AIS Delivers a Strong Second Quarter Performance
Advanced Info Service (AIS), which is known as Thailand’s largest mobile operator, has reported a robust second-quarter performance for 2025. The company’s net profit reached a solid 11 billion baht, representing a significant 28% increase from the same period a year earlier and a 3.8% sequential rise from the previous quarter. These impressive figures successfully met analyst expectations, signaling the company’s strong operational health and its ability to execute its business strategy effectively. Furthermore, AIS’s earnings before interest, tax, depreciation, and amortization (EBITDA) grew by a notable 7.9% year-on-year, with the corresponding margin improving to an impressive 53.3%. The company’s ability to boost both its top and bottom lines in a competitive market highlights its strategic resilience and strong market position, reinforcing its status as a market leader in the telecommunications sector in Thailand and beyond.
Key Drivers Behind the Revenue and Subscriber Growth
The positive earnings were primarily driven by a robust performance in the company’s core business, with total service revenues growing by 6.8% year-on-year. This achievement not only surpassed the company’s own initial full-year guidance but also demonstrated the strength of its service offerings. The growth was further bolstered by a 5.3% climb in mobile service revenue, which remains the cornerstone of its business. A particularly strong indicator of customer engagement and profitability was a substantial 8% surge in prepaid average revenue per user (ARPU), which highlights the success of its pricing and service bundles. Importantly, the company also successfully reversed its previous quarter’s subscriber losses by adding a net of 290,000 new mobile customers during the period, showcasing its ability to attract and retain users in a saturated market and expand its customer base through effective marketing and competitive offerings.
Management Raises Forecasts and Declares a Generous Dividend
In a clear show of confidence, AIS management has raised its 2025 growth forecasts for both service revenue and EBITDA to a new and higher range of 4-6%, reflecting its optimistic view of the remaining year. In a very positive move for its shareholders, the company also declared an interim dividend of 6.89 baht per share. This substantial payout, which represents a 95% payout ratio, exceeded analyst assumptions and underscores the company’s dedication to returning value to its investors. The strong financial performance and generous dividend have garnered attention from the market, with CGS International Securities (Thailand) maintaining an “Add” rating on the stock with a 301 baht price target, suggesting a positive long-term outlook for the company’s share price and business trajectory, further solidifying its reputation as a stable and profitable investment opportunity.
