Southeast Asia operator giant SingTel reported lower profit for the second-quarter as costs related to its stake in Indian operator Bharti weighed on results. Net income fell 2.9 percent to SGD916.2 million (US$755 million) from SGD943.2 million and was below the SGD991 million forecast by analysts in a Bloomberg poll. Group revenue rose 7.4 percent to SGD4.6 billion. Its share of profit from its 32 percent stake in Bharti fell 27 percent to US$154 million, due to the operator's Indian 3G rollout and its African expansion. SingTel also blamed a 10 percent fall in the value of the Indian rupee against the Singapore Dollar.

SingTel reported a 2.4 percent rise in revenue in its home market of Singapore (to SGD1.6 billion) and a 3 percent rise in revenue (to AUD2.31 billion) at its other wholly-owned subsidiary, Australia’s Optus. It noted that the contribution from its “regional associates” – including stakes in operators in Indonesia (Telkomsel) and Philippines (Globe) – would have remained stable if the currency fluctuations and Bharti losses were excluded.

“Our geographical diversity helped reduce the impact of foreign exchange volatility on our quarter’s results, with the stronger Australian dollar offsetting the effects of weaker regional currencies,” said Ms Chua Sock Koong, SingTel Group CEO (pictured). “Our Singapore and Australian businesses continue to perform well, especially in the mobile segments.”

The operator announced earlier that its total mobile customer base increased by 19 percent, or 65.4 million, from a year ago to 416 million as at 30 June 2011. On a proportionate basis (based on the group’s percentage ownership of its regional assets), the total was 146 million, up from 123 million a year ago.