Singapore Telecommunications Ltd Annual Report 2015

FY2015 Annual Report · Singapore Telecommunications Ltd
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It’s About You

ANNUAL REPORT 2015

CONTENTS

OVERVIEW

An overview of our business, 
our performance, key events 
and achievements in the past 
year, as well as our strategy 
moving forward

BUSINESS REVIEW

Insights into each of our 
business units

SUSTAINABILITY AND GOVERNANCE

Our organisation structure, 
management team, 
corporate governance, 
risk management and
sustainability eff orts

PERFORMANCE

Our ﬁ nancial performance

FINANCIALS

Audited ﬁ nancial statements

01 Our Vision and Mission
02 Our Global Reach
04 What Diff erentiates Us
05 Our Strategy
06
08 An Exciting Year
10 Chairman’s Statement
12 GCEO Review

Financial Highlights

16 Group Consumer
30 Group Enterprise
36 Group Digital Life
42

Key Awards and Accolades

45 Board of Directors
50 Organisation Structure
51 Management Committee
54
Senior Management
55
Sustainability and Governance 
Philosophy

56 Corporate Governance
78
Investor Relations
80 Risk Management Philosophy 

and Approach
Sustainability

88

97 Group Five-year Financial Summary
99 Group Value Added Statements

100 Management Discussion 

and Analysis

Statement of Directors
Independent Auditors’ Report

110 Directors’ Report
118
119
120 Consolidated Income Statement
121 Consolidated Statement of 

Comprehensive Income
Statements of Financial Position
Statements of Changes in Equity

122
124
128 Consolidated Statement of 

Cash Flows

132 Notes to the Financial Statements

ADDITIONAL INFORMATION

Our shareholders, transactions 
with interested persons and 
other corporate information

Interested Person Transactions
Shareholder Information

221
222
224 Corporate Information
225 Contact Points

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It’s About You

We aim to make your 
life more seamless and 
eff ortless with better 
service, technology and 
content. We want to help 
you do more of what you 
love – talking, messaging, 
shopping or catching 
up on the latest news. 
Above all, we want you 
to be happy, satisﬁ ed and 
delighted customers. 

To be Asia Paciﬁ c’s 
best multimedia 
solutions group

We aim to shape communications and 
much more by unlocking the possibilities 
of the digital world for our customers. 

Breaking Barriers, 
Building Bonds

We believe that the world is a better place 
when technology is used to help people 
and businesses communicate eff ortlessly.

We make communication easier, faster 
and more reliable for customers, while 
delivering value to our stakeholders.

Our 
Global 
Reach

02

mobile 

46 Singtel 
Global Offi  ces in 
21 countries to 
serve enterprises 
globally

20 offi  ces 
worldwide

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customers across Asia, Australia and Africa

Presence in global 
innovation hubs 
of Singapore, Silicon 
Valley, Tel Aviv 
and Beijing

>200 points 
of presence 
in 160 cities

launched in 
3 countries in 
Asia Paciﬁ c

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What 
Diff  erentiates 
Us

01
CUSTOMER 
FOCUS

02
SUPERIOR 
NETWORK

03
COMMITMENT 
TO INNOVATION

04
STRONG 
FINANCIAL 
PERFORMANCE

05
ENGAGED 
WORKFORCE

We want to give you a better experience – be it faster 
surﬁ ng, better coverage or simpler price plans. We put 
our heart and soul into everything we do – building 
networks, wiring up your home and creating new 
products, so you can worry less and do more.

We know you rely on us to connect you to your 
loved ones and business partners. We are constantly 
improving the coverage and quality of our network, and 
enabling you to roam in more countries. You can count 
on us to make the latest communications technologies 
work for you.

The internet brings endless possibilities. We translate 
these possibilities into services that are meaningful 
to you – so you can be informed, entertained and 
stay in touch with the people you care about. We will 
continuously innovate to bring you products to improve 
business productivity and make life more enjoyable.

We are ﬁ nancially strong. We deliver solid returns to 
our shareholders and ensure we have the resources 
to invest, innovate and grow.

We attract and nurture talents from all walks of life. 
Our people are motivated to deliver their best work 
to delight you and grow Singtel.

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Our
Strategy

OUR 
GOAL

OUR
STRATEGY

Create sustainable long-term growth to 
deliver superior returns to shareholders

Strengthen the 
core business

Build new 
growth engines

Improve the 
economics of 
core consumer 
& enterprise 
business

Lift customer 
experience

Enhance 
collaboration 
with our 
regional 
mobile 
associates

Create 
innovative & 
diff  erentiated 
digital 
businesses

Average 
revenue per 
user

Customer
satisfaction
scores

Associates

Average 
revenue per 
user

KEY
PERFORMANCE 
INDICATORS

Revenue 
from data 
usage

Network
quality

Revenue 
from data 
usage

Innovations 
adopted 
by the core 
businesses

Monthly 
active users

Subscriber 
acquisition and 
retention costs

Churn
rate

Smartphone
penetration

Revenue from 
new digital 
businesses

Cost 
effi  ciencies

3G/4G 
network
coverage and 
quality

Market share 
position

Return on 
invested capital

Total shareholder
returns

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Financial 
Highlights

OPERATING REVENUE

2015

2014

EBITDA

2015

2014

NET PROFIT

2015

2014

17,223m

16,848m

S$17,223m

5,091m

5,155m

S$5,091m

3,782m

3,652m

S$3,782m

UNDERLYING NET PROFIT

2015

2014

3,779m

3,610m

S$3,779m

FREE CASH FLOW

2015

2014

3,549m

3,249m

S$3,549m

DIVIDEND PER SHARE

2015

2014

S¢17.5

S¢16.8

S¢17.5

2%

1%

4%

5%

9%

4%

RETURN ON EQUITY

2015

2014

15.6%

15.3%

15.6%

0.3 percentage 

point

RETURN ON INVESTED CAPITAL

2015

2014

12.1%

11.6%

12.1%

0.5 percentage 

point

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32%

20%

9%
8%

PROPORTIONATE EBITDA 
– CONTRIBUTION BY GEOGRAPHY (1)

SHARE PRICE CHANGES

35%

30%

25%

20%

15%

10%

5%

0%

47%

REGIONAL 
MOBILE 
ASSOCIATES

26%

SINGAPORE

29%

AUSTRALIA

Jun 14

Sep 14

Dec 14

Mar 15

Between April 2014 and March 2015, the Singtel (SGX) share 
price gained 20% and the Singtel (ASX) share price gained 32%. 

20%

32%

Singtel (SGX)

Singtel (ASX)

9%

MSCI (2)

8%

Straits Times Index

CONSTANT CURRENCY TRENDS (3)

Underlying Net Proﬁ t
(S$ million)

3,880

3,652

6%

2015

2014

3,882

3,610

8%

Net Proﬁ t
(S$ million)

2015

2014

SHAREHOLDER PAYOUT
(S$ billion)

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2.8

2.7

2.7

2.5

2.5

2.3

1.6

2.0

2.0

1.8

1.7

1.5

2.3

  Ordinary 
Dividend

  Special 

Dividend

  Capital

Reduction

Singtel has a track record of generous 
shareholder returns. 

It pays between 60% and 75% of underlying 
net proﬁ t as ordinary dividends.

For the ﬁ nancial year ended 31 March 2015, 
the Board has recommended a ﬁ nal ordinary 
dividend of 10.7 Singapore cents a share. 
Together with the interim dividend of 6.8 
Singapore cents, the total ordinary dividends for 
the year is 17.5 Singapore cents, an increase 
of 4% from the previous year. It also represents 
74% of the Group’s underlying net proﬁ t.

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Notes:
(1)  Percentages may not add up due to negative contributions from other countries. 
(2)  MSCI Asia Pacific Telecommunications Index.
(3)   Assuming constant exchange rates from FY 2014.

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An 
Exciting 
Year

Amobee gained scale with investments 
in Adconion and Kontera

Singtel unveiled a new brand identity 
and promise to make the everyday 
better for customers

Dash, Singtel’s revolutionary 
mobile money service, was 
introduced in Singapore

Singtel customers enjoy data roaming rates similar 
to local data rates when travelling to Malaysia and 
Australia, with our ”Roam Like Home” add-on service

Singtel announced the 
acquisition of Trustwave 
to strengthen its global 
cyber security capabilities (1)

Singtel launched the ﬁ rst Advanced 
Security Operations Centre in Asia 
Paciﬁ c with FireEye and expanded its 
cloud-based cyber security solutions 
with Akamai to counter cyber attacks

Launched Optus 
10 satellite, bringing 
broadcast, voice and
data connectivity to 
rural and remote parts 
of Australia

Note:
(1)  The acquisition of Trustwave is subject to fulfilment of certain conditions precedent, including relevant approvals from regulatory authorities and other third parties.

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Data Sharing Plans allow Optus 
customers to fully maximise 
their mobile phone plans

HOOQ, a partnership 
between Singtel, 
Sony Pictures 
Television and 
Warner Bros. 
Entertainment, was 
established to bring 
OTT video to Asia

AIS successfully rolled out 
3G nationwide and launched 
“YOU! mobile”, the world’s ﬁ rst 
prepaid plan in which customers 
can swap unused voice minutes 
and data in real time

Telkomsel brought 
the ﬁ rst commercial 
4G LTE mobile 
service to Indonesia

Globe Telecom was 
the ﬁ rst operator to 
commercially launch 
4G in the Philippines

Airtel crossed the 300-million-
customer milestone across 
South Asia and Africa. It also 
leverages enhanced spectrum 
holdings to expand 3G and 4G 
footprint in India

NCS launched SURF@NCS to create
and test-bed smart city innovations

Singtel, Samsung and Ericsson unveiled 
the world’s ﬁ rst commercial 300Mbps 4G 
LTE-Advanced service for smartphones and 
introduced 4G ClearVoice, the world’s ﬁrst 
commercial full-featured Voice over LTE 
(VoLTE) service

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Singtel redesigned mobile plans 
to off er high-speed WiFi usage in 
addition to 4G data bundles

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Chairman’s 
Statement

Dear Shareholders,

I am pleased to report that Singtel 
has ended the ﬁnancial year with 
another set of strong results, 
reﬂecting the resilience of our 
core business and our ability as a 
Group to capture growth in mobile 
data services.

LEADING AND SHAPING THE 
DATA REVOLUTION

In my 2011 statement, I highlighted 
that the world was on the cusp of a 
mobile data revolution.

The ability to access the internet 
anytime and anywhere through 
a mobile device – whether a 
smartphone or tablet – created an 
insatiable consumer appetite for 
online information, pictures and 
videos. It also opened up a world of 
free apps from over-the-top (OTT) 
players that help consumers to 
communicate, access entertainment 
and perform a myriad of tasks.

The resulting demand for more 
data, bandwidth and higher speeds 
has grown unabated, fuelled by 
trends such as video on-the-go, 
rich communications and other 
entertainment.

For Singtel, we not only want to be 
a part of this revolution, but also to 
lead and shape it. In response, we 
have been pursuing a fundamental 

transformation of our business 
model. We took steps to transform 
our core – investing in network, 
technology and spectrum as well 
as changing our pricing models 
to successfully manage the 
transition from a voice-centric 
to a data-centric world.

and organisations globally. Through 
our acquisitions and partnerships 
with best-in-class global security 
providers, Singtel is investing to build 
leading cyber security capabilities 
and a new global business, to help 
our customers stay ahead of the 
growing cyber risk.

