Strategic Win of the Year”, (ii) IBM’s “2014
Top Big Data and Analytics Award” and
(iii) IBM’s “2014 Top Technical Support
Services Business Partner Award” while
NexWave Telecoms was awarded the
“Rising Star Award” by Sophos.
NETWORK ENGINEERING SERVICES
(“ENGINEERING”)
Engineering division recorded full-year
revenue of S$57.4 million, an increase
of 11.9% while its PBT was maintained
at S$3.6 million as compared to FY2014.
This represented 9.9% and 28.1% of Group
revenue and operating PBT respectively.
The higher revenue was due to higher
transmission equipment sales in Singapore,
higher volume of radio network planning
and optimisation projects and increased
power supply product sales in Indonesia,
offset by lower revenue from Malaysia.
The consistent PBT was the result of
higher profit contribution from Indonesia
offset by operational loss from Malaysia,
with Singapore delivering a relatively flat
profit performance.
The division was impacted by the weak
Singapore and regional economies. In
Singapore, market saturation in the
telecommunications industry, coupled
with the possible emergence of a fourth
operator, prompted all three existing
operators to slow down their investments.
Regional operations were adversely
affected by the sharp depreciation of the
Malaysian Ringgit and Indonesian Rupiah
in the second half of 2015. Despite these
challenges, the division secured a steady
stream of multi-million dollar projects from
operators and major equipment vendors,
and also won a significant number of
awards and recognitions from Huawei,
Nokia and Ericsson. In addition, it expanded
its suite of product offerings with the
addition of RF and power solutions,
increased its partner certifications and
continued to grow its presence and sales
regionally.
PROSPECTS & GROWTH
STRATEGIES
While economic uncertainty looms over
the local and global economy, we remain
optimistic of opportunities for all our
divisions.
The IoT will continue to dictate consumer
trends and push the boundaries of the
mobile consumer market. Mobile device
manufacturers will continue to introduce
newer and faster mobile devices and
wearables. This, coupled with the
increasing demand for “Infotainment”,
will afford growth opportunities for PCS
division to capitalise on, given its market
leadership and the strong relations forged
with mobile device manufacturers and
telco partners.
ICT division, with its growing stable of
public sector projects and increasing
expertise in the hospitality, healthcare
and education sectors, is well-placed to
compete selectively for niche public and
private sector projects. It will continue to
explore growth avenues in the provision
of integrated solutions arising from the
government’s Smart Nation Initiatives,
and in the data centre and storage space
industry as well as in developments in
technology and faster connection speeds.
With regional upgrades and expansion of
networks and bandwidths, there should be
no let up on possibilities for Engineering
Services division as it seeks to make
further regional inroads.
19
TELECHOICE INTERNATIONAL LIMITED
2015 ANNUAL REPORT
OPERATIONS
REVIEW
