Astro Malaysia Holdings Bhd saw an 18.95% decline in net profit for the quarter ended Jan 31, 2024 (4Q23) to RM44.38 million from RM54.75 million a year ago.

The drop in earnings was attributed to lower revenue and increased net financing costs due to unfavourable unrealised foreign exchange losses from unhedged lease liabilities.

Revenue for the period also fell 13.63% to RM819.85 million was mainly driven by lower subscription revenue, advertising revenue, sales of programming rights, rental income, and the closure of its Go Shop operations.

For the 12 months period (FY2024), its net profit plummeted by 85.76% to RM36.88 million, the lowest since the company's listing in 2012, largely due to lower earnings before interest, taxation, depreciation, and amortisation (EBITDA).

The group cited higher broadband costs, staff-related costs from a voluntary separation scheme, and higher net finance costs as contributing factors.

Excluding unrealised forex impact and post-tax VSS costs, the group recorded a full-year net profit of RM181 million.

No dividend was declared for the quarter, with a payout ratio of 31% for the full year.

Despite economic challenges, Astro remains resilient, focusing on technology accessibility, convenience, and diversifying its business.

The group cautioned about the impact of a strong US dollar and local economic conditions on multiple cost lines and customer sentiments.

Astro shares slipped 3.28% or 1 sen lower to close at another historic low of 29.5 sen today, valuing the group at RM1.54 billion.