At the same time, by sharing our 
experience in transforming our 
business, we are helping our regional 
mobile associates navigate through 
the same industry challenges and 
changes that are taking place in their 
respective markets.

MEETING COMPLEX DEMANDS 
ON ICT SERVICES

In the enterprise space, businesses 
and public agencies are similarly 
exploiting mobile capabilities 
as levers for growth. For greater 
effi  ciency, many are also outsourcing 
their IT infrastructure and technology 
needs to focus on their core 
businesses.

The shift to cloud services has 
created complex demands on 
infocomm technology (ICT) services. 
This is underlined by the need for 
greater connectivity, cyber security 
and advanced analytics, which 
Singtel is well-positioned to meet.

Cyber security, in particular, is a 
critical agenda item for all board 
and risk committees of enterprises 

SHARPENING OUR DIGITAL PLAY

We continue to invest in other 
growth engines, especially in the 
digital space.

Our resources are now focused on 
three distinct digital businesses. 
We are scaling Amobee to become 
a global digital marketing business, 
while rolling out HOOQ, our regional 
premium OTT video service, and 
DataSpark, our advanced analytics 
initiative. Each of these businesses 
leverage our unique telco assets and 
customer knowledge. 

We remain in an investment phase 
in each of these businesses and they 
operate within the risk appetite and 
framework established by the Group.

DELIVERING STRONG FINANCIAL 
PERFORMANCE

For FY 2015, the Group delivered 
strong ﬁnancial performance with 
growth contributions from our core 
businesses, despite the eff ects of a 
weaker Australian Dollar, Indonesian 
Rupiah and operating losses from 

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Looking ahead, we see the 
mobile data revolution gaining 
further momentum. The need 
for people, businesses and 
objects to be interconnected 
will drive higher demand for 
connectivity and data services.”

our new businesses. Net proﬁ t rose 4% 
and would have grown 6% in constant 
currency terms.

of the Audit Committee. The Singtel 
Board and Management will miss their 
wise counsel.

The Board has recommended a ﬁnal 
dividend of 10.7 cents per share, 
bringing the total ordinary dividends 
for the ﬁnancial year to 17.5 cents. 

CONTINUING COMMITMENT TO 
CUSTOMERS AND SHAREHOLDERS

Looking ahead, we see the mobile data 
revolution gaining further momentum. 
The need for people, businesses and 
objects to be interconnected will drive 
higher demand for connectivity and 
data services.

The challenge, and the opportunity, 
for Singtel is to continue to lead and 
shape this data-driven digital world 
with services that are important to our 
customers and create sustainable value 
for our shareholders.

Having the right team is key to the 
success of our business. I wish to thank 
the staff  and management of Singtel 
who put forward their best at work 
every day, undeterred by the relentless 
pace of competition and industry shifts.

I also thank my fellow directors for 
their contributions, and especially to 
two of our longest-serving directors 
who will be stepping down following 
the Annual General Meeting – 
Kai Nargolwala, Lead Independent 
Director, and Fang Ai Lian, Chairman 

At the same time, we welcome our 
new directors – Venky Ganesan, 
an experienced technology venture 
capitalist, and Teo Swee Lian, who was 
the Special Advisor in the Managing 
Director’s Offi  ce at Monetary Authority 
of Singapore. Their appointments 
will add to the diversity of the Board 
and we look forward to their added 
experience and skills in helping steer 
the Group’s ongoing transformation.

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SIMON ISRAEL 
CHAIRMAN

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GCEO 
Review

” FY 2015 saw us continue to 
”
make signiﬁ cant progress. 
We successfully raised the 
performance of our core 
consumer businesses in both 
Singapore and Australia despite 
strong competition. We tightened 
the focus on our promising digital 
businesses: digital marketing, 
premium OTT video and advanced 
analytics. We laid the foundations 
for enterprise growth in cyber 
security and cloud technology. ”

OUR TRANSFORMATION PROGRESS

We are three years into our 
transformation – a journey that is 
focused on two objectives. The ﬁ rst 
is to re-engineer and strengthen our 
core businesses so that they continue 
to thrive in the digital world. The 
second is to leverage our unique 
assets as a telco to create new global 
digital businesses.

FY 2015 saw us continue to make 
signiﬁ cant progress in both areas. We 
successfully raised the performance 
of our core consumer businesses 
in both Singapore and Australia 
despite strong competition. We 
tightened the focus on our promising 
digital businesses: digital marketing, 
premium over-the-top (OTT) video 
and advanced analytics. We laid the 
foundations for enterprise growth in 
cyber security and cloud technology.

One visible change we made in 
FY 2015 was the launch of our new 
brand identity. The new Singtel aims 
to celebrate customers’ everyday lives 
and help them discover experiences – 
at work, at home, or when doing their 
favourite things – in an eff ortless and 
seamless way through better service, 
technology and content. It reﬂ ects the 
shift we have made from a traditional 
telecommunications company to 
a provider of rich multimedia and 
infocomm technology (ICT) solutions. 
This ethos is carried into the role we 
play in the community. We work with 
key partners to enable sustainable 
business practices and help vulnerable 
segments of society. 

STRONG FINANCIAL PERFORMANCE

Through this period of transformation, 
our ﬁ nancial performance remains 
resilient despite signiﬁ cant foreign 

12

currency volatility. Over the past 
three years, we have experienced 
unprecedented weakness in the 
regional currencies, especially the 
Australian Dollar, Indian Rupee and 
Indonesian Rupiah. These have masked 
the underlying proﬁ t improvement in 
our operations when translated into 
Singapore Dollars.

In FY 2015, our net proﬁ t grew 4% 
to S$3.8 billion. On a constant currency 
basis, net proﬁ t increased 6%.

RAISING THE PERFORMANCE 
OF OUR CORE BUSINESSES

We continue to drive change 
throughout our core businesses to 
deliver to the evolving expectations 
of our consumer and enterprise 
customers. The foundation of our 

services will always be our networks, 
and we continue to invest to bring the 
latest capabilities to our customers. 
In Singapore, we launched 4G speeds 
of 300Mbps and a full suite of Voice 
over LTE (VoLTE) services, becoming 
the ﬁ rst operator globally to do so. 
Across Singapore and Australia, we 
invested more than S$3 billion in our 
networks and spectrum in FY 2015.

We continue to invest strategically for 
the future and expect investment in 
our core businesses to increase in the 
coming year. This includes new billing 
and customer care systems to provide 
greater ﬂ exibility and an improved 
experience for customers in Singapore 
and Australia. We are also enhancing 
our 4G network in Australia to meet 
the rapidly growing demand for 
mobile data. To support our enterprise 
growth, we are boosting data centre 

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capacity in Singapore and the region. 
These investments are complemented 
by ongoing cost improvements 
throughout our core businesses as we 
look to build operating models that are 
responsive to the future and not held 
back by the legacy of the past.

A key priority over the past three 
years has been to put in place more 
sustainable revenue models. Our data 
pricing plans in Singapore and Australia 
give customers greater peace of mind 
to use more mobile data services. 
We saw higher data usage, with mobile 
data revenues increasing by more than 
20% across Singapore and Australia. 
We regained momentum in Australia 
with our investments in network, 
spectrum and customer experience. 

Optus’ mobile service revenues 
returned to growth and increased 3% 
in FY 2015. I am pleased that Optus 
now competes from a stronger base.

We will continue to explore 
opportunities to collaborate with 
OTT players. With our customer 
knowledge and billing relationships, 
we can signiﬁ cantly enhance the 
content and delivery in the apps 
ecosystem. Globe, our Philippine 
regional mobile associate, partnered 

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GCEO 
Review

with Facebook to run promotions 
that gave mobile customers free 
access to the social network. This 
opened up the world of social media 
to a new cohort of users. Such 
collaborations are a win-win for both 
parties as they seek to grow their 
inﬂ uence with customers.

The Group’s ability to innovate and 
gain operating leverage in the digital 
space is key to our transformation 
success. Singtel Innov8, our 
corporate venture capital fund, 
continues to give the Group access 
to leading innovations.

GAINING TRACTION IN DIGITAL

We made the decision three years 
ago to boldly venture into the digital 
space. We have learned much 
during this time – how to build teams 
that are eff ective in the fast-paced 
digital world, how to make decisions 
quickly on what ventures to pursue 
and grow and when to exit, and how 
best to leverage our unique telco 
assets to create successful digital 
services. 

After this period of experimentation, 
we have sharpened our focus 
on businesses that have gained 
good traction and are able to 
scale. We have migrated some 
of our digital lifestyle services 
to our core consumer business, 
where they can be deployed to 
enhance the user experience of our 
telecommunications off erings.

We have identiﬁ ed digital marketing, 
premium OTT video and advanced 
analytics as key growth areas. We 
will double our eff orts to build these 
businesses – under the respective 
brands of Amobee, HOOQ and 
DataSpark – to become signiﬁ cant 
players. Amobee made important 
investments that broadened its 
market reach and acquired new 
technology with better targeting 
capabilities. 

To help them navigate and grow 
in the fast-moving digital space, 
each of these businesses will be 
guided by a Board that includes 
independent directors with relevant 
industry and domain expertise.

DRIVING GROWTH IN 
ENTERPRISE

Group Enterprise is a signiﬁ cant 
business for us, representing 
more than a third of revenues 
across Singapore and Australia. 
We continue to maintain market 
leadership in Asia Paciﬁ c. Our 
ICT solutions play a key role 
in improving the effi  ciency 
and security of businesses and 
governments across the region. 

In FY 2015, we doubled down on 
two priority areas – cyber security 
and cloud services – to extend 
our ICT leadership and provide 
platforms for global growth.

Our acquisition of Trustwave 
will signiﬁ cantly strengthen our 
global cyber security capabilities. 
Its managed service capabilities 
will complement our existing 
partnerships with FireEye and 
Akamai, two leading cyber security 
solutions providers.

We continue to invest in cloud 
capabilities. We accelerated 
the growth in G-Cloud services 
in Singapore, with multiple 
government agencies on board, 
and acquired Ensyst, a leading cloud 
consulting and migration services 
company in Australia. We are also 
working with our associates to 
enhance their cloud off erings in 
their markets. 

GROWING WITH OUR REGIONAL 
MOBILE ASSOCIATES

FY 2015 was overall a good year for 
our associates, with all but our Africa 
operations gaining market share. 
Pre-tax proﬁ t contributions from our 
regional mobile associates increased 
18%, and an impressive 22% in 
constant currency terms. 

Our associates are experiencing 
strong mobile data growth, spurred 
by a burgeoning middle class as 
well as the increased availability and 
aff ordability of smartphones and 
other connected devices. These 
devices will become the staple of 
everyday life and the must-have 
for people to surf the internet, pay 
bills and interact on social media. 
Innovation will not stop there. 
New content, business models and 
fresh marketing concepts, together 
with aff ordable internet prices, can 
change lives as deeply as, if not more 
than, mobile voice services did.

As part of the Singtel Group, our 
associates can move more quickly 
to build the necessary data-centric 
capabilities, and create better 
products and operating models. In 
FY 2015, we launched new initiatives 
to facilitate greater collaboration 
across our mobile operations. 
We established six Centres of 
Excellence to help our associates 
develop key capabilities more quickly 
in areas such as network design, 
analytics and data pricing. We 
held Product Innovation Fairs at 
our regular CEO gatherings to 
cross-pollinate new ideas. Harnessing 
our Group’s scale, we entered into 
group-level strategic partnerships 
with key vendors, including 
Samsung.

