TeleChoice International’s Robust Turnaround Sparks Optimism for FY2024

TeleChoice International Limited has reported a substantial 55% increase in revenue for the nine months ended 30 September 2024, compared to the same period in 2023. The Group’s revenue rose to S\$246.9 million, with significant contributions from the Personal Communications Solutions Services (PCS) and Network Engineering Services (Engineering) divisions.

The PCS division, in particular, achieved a remarkable 135% revenue increase, reaching S\$154.9 million. This division also reported a profit before tax of S\$2.0 million, a notable turnaround from a loss of S\$0.1 million in the previous year. The growth was driven by the successful fourth-party logistics and managed services contract with U Mobile in Malaysia and the launch of new HONOR devices in Singapore.

The Engineering division also demonstrated strong performance, with an 8% increase in revenue to S\$41.2 million and a profit before tax of S\$0.5 million. The division’s success is largely attributed to profitable operations in Indonesia and reduced losses in Singapore and the Philippines.

While the Info-Communications Technology Services (ICT) division reported a loss before tax of S\$1.6 million, it showed an improvement from the previous year, due to better gross margins and lower operating expenses. The division’s revenue was S\$50.8 million, with significant contributions from digital infrastructure and communications segments.

Overall, the Group recorded a profit before tax of S\$0.9 million in 9M2024, a significant improvement from a loss of S\$4.1 million in 9M2023. This positive shift indicates a strong recovery and potential for future growth, as the Group continues to enhance its core competencies and expand its market presence.

The Group’s outlook remains optimistic for FY2024, buoyed by the sustained positive profit before tax over the last three quarters and strategic initiatives to strengthen core competencies and seize new opportunities. However, the challenging operating environment due to inflation and economic uncertainties remains a factor to watch.

Disclaimer: The information provided in this article is based on the financial report of TeleChoice International Limited for the third quarter and nine months ended 30 September 2024. It is intended for informational purposes only and should not be considered as financial advice. Investors are advised to conduct their own research or consult with a financial advisor before making investment decisions.