KUALA LUMPUR (Feb 22): Wireless carrier Maxis Bhd's net profit plunged by 76% for the fourth quarter ended Dec 31, 2023 (4QFY2023) from a year earlier, dragged by tax settlement and penalties imposed by the Inland Revenue Board.

Quarterly net profit was RM56 million, or 0.7 sen per share, compared with RM233 million for the same period a year earlier, Maxis said in an exchange filing. During the quarter, the company paid RM73 million to fully settle the additional tax assessments.

Revenue for the quarter however rose 7.4% to RM2.74 billion from RM2.55 billion a year ago, thanks to growth across consumer and enterprise businesses.

For FY2024, Maxis is guiding for a “low single-digit” increase in service revenue, and for earnings before interest, taxes, depreciation and amortisation (Ebitda) to remain “relatively unchanged”. The company said it is also aiming to keep capital expenditure under RM1 billion for the year.

Maxis declared an interim dividend of four sen per share for the latest quarter, bringing its full-year dividend payout to 16 sen per share.

For the full year, net profit declined 13.8% to RM993 million, from RM1.15 billion for FY2022. Revenue increased 4% to RM10.18 billion from RM9.79 billion.

Service revenue for the year edged 2.8% higher to RM8.57 billion, while Ebitda was up 0.8% to RM3.93 billion for FY2023. Capital expenditure totalled RM813 million, down 27% from FY2022.

Shares in Maxis closed two sen or 0.53% higher at RM3.81 on Thursday, valuing the company at RM29.84 billion.