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” Our results over the last three 

years have shown that we have a 
quality business, can respond to 
industry challenges and deliver 
resilient ﬁ nancial performance. 
I am conﬁ dent that our businesses 
are in a much stronger position 
today to thrive in the digital era. “

We also worked with content partners 
and our associates to launch HOOQ, 
our OTT premium video service, which 
can be delivered to a wide array of 
devices and on diff erent platforms. 
The product has been launched in the 
Philippines, Thailand and India.

ENABLING POSITIVE CHANGES 
IN THE COMMUNITY

We aim to create long-term growth 
for our business, while enabling 
positive changes in the marketplace 
and communities we operate in.

BUILDING OUR TEAM

Our plans cannot be implemented 
successfully without the right 
leadership and talent in our businesses. 
We have put in place long-term 
commitments and initiatives to nurture 
talent and build competencies in 
network engineering, cyber security, 
smart cities, customer experience 
and data analytics. These programmes 
are in collaboration with key Singapore 
government agencies and leading 
educational institutions.

We strive to create a working 
environment that fosters creativity and 
innovation, underpinned by a shared 
set of ethical values that drive us as a 
company. I am pleased to report that 
our employee engagement scores 
continue to be at all-time highs for us.

We have developed a Group-wide 
Sustainable Supply Chain Management 
Framework to engage our key vendors 
and partners in responsible business 
practices, and will continue to work on 
reducing our environmental footprint.

Our community focus is on the 
well-being of people and helping 
the less privileged realise their potential 
through digital and infocomm 
technologies. We have begun building 
the Singtel Enabling Innovation 
Centre to support skills training and 
assistive technology development for 
persons with disabilities to enhance 
their employability. Our corporate 
philanthropy programme, the Singtel 
Touching Lives Fund, has raised 
S$30 million over the past 13 years for 
children and young people with special 
needs. Across Singapore and Australia, 
we have also rolled out cyber wellness 
programmes for youths and parents. 

LOOKING FORWARD

We have made good progress so far, 
though we still have much to do. The 
fast pace of change in our markets 
will certainly continue, and we will 
face new challenges in the coming 
years. However, our results over the 
last three years have shown we have 
a quality business, can respond to 
industry challenges and deliver resilient 
ﬁ nancial performance. I am conﬁ dent 
that our businesses are in a much 
stronger position today to thrive in 
the digital era.

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GROUP CHIEF EXECUTIVE OFFICER

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MARKET 
TRENDS

The volume and variety of data carried 
through telcos’ networks continue to 
grow rapidly.

Customers are consuming and co-creating 
an increasing amount of information, photos 
and videos on the internet. Emerging trends 
– such as connected appliances, big data 
and cloud computing – will fuel demand 
for data services across both ﬁ xed-line and 
mobile platforms.

Telcos are competing for customers with 
better coverage, faster internet speeds and 
improved services. Much investment is 
necessary to maximise customer experience. 
Only telcos with sustainable pricing models 
and diff erentiated services will be able to 
continually make these investments.

STRATEGIC 
PRIORITIES

To capture the growing data demand, Group 
Consumer is focused on delivering the best 
customer experience with faster speeds, 
greater coverage, and innovative and useful 
products. We are also committed to help our 
regional mobile associates build necessary 
data-centric capabilities and create better 
data products and operating models.

In FY 2015, we invested more than 
S$3 billion in network infrastructure and 
spectrum across Singapore and Australia. 

In India, Airtel secured precious wireless 
spectrum for more than 290 billion Indian 
Rupees, or more than S$6 billion. Our 
associates in other markets have similarly 
made signiﬁ cant investments in their 
networks and spectrum.

We will continually review our business 
models and pricing structures to ensure 
fair returns for our investments.

OUR ASSETS/
STRENGTHS

As a group, we serve over 550 million 
mobile customers in Asia, Australia and 
Africa, encompassing developed and 
emerging markets. This creates beneﬁ ts 
in several ways:

•  Scale beneﬁ ts: We enjoy economies 
of scale in areas such as procurement, 
technology deployment and marketing, 
as business partners work with us as a 
collective group.

•  Shortened learning curve: As individual 
companies go through diff erent stages 
of market development, we gain 
experiences that could be useful for 
other companies in the Group. By sharing 
our knowledge and insights, we help 
one another shorten the learning curve, 
navigate common challenges and be 
more eff ective against competition.

We have strong positions in our markets.

In Singapore, Singtel is the market leader 
in mobile and consumer home services, 
which are delivered over modern networks 
and with creatively bundled content and 
price plans.

In Australia, Optus is the second-largest 
telecommunications group with a strong 
brand that stands for great customer 
experience, simple products and a fast, 
reliable network.

Our regional mobile associates are leading 
mobile operators in Thailand (AIS), India 
(Airtel) and Indonesia (Telkomsel), and 
number two in the Philippines (Globe). 
Through Airtel, we also have a presence 
in 17 African countries. Our associates 
have been actively upgrading their mobile 
networks and are poised to capture the 
growth in mobile data services.

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Group Consumer
Singapore

Singtel maintained its strong 
leadership position in the Singapore 
telco market in FY 2015. It served 
4.1 million mobile customers (1), 
588,000 ﬁ xed-line broadband 
customers (1) and 423,000 pay TV 
customers as at 31 March 2015. 

We are well-placed to build on 
our leadership in an evolving and 
increasingly competitive market 
where consumers:

•  continue to embrace over-the-top 
(OTT) communications and video 
services, 

• 

increasingly turn to mobile apps 
to take care of everyday needs 
and simplify their lives, and

•  demand always-on and seamless 

connections to the internet 
wherever they are – at home, 
at work and on the move. 

These behaviours and expectations 
have driven rapid growth in mobile 
data services and customers’ need 
for faster internet speeds at home. 
Our customers have been actively 
migrating to ﬁ bre broadband services 
and almost three-quarters of them 
have already made the transition. 

Singtel has the fastest and most 
extensive network in Singapore. 
According to the Infocomm 

Development Authority (IDA) 
reports, we have the most complete 
4G coverage in the country (2). 

We have a history of pushing the 
boundaries in telecommunications, 
and are committed to deliver better 
network and technologies, innovative 
products and outstanding customer 
experiences to our customers.

DELIVERING A BETTER NETWORK
Our market-leading network 
underpins our products, services and 
innovations, so we continued to drive 
infrastructure upgrades to improve the 
coverage, reliability and speed of our 
network in FY 2015. Customers expect 
uninterrupted coverage – whether 
indoors, outdoors or commuting – 
and quality performance to enjoy 
videos, games and other high-
bandwidth applications. 

In FY 2014, Singtel became the 
ﬁ rst telco to launch a nationwide 
dual-band 150Mbps 4G service. 
We raised the bar again in FY 2015, 
becoming the ﬁ rst telco in the 
region to introduce a 300Mbps 
4G service. Powered by state-of-
the-art Long-Term Evolution (LTE) 
Advanced technology, our 300Mbps 
service delivers an unrivalled 
experience for consumers as they 
access rich multimedia content and 
communications on the move.

4.1m
MOBILE 
CUSTOMERS (1)

588,000
FIXED-LINE 
BROADBAND 
CUSTOMERS (1)

423,000
PAY TV 
CUSTOMERS

Notes:
(1)  These figures include both 
enterprise and consumer 
customers.
IDA survey on nationwide 
4G outdoor service 
coverage, Jan - Mar 2015.

(2) 

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CASE STUDY: 
COMBO PLANS OFFER THE BEST 
OF 4G AND WIFI 

Singtel is always looking for new ways to unlock more 
value for our customers, which is why we launched 
our Combo plans in FY 2015. These mobile plans 
fully integrate our 3G and 4G services with our new 
high-speed WiFi network, which is being rolled out 
in high-traffi  c locations such as shopping malls and 
underground MRT stations. 

Our Combo plans are diff erentiated from competitors’, 
underpinned by complementary mobile and WiFi 
networks, to provide substantial capacity in congestion-
prone locations. Our Singtel WiFi network also delivers 
premium performance, off ering up to ﬁ ve times the 
speed of public WiFi services. 

Combo plan customers enjoy a seamless mobile 
experience, as their handsets automatically switch 
between the Singtel 3G, 4G and WiFi networks 
without a manual password login. To meet consumers’ 
growing appetite for data, Combo plans include 
unlimited WiFi for a limited time in addition to their 4G 
data allowance.

We are expanding our WiFi network, having already 
deployed over 400 hotspots as at 31 March 2015. 
The combo plans have attracted more than 400,000 
customers and the majority of them are already using 
the WiFi service.

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To enable customers to take advantage 
of these increasing speeds, we also 
launched relevant services such as the 
world’s ﬁ rst commercial full-featured 
Voice over LTE (VoLTE) service, in 
collaboration with Samsung and 
Ericsson. With our 4G ClearVoice 
service, calls are connected up to 
ﬁ ve times faster than conventional 
mobile calls. The voice quality is also 
signiﬁ cantly better, with richer and 
more accurate sound, and noticeably 
reduced background noise.

BUILDING THE NETWORK 
OF THE FUTURE
In-building and hard-to-reach areas, 
such as Mass Rapid Transit (MRT) 
tunnels, often present coverage 
issues for mobile operators. We 
have enhanced 4G coverage in all 
underground MRT tunnels and stations 
to off er customers a seamless surﬁ ng 
experience. 

To meet the increased demand for 
data-heavy applications, we enhanced 
our mobile data off erings with 
complementary WiFi data usage on 
Singtel’s premium high-speed WiFi 
network. Customers who sign up for 
our new Combo mobile plans receive 
extra data allowance on our WiFi 
network, which is ﬁ ve times faster than 
the speed of public WiFi and is available 
at crowded locations such as shopping 
malls and MRT platforms. Singtel WiFi is 
currently available in 20 MRT platforms 
and this number will continue to grow 
in the coming months. 

 
 
 
 
 
Group Consumer
Singapore

In pursuit of even faster speeds, we 
have also started our rollout of 
Tri-band Carrier Aggregation, a 
technology that combines bandwidth 
from three of Singtel’s spectrum bands 
to improve download speeds and 
improve the quality of video streaming. 

Finally, we moved a step closer to 
making 5G a reality, with the promise 
of advanced applications such as 
multi-person video calls. As a member 
of the global Next Generation Mobile 
Network (NGMN) Alliance, Singtel 
contributed to the recently published 
NGMN 5G white paper, which deﬁ nes 
operator requirements ahead of 5G’s 
anticipated release in 2020. 

We launched a 5G Joint Innovation 
Programme with Huawei to conduct 
research into next-generation mobile 
broadband technologies, and signed 
a memorandum of understanding 
with Ericsson to study the future of 5G 
networks and its applications for both 
consumers and enterprises. 

Singtel and Ericsson are also 
partnering for Singapore’s ﬁ rst WiFi 
calling trial this year. This technology 
will allow our customers to make 
and receive calls via their home or 
public WiFi networks, eff ectively 
extending the coverage of Singtel’s 
mobile services. The solution provides 
seamless call handover between 4G 
and WiFi, ensuring customers’ calls 
are uninterrupted. 

CREATING INNOVATIVE CUSTOMER 
EXPERIENCES 
We diff erentiate ourselves from 
competitors with innovative services 
and outstanding customer experiences. 
We upgraded the My Singtel app to 
allow customers to easily perform 
functions such as topping up their 
prepaid cards and paying bills.

