Shares in telecommunications firm M1 Ltd gained nearly 3 percent in a weaker broader market, helping kick off Singapore's results season with an inspiring quarterly performance.
M1's net profit rose about 11 percent to S$39.2 million ($31 million) in the second quarter ended June 30 and the company said it expects moderate growth in net profit for the full year.
Analysts highlighted a strong business performance. "The surging take-up of tiered data plans is starting to show, with service revenue growth soaring to a 10-year high of 8 percent year-on-year while EBITDA margin is fairly resilient," brokerage CIMB said in a report.
Trading volume in M1, the smallest of Singapore's three telecommunications operators, rose to 1.3 million shares versus full-day average volume of about 765,000 shares over the past five days.
"It remains our top Singapore telco pick and one of our preferred telcos in the region. M1's strong earnings growth is a re-rating catalyst for the stock," CIMB said.
The benchmark Straits Times Index shed 0.2 percent to 3,218.5, weighed by a decline in Singapore Telecommunications Ltd and Keppel Corp Ltd. The broader FT ST All Share index also eased 0.2 percent.