CapEx for network expansion appears to be below full-year guidance, raising concerns about future network investments.
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The 5G subscriber penetration is still relatively low at around 34%, indicating room for improvement in adoption rates.
Q & A Highlights
Q: Can you help us understand your key objectives and KPIs as you lead the organization, and how do you think about capital allocation? A: The key objectives are to drive growth across mobile, broadband, enterprise, entertainment, retail, and digital financial services. We aim to play a significant role in AI and digital infrastructure, adding value to the country. Regarding capital allocation, we are committed to a high dividend payout and are preparing for future investments, including spectrum auctions, to support growth.
Q: Can you discuss the macro environment in Thailand and the growth outlook for mobile and fixed broadband? Why has guidance remained unchanged despite strong performance? A: Thailand is in a recovery phase, with positive economic signs. The telecom market is focusing on value creation rather than competition, which is improving profitability. We do not expect surprises in the last quarter, so guidance remains unchanged. The decline in admin expenses was due to performance-related adjustments.
Q: What is your view on the mobile revenue gap with competitors, and what is the CapEx outlook for 2026 and 2027? A: We focus on customer needs and quality acquisitions, which has improved mobile revenue. We will continue investing in network services to maintain quality. CapEx has been low due to pre-investment in 5G, but we plan to invest more in the coming years to support customer experience and growth.
Q: How do you plan to address the competitive landscape in AI infrastructure and data centers? A: We are pursuing joint ventures for AI infrastructure, including data centers and GPU services. We see strong demand and plan to invest accordingly. Our strategy focuses on quality customer support and maintaining a competitive edge in the market.
Q: What are the future plans for CapEx allocation across different business segments? A: We are finalizing plans with the Board, but expect to increase CapEx to ensure network quality and support growth. Investments will be made in mobile, broadband, and data centers, with a focus on securing future cash flows. Detailed guidance will be provided next year.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