Our online virtual agent, “Shirley”, 
was introduced to answer common 
queries, providing customers with 
a fast and convenient alternative 
to calling our hotlines. Since its 
introduction in November 2014, 
“Shirley” has replied to more than 
a quarter million questions from 
customers, with an accuracy rate 
of more than 85%.

We launched a new brand promise 
in January 2015, reiterating our 
commitment to improve customer 
experience. As part of this promise, 
we introduced a series of service 
improvements. Customers can book 
their preferred appointment times with 
Singtel shops via our website and 
My Singtel app. They can also schedule 
a call-back at a convenient time from 
Singtel customer care representatives, 
eliminating wait times and avoiding 
missed calls. Customers with service 
appointments at home or at the offi  ce 
can expect the Singtel installation team 
to arrive within 30 minutes of their 
appointment time, the shortest 
wait time in the market. Delivery 
options were also enhanced, with 
convenient 24/7 self-collection points 
– SingPost POPStations – situated 
throughout the island.

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DEVELOPING NEW-GENERATION 
MOBILE SERVICES 
Singtel continued to introduce new-
generation mobile services, ranging 
from banking to entertainment in 
FY 2015. We also keep in mind that 
each customer is diff erent and we 
must constantly lift our game to meet 
their diverse needs.

Innovative products such as our 
Combo plans off er customers WiFi 
usage in addition to their mobile data 
bundle. Customers can also customise 
their own mobile plans with our 
Easy Mobile plan. They can choose 
how much talk time, SMS and data 
allocation they want to purchase from 
month to month. This gives maximum 
ﬂ exibility and choice to customers. 

We ventured further into the area 
of ﬁ nancial services with new 
initiatives such as mRemit, a self-
serve remittance service that allows 
customers to use their mobile phones 
to instantly and securely transfer 
money to bank accounts in India, 
Indonesia and the Philippines. 

We introduced our award-winning 
mobile banking and payments app, 
Dash, in partnership with Standard 
Chartered Bank. A ﬁ rst-of-its-kind 
collaboration between a bank and 
a telco, Dash integrates mobile 
banking, payments and shopping 
into one convenient app. 

ENTERTAINING OUR CUSTOMERS
Our pay TV service, Singtel TV, 
plays a vital role in our consumer 
strategy, complementing our 
suite of communications and 
entertainment services for mobile 
devices, TVs and computers. 

We boosted our suite of TV content 
with more than 20 new channels 
from partners such as Turner 
International, TransTV and 
NBCUniversal, including CNBC, 
CNN International, Cartoon Network 
and E! Entertainment. We also 
added a range of ethnic channels 
to cater to diff erent races and ethnic 
communities. Singtel TV is now 
host to the largest number of 
high-deﬁ nition channels in Singapore. 

We entrenched our reputation as 
the ”home of sports”, as the main 
broadcaster of the Barclays Premier 
League and key sporting events 
such as the 2014 FIFA World Cup, 
Commonwealth Games, Youth 
Olympics and Asian Games. All events 
except the World Cup were made 
available for free viewing to all Singtel 
TV customers. 

Customers of our World Cup package 
were able to catch all the games from 
wherever they were via the Singtel TV 
GO mobile app. Football fans could 
watch the matches for free at 
community centres around the island, 
and had access to four key matches 
via the Singtel TV GO mobile app at 
no charge.

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viewing experience, we continue to 
trial new technologies such as LTE 
Broadcast. It will enable us to cost-
eff ectively stream sporting events and 
other live TV to customers’ mobile 
devices. Our ﬁ rst LTE Broadcast trial 
was conducted at the 28th Southeast 
Asian Games in June 2015.

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Group Consumer
Australia

Optus 10
PROVIDES 
BROADCAST, 
VOICE AND DATA 
CONNECTIVITY 
TO RURAL AND 
REMOTE PARTS 
OF AUSTRALIA 

MapBlaster

OFFERS 
COVERAGE 
MAPS, NETWORK 
EXPERIENCE 
DETAILS AND 
UPDATES ABOUT 
LIVE OR PLANNED 
OUTAGES

86%

OPTUS 4G 
NETWORK 
COVERS 86% 
OF AUSTRALIAN 
POPULATION

Optus’ three-year business 
transformation yielded encouraging 
results during the ﬁ nancial year. 
In Australia, data usage is 
accelerating and outpacing that 
of voice and SMS services. Optus 
has embraced this trend by making 
important changes to its operations 
and investments over the past 
three years. 

We were therefore well-positioned 
to beneﬁ t from the growth in data 
consumption, which has come 
with the widespread adoption of 
smartphones, video streaming and 
other OTT services. This trend will 
gather pace as Australians continue 
to adopt new internet-based 
entertainment services.

We are delivering on our “Yes” brand 
promise to consumers, by off ering a 
great customer experience, simple 
products and services, and a fast, 
reliable network.

EXPANDING OUR NETWORK
As Australia’s second-largest 
telecommunications group, Optus 
knows that providing a great 
customer experience starts with 
a great network. This year we 
continued to expand our mobile, 
ﬁ xed-line and satellite services. 

We accelerated the rollout of our 
multi-band 4G network, expanding 
coverage to 86% of Australia’s 
population, as at 30 April 2015. 

During the year, we gained access 
to the LTE 2600MHz and 700MHz 
spectrum that we purchased from the 
Australian Federal Government in the 
previous year. 

With the low-frequency 700MHz 
band, we expanded our mobile 
network to more places throughout 

the vast Australian continent, 
bringing Optus 4G coverage to 
many more customers. 

The extra high-frequency 2600MHz 
spectrum enabled us to expand our 
coverage in regional and selected 
metropolitan areas.

To show customers exactly how our 
mobile network is expanding, Optus 
launched MapBlaster. This online 
tool off ers coverage maps, network 
experience details, and updates about 
live or planned outages. Customers 
can check coverage at their house or 
any travel destination within Australia. 
They can see when 4G is coming to 
their community and what devices are 
compatible with our 4G network. 

We also launched Optus 10 in 
September 2014, expanding our 
satellite ﬂ eet to six. Optus is the only 
Australian company to own and 
operate a satellite ﬂ eet. Optus 10 
provides backhaul and connection 
services for regional and remote sites 
across the Optus mobile network. This 
enables Optus to further leverage its 
telecommunications infrastructure, 
providing broadcast, voice and data 
connectivity for consumers and 
enterprise customers in rural and 
remote parts of Australia.

We intensiﬁ ed our eff orts in the 
ﬁ xed-line broadband market. Optus 
reached an agreement with nbn to 
transfer ownership of our Hybrid Fibre 
Coaxial (HFC) network to the operator 
of the National Broadband Network 
(NBN). 

This will help accelerate the 
rollout of Australia’s NBN, which 
potentially opens up the Australian 
ﬁ xed-line broadband sector to 
greater competition, more choice 
for consumers and opportunities 
for Optus to gain market share. 

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To this end, we fast-tracked our 
NBN customer acquisition strategy 
by increasing our direct and local 
marketing in key communities, 
and providing retail staff  with 
additional training on the NBN 
to assist customers with the 
connection process.

IMPROVING CUSTOMER 
EXPERIENCE
Optus launched a number of other 
initiatives to improve the customer 
experience in our brick-and-mortar 

stores, digital channels and from 
our contact centres. In 2013, we 
began reshaping our retail strategy, 
rebranding the shopfronts and 
remodelling them with an innovative 
design. As a result, our stores are more 
open and boast friendly spaces where 
customers can interact easily with 
products and service staff . The new 
design is popular with customers and 
won a gold for the best store design 
in Australia and New Zealand at the 
2014 awards run by POPAI, the global 
association for retail marketing.

CASE STUDY: 
UNLIMITED BROADBAND BUNDLES

Optus’ goal is to “own the home” as an 
integrated telecommunications and 
entertainment provider. It is positioning itself 
to gain share in the highly competitive ﬁ xed-line 
market through localised marketing and 
value-driven broadband bundles that give 
consumers the freedom to choose plans that 
suit their lifestyles.

Our unlimited plans off er a range of bundled 
services, including domestic and international call 
inclusions or entertainment packs such as Optus 
TV with Fetch. The plans are designed to give 
customers the freedom to use as much data as 
they want, however they want to use it, whether 
they are watching video, downloading large ﬁ les 
or staying connected with family and friends.

In FY 2015, we lifted our market share in 
Australia’s ﬁ xed-line broadband market by:

•  making disruptive off ers that deliver great 

value to consumers, and

•  transforming into a multimedia business 
through partnerships with premium 
entertainment brands such 
as Netﬂ ix.

New video-streaming services and other OTT 
services are transforming consumers’ broadband 
needs. In December 2014, we announced a 
tactical discount on our unlimited cable plans. 
Due to strong demand, we extended this off er to 
all our unlimited data plans in February 2015.

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Group Consumer
Australia

Having redesigned the Optus website 
in 2013, we shifted our focus to trial 
a “chat to voice” feature that allows 
customers on web chat to easily call 
an operator. Customers responded 
very positively to this trial. 

We further improved the My Optus 
App and My Account web portal to 
help customers better manage their 
plans and control their expenses. 
The My Optus App allows mobile 
customers to keep track of their calls 
and data, manage features such as 
international roaming and get help 
with Live Chat.

Optus continued to invest in 
technology and contact centre 
capabilities to achieve our goal 
of ensuring every interaction with 
a customer is tailored to their 
expectations and needs. We carefully 
track our Net Promoter Score (NPS) 
in our eff orts to provide an outstanding 
customer experience. Optus continues 
to have the best NPS score of any tier 

one Australian telco. It ended the year 
with an NPS of +4.

SIMPLIFYING PRODUCTS AND 
SERVICES
We continued to simplify our products 
and services, delivering better value 
and greater certainty for customers.

Two years ago, Optus introduced 
My Plan to help protect customers 
from bill shock by providing automatic 
and aff ordable top-ups instead of 
charging high fees for excess data 
and voice usage. In June 2014, we 
took that a step further by allowing 
data sharing through our new 
My Plan Plus service. 

My Plan Plus allows customers to share 
their mobile phones’ included data, 
with up to ﬁ ve other mobile broadband 
devices, such as a SIM-ready tablet, 
pocket WiFi or USB modem. Customers 
no longer have to chase WiFi hotspots 
or use battery-draining tethering on 
their smartphones. 

Optus expands 
awareness of its 
“Live More Yes” brand 
campaign

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We are the only Australian telco that 
charges once for data sharing. Our 
customers pay an aff ordable set-up 
fee for each device – there are no 
additional ongoing charges. They also 
have peace of mind knowing that 
if they exceed their data allowance, 
the automatic top-up costs just 
A$10 per 1GB. 

We also simpliﬁ ed our prepaid 
plans, so customers only pay for 
the days they use. Optus responded 
to customers who wanted longer 
credit expiry and the option to roll 
over any unused credits before the 
expiry date, without having to top-up 
additional credits. We off er two plans, 
My Prepaid Daily and My Prepaid Daily 
Plus, to suit diff erent usage needs. 

To make it easy for our customers to 
replace damaged, lost or stolen mobile 
devices, we introduced My Cover. 
This simple insurance plan covers any 
mobile phone or tablet sold by Optus, 
including accessories.

We doubled our eff orts to increase 
our ﬁ xed-line broadband market 
share. We added a new unlimited 
data plan, the Big Home Bundle, and 
introduced lower promotional prices 
for our unlimited data bundles to 
meet consumers’ growing appetite for 
services delivered over the internet. 
Customers also have the freedom to 
bundle their internet connection

with a range of telephony and 
entertainment services that suit 
their lifestyle. 

Broadband data usage is being 
fuelled by OTT services such as 
video streaming. We have partnered 
with Fetch TV to provide internet-
based subscription television to our 
customers for nearly four years. 
In March 2015, we added Netﬂ ix 
to our portfolio, off ering three 
and six-month subscriptions for 
new prepaid, broadband and 
postpaid customers. 

Optus is paving the way for an 
entertainment revolution by giving 
customers the freedom to view as 
much entertainment as they want.

DELIVERING ON OUR 
“YES” COMMITMENT
We renewed our focus on 
marketing in the ﬁ nancial year, 
ensuring a year-round presence 
in the market with the Optus 
“Live More Yes” campaign. The 
campaign underpinned all of our 
on-air, outdoor, direct marketing 
and online marketing eff orts, 
creating a distinct brand awareness 
across Australia.

Importantly, our upgraded network, 
customer experience initiatives and 
simpliﬁ ed products and services are 
ensuring Optus is delivering on its 
brand commitment to “Yes”. 

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Group Consumer
Regional Mobile 
Associates

The digital revolution is bringing 
tremendous opportunities for our 
regional mobile associates as millions 
of customers embrace mobile data 
and the convenience modern 
internet brings.

In our markets of India, Indonesia, 
Thailand and the Philippines, 
many customers are experiencing 
the internet for the ﬁ rst time 
through their mobile devices. 
Fixed broadband infrastructure is 
either unavailable or prohibitively 
expensive. Mobile data technology 
meets an urgent and untapped 
market. Telcos are rolling out 
advanced mobile data networks, 
while handset manufacturers are 
also shipping an increased variety 
of smartphones at aff ordable prices.

More than a third of our customers 
in the emerging markets now use 
mobile data services. Indonesia is 
now one of the social media capitals 
of the world going by the nation’s 
proliﬁ c use of Twitter and Facebook, 
while Manila has been identiﬁ ed by 
Time magazine as the city where the 
most “selﬁ es” are taken globally. All of 
our associates experienced double-
digit growth in mobile data revenue 
last year. 

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CASE STUDY: 
SINGTEL GROUP-SAMSUNG 
REGIONAL MOBILE APP CHALLENGE

The Singtel Group-Samsung Regional Mobile App 
Challenge is a great example of how we harness the 
Group’s reach to work with start-ups, and bring innovative 
mobile apps to our 550 million mobile customers 
around the region.

Through a Group regional partnership with Samsung, 
Singtel, Optus and our regional mobile associates, 
candidates with innovative mobile apps were shortlisted 
through a series of local competitions. Winners then 
competed at the regional challenge in November 2014.

We have since been working with the winners to launch 
their apps. The winning apps help customers in various 
domains from documenting their precious memories 
to sharing ﬁ les with people around them. In April 2015, 
India’s Catch It, Indonesia’s Jepret Story and Singapore’s 
Fiuzu were made available to our associates’ customers 
using the new Samsung Galaxy S6. The apps will be 
rolled out to other Samsung devices in an eff ort to boost 
smartphone penetration and mobile apps in our markets.

With only one in three people 
owning smartphones – compared 
to as high as 72% in Singapore and 
Australia – demand for mobile data 
services is expected to climb further.

Our associates are investing heavily 
in mobile infrastructure to expand 
their networks to meet the rising 
demand for mobile data. They are 
also collaborating with popular 
application and content providers 
to create useful and aff ordable data 
bundles to entice ﬁ rst-time users to 
try out mobile data services.

As a long-term strategic investor, 
we work closely with our associates 
to proactively plan for responses 
to industry trends and market 
challenges. As a collective group, 

we generously share our 
experiences and expertise to 
help each member in their 
home market.

INVESTING TO BUILD 
TOMORROW’S NETWORKS
As the demand for data services 
increases, our associates are 
expanding their 3G and 4G, 
or LTE, network capabilities. 

Collectively, our regional mobile 
associates invested S$13 billion 
in capital expenditure in FY 2014 
and FY 2015. A signiﬁ cant portion 
of these funds were spent on 
building mobile data networks. 
The associates will be investing 
S$9 billion in capital expenditure 
collectively in FY 2016.

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Singapore’s Minister of 
Communications and
Information, Dr Yaacob Ibrahim, 
Singtel’s management and 
other invited guests present 
prizes to the regional winner, 
Wattcost

CEOs of the Singtel Group 
comprising AIS, Airtel, 
Globe Telecom, Optus, Singtel 
and Telkomsel together with 
the ﬁ nalists of the Singtel 
Group-Samsung Regional 
Mobile App Challenge

Winners pitch their products 
at the Singtel Group-Samsung 
Regional Mobile App Challenge

In Thailand, AIS has the highest 
number of 3G customers and 
its network covered 97% of the 
population as at 31 March 2015. 
Currently, 93% of its customers are on 
the 3G network. AIS is also leveraging 
ﬁ bre optics built for its 3G network 
to off er ﬁ xed broadband services. It 
intends to drive increased penetration 
of home broadband services. 

India off ers great growth 
opportunities with its relatively low 
mobile data adoption, particularly 
in rural areas. Our associate, Airtel, 
already holds 3G and 4G spectrum 
in most of the mobile service areas 
in the country. It was the ﬁ rst to 
off er 4G in India, and its high-speed 
network is now available in 19 cities. 

In March 2015, the company 
acquired additional 111.6MHz mobile 
spectrum for 291.3 billion Indian 
Rupees, which gives it a 20-year 
leading platform to provide mobile 
data to its customers. 

Across the African continent, 
softening global oil and commodity 
prices, as well as weakness in 
key trading partners, moderated 
its economic growth in FY 2015. 
Nevertheless, Airtel Africa’s mobile 
data customer base grew by 36% 
to 30.4 million, accounting for 
40% of its total customer base 
as at 31 March 2015. The telco has 
3G licences in all 17 countries it 
operates in. It has expanded its 3G 
network footprint, with 3G sites 

accounting for 53% of its total sites 
of 18,819, a marked increase from 
39% a year ago. Airtel signed four 
agreements to divest telco tower 
assets across 13 countries in Africa. 
The divestments will drive industry-
wide cost effi  ciencies by promoting 
infrastructure sharing and further 
accelerate the growth of telco services 
in the African continent.

The Philippines was Asia’s second-
fastest growing economy in 2014. 
Household incomes and consumer 
spending continue to rise. As with 
other developing markets in Asia, 
the country’s consumers are quickly 
adopting the digital way of life. 
Our associate, Globe, is well 
positioned to beneﬁ t from data 

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Group Consumer
Regional Mobile 
Associates

INDIA

AFRICA

57% YoY

GROWTH IN 
MOBILE DATA 
REVENUE

70% YoY

GROWTH IN 
MOBILE DATA 
REVENUE

47% YoY

GROWTH IN 
MOBILE DATA 
REVENUE

44% YoY

GROWTH IN 
MOBILE DATA 
REVENUE

36% YoY

GROWTH IN 
MOBILE DATA 
REVENUE

28

growth with the completion of 
its network transformation 
programme in FY 2014. 

Globe off ers nationwide 3G 
coverage and was the ﬁ rst operator 
to commercially launch 4G in the 
Philippines. It is further improving 
its network performance in FY 2015 
by deploying single self-organising 
network technology. This technology 
intelligently manages complex 
networks and redirects traffi  c to 
achieve optimum coverage, capacity 
and quality, delivering a more 
consistent customer experience. 

In Indonesia, smartphone penetration 
and data adoption have overtaken 
customer growth as key market drivers. 
With increased competition from 
new and existing players, Telkomsel 
is diff erentiating itself through new 
digital services, better customer 
experience and continuous network 
expansion. In December 2014, 
Telkomsel became the ﬁ rst mobile 
operator to launch LTE in Jakarta and 
Bali. As at 31 March 2015, it had also 
installed more than 42,000 3G mobile 
base stations across the country, 
representing 47% of its base stations, 
and achieved population coverage of 
about 60% for its 3G network.

PROMOTING THE GROWTH 
OF MOBILE DATA 
Smartphone and mobile data adoption 
are still in the early stages of growth 
in many of our associates’ markets. 
There are many ﬁ rst-time users who 
need reassurance and guidance to use 
smartphones and mobile data. Singtel 
and its associates have introduced 
innovative products and services and 
simple price plans to enable customers 
to fully experience the digital world. 

In January 2015, Singtel established 
HOOQ, a premium OTT video service 
that allows customers to watch their 
favourite Hollywood and Asian 

movie and TV series on any device, 
anytime, anywhere. Our associates’ 
customers enjoy priority access and 
aff ordable plans that bundle HOOQ 
with the operators’ mobile and 
ﬁ xed-line broadband services. HOOQ 
was launched in the Philippines in 
March 2015, Thailand in May 2015 and 
India in June 2015. More information 
on HOOQ is available on page 40. 

In Thailand, AIS’ suite of TV apps, 
comprising AIS Live TV, AIS Movie 
Store and AIS on Air, have gained 
momentum. AIS Live TV, which allows 
customers to watch cable and satellite 
TV on their mobile devices, has been 
downloaded more than three million 
times since it hit the market. More than 
2.7 million movies and TV shows were 
downloaded from the AIS Movie Store. 
Customers also enjoyed all 64 matches 
of the 2014 FIFA World Cup on AIS 
on Air, a mobile app that enables 
customers to watch live TV, highlights 
and news.

In November 2014, Airtel India 
launched One Touch Internet, a 
web portal that helps millions of 
ﬁ rst-time users in India access the 
internet. Available on prepaid mobile 
plans, customers can try out a range 
of popular services such as social 
networking, videos, online shopping 
and travel bookings, through tutorial 
videos and trial packs. Since its release, 
One Touch Internet has received 
about 53 million page views. 

Airtel Africa launched the ﬁ rst 
aff ordable, customised smartphone 
across Africa with Qualcomm for 
US$53 in February 2015. The device 
has a user-friendly interface and 
layout, and provides customers in 
17 countries quick and simple 
access to the internet. Airtel hopes 
to encourage existing and new 
customers using traditional feature 
phones to migrate to smartphones 
and accelerate data adoption in Africa.

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”

Singtel, Optus and our 
associates are stronger as 
part of the Singtel Group. 
All members share insights 
and initiatives that speed up 
the time to market for new 
products and services. 
This helps each member 
compete more eff ectively 
in the respective markets.“

Globe rewrote the rule book 
with a landmark partnership with 
Facebook in October 2013. Globe 
gave its customers free unlimited 
access to the social media site and 
app for six months. The promotions 
helped ﬁ rst-time users overcome 
anxieties with using paid browsing 
services and weaned them off  WiFi. 
With overwhelming demand from 
its customers, Globe relaunched its 
Facebook promotion in October 2014, 
which was extended to May 2015. 
The various digital initiatives 
undertaken by Globe resulted in 
double digit growth in its mobile 
data revenue in 2014.

Indonesia’s Telkomsel Android 
smartphone programme, or TAU, 
encourages feature phone users to 
make the switch to smartphones. 
Launched in December 2014, the 
programme bundles low-cost Android 
smartphones, data and unlimited 
usage of popular messaging services 
at an aff ordable rate. Existing and new 
smartphone users can also activate 
the bundle immediately on their 

phone. Telkomsel is working with 
17 device manufacturers to expand 
the programme. 

FOSTERING CLOSER 
COLLABORATION 
Singtel, Optus and our associates 
are stronger as part of the Singtel 
Group. All members share insights 
and initiatives that speed up the 
time to market for new products 
and services. This helps each member 
compete more eff ectively in their 
respective markets.

Through the regional Centres of 
Excellence set up in FY 2014, our 
associates have acquired new 
capabilities, resulting in better network 
quality and a greater range of apps 
and smartphones. We also shared 
lessons on how to create and 
promote sustainable pricing levels 
for data plans for customers.

We introduced new technologies 
and capabilities to help our associates 
enhance and optimise their network 
and gain more accurate insights 

into their customers’ network 
experience. This has enabled them 
to serve their customers more 
eff ectively.

We held our ﬁ rst Singtel Group-
Samsung Regional Mobile App 
Challenge to seek innovative start-ups 
and developers in the region and bring 
their apps to life. We also worked with 
device partners, such as Samsung 
and India’s LAVA, to introduce a wider 
range of entry-level and aff ordable 
smartphones to the market. 

Globe’s GoSAKTO and Optus’ 
My Plan inspired our associates to 
roll out similar plans in their markets. 
These personalised plans give 
customers the freedom to select the 
ideal combination of voice, data and 
SMS that suit their lifestyle needs.

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MARKET 
TRENDS

The regional and global operating 
environment continues to change rapidly 
for businesses and governments. Enterprises 
are leveraging greater connectivity and 
infocomm technology (ICT) to operate 
with agility, expand their market reach and 
achieve market competitiveness. Yet they 
also face challenges in ensuring that their 
assets – data, infrastructure and systems – 

remain secure and scalable in 
an increasingly digital world.

As a leading ICT services provider in Asia 
Paciﬁ c, businesses and governments trust 
Singtel to provide integrated systems, 
innovative solutions and secure networks 
– enabling them to operate eff ectively 
anywhere, anytime.

STRATEGIC 
PRIORITIES

To strengthen our market leadership 
position, we are moving boldly into three 
priority areas: 

•  Cyber security: We aim to be a global 
cyber security service provider that can 
meet the diverse needs of governments 
and enterprises with trusted and 
diff erentiated solutions.

•  Enterprise cloud services: Through our 
comprehensive suite of cloud services, 
we are helping enterprises to increase 
productivity, achieve lower costs and 
accelerate innovation.

•  Smart cities: We are developing 

innovative solutions and intellectual 
property (IP) to position Singtel as the 
lead partner for Singapore’s Smart Nation 
Programme. With these capabilities and 
IP, we aim to play a key role in enabling 
smart cities in the region.

OUR ASSETS/
STRENGTHS

Singtel caters to the ICT needs of enterprises 
and governments with its assets, scale, 
resources and expertise such as managed 
services, enterprise mobility, systems 
integration and applications. 

We work closely with our customers to 
proactively identify and anticipate their 
needs, innovate and co-create customised 
solutions to improve their operations or 
whole cities. 

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Group 
Enterprise

One of the Singtel Group’s key sources 
of competitive advantage is the 
reach and quality of its infrastructure, 
spanning ﬁ xed and mobile networks, 
data centres, a network with more than 
200 direct points of presence in 160 
cities around the world and a growing 
suite of cyber security assets. 

In 2014, we continued to expand our 
infrastructure to maintain our strong 
leadership position in the Asia Paciﬁ c 
region. For example, we are the leading 
provider of international Internet 
Protocol Virtual Private Network 
(IP VPN) services in Asia Paciﬁ c, with 
a 19.6% (1) share in 2013. We also lead 
the regional market in international 
Ethernet Virtual Private LAN services 
and dedicated peer-to-peer services, 
with market shares of 19.6% and 
14.4% (1), respectively. 

These network services are essential 
for providing secured connectivity, 
and we are two to three times 
larger than the next provider in 
the Asia Paciﬁ c region in terms 
of revenue share.

We are investing in the trans-Paciﬁ c 
FASTER and SEA-ME-WE 5 submarine 
cable networks. These new data 
superhighways will enable the 
equivalent of thousands of high-
deﬁ nition videos to be transmitted 
every second. We have also opened 
a second data centre in Hong Kong 
to serve the Greater China region, 
bringing the number of world-class 
data centres in the Singtel EXPAN 
network to 12.

ENHANCING ENTERPRISE 
CLOUD CAPABILITIES
In the enterprise cloud services arena, 
we have seen strong take-up of our 
cloud infrastructure that we have built 
for the Singapore government and 
enterprises in the region. We have 
also been selected to be on the panel 
of providers for cloud services to the 
Australian Federal Government. 

Singtel has built a strong partnership 
with Microsoft to help businesses and 
governments migrate their Microsoft 
applications and services to the cloud. 
We also acquired Australia-based 
company, Ensyst, in December 2014 to 
bolster our capabilities in the growing 
market for cloud-related professional 
and managed services in Australia and 
Asia Paciﬁ c. 

PROTECTING ORGANISATIONS 
FROM CYBER THREATS
As more business and government 
activities move onto the internet, cyber 
security is becoming a critical concern. 
The frequency and sophistication 
of threats that enterprises and 
governments face are growing every 
day, making it even more challenging 
for organisations to protect their assets, 
customers and reputations.

According to the inaugural Singtel 
FireEye Threat Intelligence report (2), 
23% of enterprises in Singapore and 
37% in the Asia Paciﬁ c region detected 
advanced and persistent malware 
– or malicious software code – in 
their systems between July and 
December 2014. 

>200

POINTS OF 
PRESENCE IN 
160 CITIES 
AROUND THE 
WORLD

>805,000 sq ft

DATA CENTRE 
SPACE, THE 
LARGEST IN 
SINGAPORE

Notes:
(1) 

IDC Asia/Pacific Semiannual 
Fixed Line Telecom Services 
Tracker (2H2013).
(2)  Singtel FireEye Threat 

Intelligence report is a bi-annual 
publication by Singtel and 
FireEye about evolving cyber 
threats in Southeast Asia.

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The Outpatient Pharmacy 
Automation System uses 
an intelligent conveyor 
system to dispense 
medication at the SGH

”

The Outpatient Pharmacy 
Automation System enables 
SGH to provide over 80% of 
our patients with medicine 
within 15 to 30 minutes 
instead of 30 to 45 minutes 
previously, and reduces 
errors in picking medicine 
by about 38%. This cutting-
edge solution has placed 
SGH at the forefront in 
the use of technology to 
improve our operational 
effi  ciency, ensuring safety 
and enhancing the overall 
experience of our patients.”

LIM MUN MOON 
Pharmacy Director 
SGH

CUSTOMER CASE STUDY: 
SINGAPORE GENERAL HOSPITAL 

Singapore General Hospital (SGH) is Singapore’s 
largest hospital. The institution needed to remodel 
its medication dispensing system at the outpatient 
pharmacy to address rising patient volumes and 
the shortage of skilled staff .

The Outpatient Pharmacy Automation System 
is an award-winning solution that combines 
LED-guided picking and barcode scanning technology, 
automated dispensing machines and an intelligent 
RFID-enabled conveyor system. SGH uses the system 
to manage the picking, packing, labelling, veriﬁ cation 
and assembling of medication and the hospital’s 
dispensing queue workﬂ ow. It has reduced waiting 
times for patients, while increasing accuracy and 
effi  ciency for the hospital.

The solution was developed jointly by SGH, Integrated 
Health Information Systems (IHiS), Singtel and a 
consortium of other Singaporean companies.

To help our customers conﬁ dently 
and securely take advantage of 
productivity and effi  ciency gains 
off ered by digital technologies, Singtel 
has been building our cyber security 
capabilities organically and through 
investments and partnerships. Our 
goal is to ensure that Singtel remains 
the natural and trusted choice for 
enterprises looking for a partner to 
secure their networks, infrastructure 
and services. 

We announced a partnership with 
Akamai in September 2014 to provide 
cloud-based cyber security solutions 
which complement Singtel’s suite of 
managed security services. 

In October 2014, we formed a 
partnership with FireEye, a global leader 
in managed cyber defence capabilities, 
to provide services to customers and 
enhance the cyber security ecosystem 
in the Asia Paciﬁ c region. 

We established the Singtel FireEye 
Advanced Security Operations Centres 
(ASOCs) in Singapore and Sydney, 
and introduced the Singtel Managed 
Defence powered by FireEye solution. 
These new ASOCs are linked to 
FireEye’s three existing global ASOCs 
to provide enterprises with real-
time intelligence on cyber attacks. 
The centres are also integrated with 
Singtel’s network operations and 
Akamai’s cyber security solutions, 

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Group 
Enterprise

CUSTOMER CASE STUDY: 
WESTPAC BANKING CORPORATION 

Westpac Banking Corporation (Westpac) 
is one of Australia’s largest banks. As part 
of its regional expansion, it required an 
integrated ICT services provider that could 
support its regional aspirations.

Singtel won a new ﬁ ve-year deal 
with Westpac to provide managed 
communications infrastructure and 
international data services to serve the 
bank’s offi  ces in Asia Paciﬁ c, New Zealand, 
the UK and the US. 

Leveraging the reliability of its network, 
including the expanded 4G capabilities 
in Australia, Singtel will provide service 
management to more than 13,000 mobile 

devices across Westpac’s ﬂ eet in its 
home country. Singtel was also selected 
to transform Westpac’s contact centre 
operation to enable it to respond to 
changing customer expectations, including 
social and mobile customer interactions. 

Singtel’s leadership in enterprise data 
services, world-class infrastructure and 
delivery capabilities enable Westpac 
to achieve 24/7 visibility of its business 
across the Asia Paciﬁ c region and beyond. 
Partnering Singtel allows Westpac to 
transform its data and network operations 
so that it can serve customers even more 
effi  ciently and deliver higher levels of 
innovation to meet their needs.

giving us a more holistic view of 
customers’ networks and internet 
traffi  c. These linkages enable faster 
detection of threats and more 
eff ective responses. Singtel and 
FireEye will train up to 150 cyber 
security experts to operate the 
ASOCs. 

In another big step towards our 
goal of becoming a global cyber 
security managed services provider, 
we announced plans to acquire 
Chicago-based Trustwave for an 
enterprise value of approximately 
US$850 million (1). 

Trustwave is the largest independent 
managed security services provider 
in North America and has presence 
in Europe and Asia Paciﬁ c. Singtel 
will leverage its expertise and 
talent, including its team of more 
than 1,200 security professionals, 
its global security asset of ﬁ ve 

security operations centres, cloud-
based security product suite and 
elite SpiderLabs forensics and 
threat research unit, to broaden 
and deepen our cyber security 
capabilities.

In Singapore, we are partnering 
the Economic Development Board 
to develop the Asia Paciﬁ c Cyber 
Security Competency Centre. 
This facility will enable Singtel to 
collaborate with leading international 
research and academic partners 
on big data security analytics and 
predictive security intelligence, 
develop threat scenarios and test 
cyber security solutions. 

To meet the supply of certiﬁ ed 
cyber security professionals, we are 
partnering Singapore Polytechnic 
to off er scholarships for infocomm 
security studies. Under the Singtel 
Cadet Scholarship Programme, 

Singtel will provide qualiﬁ ed 
students with internships and career 
opportunities to enhance Singtel’s 
cyber security capabilities.

CREATING SOLUTIONS 
FOR SMART CITIES
We work closely with enterprises 
to develop solutions that give 
them a competitive edge. We also 
work with governments to develop 
technologies and solutions that 
improve living standards for their 
citizens. We are participating in 
Singapore’s trials of Heterogeneous 
Network or HetNet, with the aim 

Note:
(1)  The acquisition is subject to fulfilment 

of certain conditions precedent, including 
relevant approvals from regulatory 
authorities and other third parties.

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of validating the joint use of diff erent 
mobile and wireless technologies to 
provide pervasive, seamless high-
speed internet access. Our eff orts 
complement the government’s vision 
to make Singapore the world’s ﬁ rst 
Smart Nation. 

For the healthcare industry, we have 
pioneered an automated pharmacy 
dispensing system at two public 
hospitals in Singapore. The solution 
manages how medications are picked, 
packed, labelled and dispensed 
through the integration of automated 
dispensing machines and scanners. 
This enhanced workﬂ ow reduces 
patient waiting times while increasing 
effi  ciency and accuracy in the 
medication dispensing process.

In February 2015, we introduced 
SURF@NCS. This is a living lab for 
government agencies and enterprises 

to test smart city innovations in 
education, healthcare, transport 
and public safety. The lab will also 
help build an ecosystem of partners 
including global technology players, 
local start-ups and research institutes, 
to co-create smart city solutions and 
build talent.

We are developing a talent pipeline to 
drive smart city innovations including 
collaborating with local educational 
institutions to develop curriculum in 
data analytics and communications 
engineering. Singtel provides internship 
programmes and on-the-job training 
for young talents to apply what they 
have learnt in real work context and 
build their careers in these areas.

CUSTOMER CASE STUDY: 
FULLERTON HEALTHCARE

To provide effi  cient and seamless healthcare 
solutions to its clients and patients at more 
than 130 fully owned clinics across Asia Paciﬁ c, 
Fullerton Healthcare Group required a one-stop 
telecommunications and ICT provider. 

Fullerton Healthcare chose Singtel to provide 
a range of critical services including telephony, 
secure and dedicated high-speed ﬁ bre links, 
and mobile services. It also subscribed to 
Singtel’s managed services for the ongoing 
support of its integrated voice, video and data 
communications. In addition, Singtel is helping 
Fullerton Healthcare to move to a secure and 
highly reliable cloud solution.

”

In order to eff ectively 
serve more than 25,000 
organisations across ﬁ ve 
countries in the region, 
Fullerton Healthcare Group 
relies on Singtel to provide 
a one-stop integrated 
communications capability.
Singtel’s managed services 
and secure cloud off erings 
allow us to stay agile, with 
the ﬂ exibility and scalability 
to deploy new applications 
and services at lower costs.”

STEVEN YEO
CIO 
Fullerton Healthcare Group Pte Limited

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MARKET 
TRENDS

We live in an increasingly interconnected 
world. More than ever, consumers, 
businesses, governments and even objects 
are communicating and relaying information 
through the internet. The number of 
smartphone connections alone is set to 
reach six billion globally by 2020, according 
to a GSMA Intelligence report. 

Rapid advances in technology and content, 
and better and more intelligent devices are 
also accelerating and shaping this trend. 

We are seeing customer behaviour and 
expectations change dramatically, and the 
transformation of many aspects of our 
personal and work lives. These changes 
are opening up new frontiers for telcos, 
even as they threaten telcos’ traditional 
sources of revenues. We believe they open 
up vast opportunities for telcos beyond the 
traditional connections and access services. 
In 2012, we created Group Digital Life to 
explore these opportunities and ensure 
we stay ahead of the curve.

STRATEGIC 
PRIORITIES

Group Digital Life is developing services 
that have the potential to go global. 
Our focus is on three areas: 

•  Premium over-the-top (OTT) video
•  Digital marketing
•  Advanced analytics and intelligence 

capabilities

These are areas where new technologies 
are rapidly supplanting traditional methods. 
Our telco assets and customer knowledge 
also give us a strategic advantage over 
other players. 

We will double our eff orts to build these 
businesses – under the respective brands 
of HOOQ, Amobee and DataSpark – 
to become signiﬁ cant players.

Beyond these areas, our corporate 
venture fund, Singtel Innov8, identiﬁ es 
the latest innovations and enables the 
Singtel Group to gain access to these 
technologies. 

OUR ASSETS/
STRENGTHS

We want our customers to enjoy access 
to the best content and most relevant 
information. We also want to empower 
businesses and governments to make more 
informed decisions. Our strengths include 
unique locational data from our networks 
that can improve services and inform 
decision making. We also have aggregated 
demographic data that help brands better 
reach their target audiences. 

Singtel has relationships with more than 
550 million mobile customers in Asia, 
Australia and Africa. This large customer 
base allows us to scale our services quickly, 
which is vital in the highly competitive digital 
world. We also have extensive customer 
touch points through physical and online 
stores and customer helpdesks. 

In emerging markets where credit card 
payment is limited, our established billing 
relationships give customers an easy way 
to transact electronically. 

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Group 
Digital Life

Singtel Group CEO Chua Sock 
Koong and Singtel Group 
Chief Corporate Offi  cer Jeann 
Low visit the Amobee San 
Diego offi  ce with Amobee 
CEO Mark Strecker and 
Amobee President Kim Perell

Group Digital Life is responsible 
for generating new ideas that will 
allow us to compete in a global 
market deﬁ ned by fast and constant 
changes. It focuses its eff orts 
on premium OTT video, digital 
marketing, as well as advanced 
analytics and intelligence. 

To succeed in today’s world, 
businesses have to be open-
minded, ﬂ exible and yet decisive. 
Through constant and well-deﬁ ned 
experimentation in the past three 
years, we have picked up invaluable 
lessons about important shifts in 
technology, customer preferences 
and competition. We know where 
we can leverage our unique telco 
assets and play to win.

Our objective is to use new 
technologies and our customer 
knowledge to improve people’s 
lives across the globe, whether it is 
by simplifying their personal lives or 
increasing their productivity at work. 

Our products will also help our 
regional mobile associates better 
serve customers and achieve 
sustainable advantages over their 
competitors. 

INVESTING IN INNOVATION
Innovation gives us our competitive 
edge. We adopt an iterative process 

of experimentation and improvement 
to innovation. We collaborate with 
innovative start-ups to get early 
access to tomorrow’s technologies. 
Our US$250 million corporate 
venture fund, Singtel Innov8 (Innov8), 
complements our in-house eff orts 
by plugging Singtel into the bold and 
dynamic technology world.

Innov8 is headquartered in Singapore 
and operates out of thriving 
innovation hubs in Silicon Valley, 
Tel Aviv and Beijing. Its mandate is 
to watch the market closely and 
scout for the “next big thing”. Innov8 
believes as new customer needs 
arise, so should new products that 
effi  ciently satisfy these needs. 

Innov8 works with a range of 
partners: developers, investors, 
government agencies, research 
bodies and higher-learning 
institutions. This has enabled it 
to foster a creative approach to 
innovation in Singapore, Southeast 
Asia and beyond. 

In January 2015, Innov8 teamed up 
with National University of Singapore 
(NUS) Enterprise and Infocomm 
Investments to open a branch of 
Singapore’s successful Blk71 start-up 
co-working space in San Francisco, 
to strengthen ties between the US 
and Singapore tech ecosystems. 

In April 2014, Innov8 founded Innov8 
Sparks, a start-up support initiative 
that taps on the Group’s scale. 
Founding members of Innov8 Sparks 
include Singtel Innov8, AIS The 
Startup, Globe’s Kickstart Ventures, 
Optus-Innov8 and Telkomsel’s 
Teman Dev group. Through these 
members, start-ups can expand 
outside their home markets into 
Australia, Indonesia, the Philippines, 
Singapore and Thailand. 

MAKING RICH MEDIA ACCESSIBLE
People crave visual information 
and, with the proliferation of mobile 
devices, they have more ways to 
consume it than ever. Globally, the 
average internet user spends over 
six hours a day on online media 
with 30% of it on mobile devices, 
according to GlobalWebIndex. 
Online videos are particularly popular 
among internet users and, between 
2012 and 2014, the time spent 
watching online videos increased 
signiﬁ cantly in almost every country. 

In the emerging markets, the demand 
for online videos is spreading, due 
to increasing smartphone adoption 
and a burgeoning middle class with 
spending power. The market for 
OTT video in India, Indonesia, the 
Philippines and Thailand is forecast 
to be worth US$1 billion by 2018, 
according to Business Monitor 

38

CASE STUDY: 
SINGTEL INNOV8 – CREATING 
SUCCESSFUL PARTNERSHIPS WITH 
THE INNOVATION ECOSYSTEM

Our corporate venture fund, Innov8, is a key 
enabler of successful partnerships between the 
Group’s members and Innov8’s investments 
across the globe. One such Innov8 investment 
is Jasper. 

Jasper’s industry-leading, cloud-based Internet 
of Things (IoT) platform enables enterprises in any 
industry to transform from product businesses to 
service businesses, capable of delivering increased 
customer value and unlocking new sources 
of revenue. 

More than 2,000 companies in over 20 industries, 
including many of the world’s top brands, choose 
Jasper to fast-track their IoT services. The 
automotive industry is one industry that is rapidly 
adopting Jasper’s platform. Thirteen of the world’s 
leading manufacturers – including Ford, Nissan 
and GM – rely on Jasper to manage vehicle 
connectivity, which enables them to relay important 
information to vehicle owners, such as emergency 
support, stolen vehicle tracking, infotainment and 
remote diagnostics.

Since Innov8’s investment in 2012, Innov8 supported 
Jasper’s growth by providing strategic advice on 
Asia and introducing Jasper to other members of 
the Singtel Group. These introductions expanded 
Jasper’s network of global operators. Singtel, Optus 
and Telkomsel’s customers can now deploy IoT 
services on Jasper’s platform. This collaboration 
creates a win-win relationship for everyone.

”

Jasper enables companies 
across industries to rapidly and 
cost-eff ectively launch, manage 
and monetise IoT services on 
a global scale. The investment 
and support from Innov8, 
alongside the broader strategic 
partnership with the Singtel 
Group, has made it possible 
for enterprises throughout 
Singapore, Indonesia and 
Australia, to embed connectivity 
into their products, to deliver 
increased customer value and 
to generate new sources of 
revenue. Singtel and Jasper 
share a deep commitment to 
the expansion of the IoT market 
for the beneﬁ t of enterprises 
worldwide.” 

JAHANGIR MOHAMMED 
Founder and CEO
Jasper

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Group 
Digital Life

Amobee Brand Intelligence analyses and cross-correlates consumption trends 
from diff erent platforms, including:

videos

websites

images

tweets

to provide insights and analytics on:

internet 
topics

products

celebrities

places

International and Global Insights. 
Despite the enormous amount of 
entertainment on the internet, 
options for enjoying online videos 
are often illegal, expensive or 
inconvenient. Across Singtel’s 
footprint, access to quality streamed 
content remains limited. 

We took advantage of these 
developments with the launch 
of HOOQ in the Philippines and 
subsequently in Thailand and India.

HOOQ is a joint venture start-up 
between Singtel, Sony Pictures 
Television and Warner Bros. 
Entertainment. 

It is a gateway to a world of 
Hollywood and local movies and 
TV series. An interactive app lets 
customers stream their favourite 
videos on any connected device, 
while the download option ensures 
customers can still enjoy the content 
uninterrupted when they do not 
have access to high-speed mobile 
internet.

HOOQ delivers on Group Digital 
Life’s strategy to develop new 
revenue streams and helps our 

associates encourage mobile 
adoption in their markets.

RE-INVENTING MARKETING 
Advertising must follow its audience, 
and more and more people are 
choosing to consume media online 
rather than via traditional channels 
like TV and radio. At the end of 2014, 
digital advertising accounted for 
about 30% of global ad spending. 
Experts predict that this will grow 
over the next decade and supersede 
TV advertising, which has been the 
dominant advertising format for 
more than a decade. 

In 2015 alone, Magna Global 
estimates that US$163 billion will 
be spent on digital advertising. 
Asia shows the largest potential 
for growth, with newly connected 
markets in China, India and 
Southeast Asia already consuming 
enormous amounts of media on 
portable devices. Signiﬁ cant growth 
is also expected in the US and 
Europe. 

Our digital marketing arm, Amobee, 
is poised to seize these opportunities. 
Amobee helps brands and their 
agencies navigate the increasingly 

40

about 30%

AT THE END OF 
2014, DIGITAL 
ADVERTISING 
ACCOUNTED 
FOR ABOUT 30% 
OF GLOBAL AD 
SPENDING

US$1 billion

THE MARKET 
FOR OTT VIDEO 
IS EXPECTED 
TO BE WORTH 
US$1 BILLION 
BY 2018

 
CASE STUDY: 
DATASPARK – USING DATA SCIENCE TO IMPROVE TRANSPORT PLANNING

The major roads and highways of large cities 
are often described as arteries and, as in a heart, 
there can be dire consequences when they 
become congested. 

In Singapore, billions of dollars have been spent 
on public transport and more will be spent as the 
country continues to expand its Mass Rapid Transit 
(MRT) network. The nation is also expecting its 
population to reach 6.9 million people by 2030. 
With the stakes so high for the government and 
would-be commuters, it is essential city planners 
can predict when people travel, where they go 
and what transport they use. 

DataSpark gathers location data from the Singtel 
network and analyses this information to gain 
comprehensive, but anonymous insights into 
commuters’ travel patterns and proﬁ les. These 
insights help the government in its complex task 
of city planning by evaluating the potential impact 
of the MRT on traffi  c ﬂ ow around the city. Data 
analytics strengthens the government’s ability to 
plan for the future, and help Singapore become 
a Smart Nation. 

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complex digital advertising landscape, 
enabling them to target and engage 
consumers at scale and on a global 
basis.

In 2014, we took a signiﬁcant step 
to deepen Amobee’s reach and 
capabilities when we acquired 
Adconion and Kontera. With Adconion, 
Amobee’s newly uniﬁed digital 
marketing platform allows advertisers 
to identify and authentically connect 
with their audience across multiple 
channels – display, video, email, 
mobile and social – on all devices.

Amobee Brand Intelligence, 
a proprietary and patented technology 
created by Kontera, has a unique 
way of analysing digital content 
consumption and consumer sentiment 
both historically and in real time. 
The analysis produces useful insights 
that help Amobee’s clients to 
effi  ciently activate media and 
deliver powerful results.

GENERATING INSIGHTS FROM 
BIG DATA
DataSpark’s advanced analytics 
intelligently interprets data from the 
Singtel network to generate insights 
that explain and predict market 

developments. These insights help 
governments and businesses make 
smarter, better-informed decisions.

•  How government agencies can 
use spatial data to support urban 
planning initiatives 

Our analytics tool, DataSpark, 
provides detailed meta-information 
while protecting individual customer 
privacy. All data used by DataSpark 
is encrypted, anonymised and 
aggregated to be compliant with 
Singtel’s data governance framework 
and with Singapore’s Personal Data 
Privacy Act.

DataSpark has access to extensive 
locational data repositories, allowing 
us to look below the surface, telling 
us where people are and when. For 
example, in 2014, we developed the 
capability to anonymously map 
crowd movements in malls. This 
revealed potentially proﬁ table insights 
for retailers and mall managers alike, 
such as the most visited locations in 
each mall. 

During the ﬁ rst year of DataSpark’s 
operations, we have focused on the 
following challenges: 

•  How telcos can gather intelligence 
to generate customer proﬁ les and 
improve operations and planning

•  How businesses can use location 

data to improve marketing 
campaigns, such as by concentrating 
their eff orts in areas with heavy 
pedestrian traffi  c

In all three areas, we have been able 
to deliver credible and relevant insights. 
For example, using location data, we 
were able to develop an accurate 
model of pedestrian traffi  c ﬂ ows during 
peak hours in Singapore. We then 
patented technologies for proﬁ ling 
large population segments based on 
their movements and other mobility-
related signatures. Our research has 
been published at high-proﬁ le data 
science conferences (1).

Moving ahead, we plan to invest 
signiﬁ cant resources into developing 
new approaches to big data analysis. 
These will allow us to explore even 
deeper than before.

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(1)  Conferences include 2015 EEE International 
Conference on Pervasive Computing and 
Communications and 2015 ACM SIGKDD 
Conference on Knowledge Discovery and 
Data Mining.

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41

 
 
 
 
 
Key Awards 
and Accolades

Business Excellence

SINGTEL

Asia Communication 
Awards 2014
•  Best Brand Campaign for 

Hawker Heroes

•  Project of the Year for G-Cloud

Asia Paciﬁ c ICT Alliance 
Awards 2014
•  Best Financial Industry App 

Merit Award for Dash

Cannes Lions International 
Festival of Creativity 2014
•  Silver Mobile Lion for Messaging 

Campaigns, including SMS, 
MMS and Mobile Email for Movie 
Emoji Campaign

•  Bronze Media Lion for 

Commercial Public Service for 
Movie Emoji Campaign

Computerworld Hong Kong 
Awards 2014 
•  Best IT Outsourcing & Managed 

Services Provider

Computerworld Readers’ 
Choice Awards 2014 
•  Uniﬁ ed Communications Software 

Suites for Singtel UCaaS

•  Data Centre and Hosting for 
Singtel EXPAN Managed 
Hosting Services

•  Managed Connectivity for 

Singtel Managed Connectivity 
& Managed Services

Computerworld Singapore 
Customer Care Awards 2014 
•  Telecommunication Services

Contact Centre World 
Awards 2014 
•  Best Contact Centre Design for 

Singapore Contact Centre – Gold
•  Best Contact Centre (Mid-Sized) 

for Client Business – Gold 
•  Best Outsourcing Partnership 
for Client Business – Gold

Call Centre Association of 
Malaysia Awards 2014 
•  Best Video Contact Centre – Gold 

42

Hardwarezone Tech Awards 2014
•  Best 4G
•  Best Fibre Broadband
•  Best Telco

Marketing Excellence Awards 2014 
•  Excellence in Advertising for 

Roamaphobia – Gold 
•  Excellence in Integrated 

Marketing (Consumer) for 
Roamaphobia – Gold

Marketing Interactive Digital 
Media of the Year 2014 
•  1st in Lifestyle Category for inSing

NetworkWorld Asia Information 
Management Awards 2014 
•  Security-as-a-Service
•  Disaster Recovery & Business 

Continuity

NetworkWorld Asia Readers’ 
Choice Awards 2014 
•  Managed Infrastructure Services
•  Managed Security Services

Singapore Media Awards 2014 
•  Best Experiential Campaign for 

Hawker Heroes

Australian Institute of Training 
and Development National 
Training Excellence Awards 2014 
•  Best Implementation of a Blended 
Learning Solution for My Plan Plus

Canstar Blue Most Satisﬁ ed 
Customers Award 2014 
•  Mobile Phone Service Providers 

(Small Business)

Global Telecoms Business 
Innovation Awards 2014 
•  Winner in Wireless Network 

Infrastructure Innovation Category 
for Dual-band Carrier Aggregation 
for LTE TDD

NCS

Asia Business Continuity 
Awards 2014 
•  Business Continuity Provider 

of the Year

Global City Informatization 
Forum 2014
•  Global Smart City Best Practice 

Award for SURF

SiTF Awards 2014 
•  Best Consumer Product for Dash 

SiTF Awards 2014 
•  Best Public Sector Product – Gold 

VSAT Industry Awards 2014 
•  VSAT Service Provider of the Year

AMOBEE

World Communication Awards 
2014
•  Users’ Choice

OPTUS

ACOMMs Awards 2014
•  Commitment to Customer Service
•  Community Contribution – 

Consumer

 Australian Business Awards 2014
•  Brand Excellence
•  Service Excellence
•  Technology

Mediapost OMMA Awards 2014 
•  Best Campaign for Amobee 3D 

Ford-150 campaign

•  Members’ Choice
•  Mobile Marketing Single Execution 

– Gold

Mobile Maﬁ a Awards 2014 
•  Best Mobile Creative 

REGIONAL MOBILE ASSOCIATES

Money & Banking Magazine 2014 
– AIS
•  Best Public Company Registered 
with the Stock Market of Thailand

Corporate Citizenship

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IR Magazine Awards & Conference 
South East Asia 2014
•  Best in Sector: Technology & 

Communications

•  Best Use of Technology

Newsweek Global 500 Companies 
Green Rankings 2014
•  Ranked 29th out of 500 
(Highest in Singapore)

Singapore Health Award 2014
•  Platinum Award

Sustainable Business Awards 
Singapore 2014
•  Workforce Category

The Singapore HR Awards 2014
•  Corporate HR Award
•  HR Advocate Award, CSR

OPTUS

Australian Event Awards 2014
•  Best Charity/Cause-Related Event 

for Optus Rockcorps

Communications Alliance and 
CommsDay Awards 2014
•  Community Contribution for 

Digital Thumbprint 

LearnX Impact Awards 2014
•  Best Learning Services 

– Platinum

Spikes Asia 2014
•  Grand Prix in Innovation for 

Clever Buoy

Superbrands Awards 2014 – AIS

SINGTEL

AfricaCom 2014 – Airtel Africa
•  Best App for Africa for Intuitive 

Airtel Internet Application

Alpha Southeast Asia Corporate 
Institutional Investor Awards 2014 
•  Best Senior Management IR 

•  Best Mobile Money Solution for 

Support in Singapore 

Airtel Money

Nigerian Telecoms Awards 2014 
– Airtel Africa
•  Customer Friendly Operator 

of the Year 

Brand Equity Most Trusted Brands 
Survey 2014 – Airtel India
•  No.1 Service Brand

Global Mobile Awards 2015 
– Airtel India
•  Best Mobile Service/App 

for Consumers for One Touch 
Internet

Global Mobile Awards 2014 
– Globe 
•  Best Network-Based Solution for 
Serving Customers for GoSakto

Stevie Awards 2014 – Globe
•  Company of the Year 

– Telecommunications

•  Customer Service Executive 

of the Year

•  Support Department of the Year

Frost & Sullivan Best Practices 
in Customer Experience Awards 
2014 – Telkomsel 
•  Best Customer Experience 
in Telecommunications – 
Customer Support Channels
•  Best Customer Experience in 

Telecommunications – Services

Frost & Sullivan Indonesia 
Excellence Awards 2014 
– Telkomsel
•  Green BTS Operator of the Year
•  Mobile Broadband Service 

Provider of the Year

•  Mobile Data Service Provider 

of the Year

•  Mobile Service Provider 

of the Year

•  Best Strategic Corporate Social 

Responsibility

•  Most Consistent Dividend Policy 

in Singapore 

•  Most Organised Investor Relations 

in Singapore 

•  Strongest Adherence to Corporate 

Governance in Singapore

Aon Hewitt Top Global Company 
for Leaders 2014
•  Top Companies for Leaders: 

Global Top 25

•  Top Companies for Leaders: 

Southeast Asia

ASEAN Corporate Governance 
Scorecard 2014
•  1st in Singapore 

Community Chest Awards 2014
•  Corporate – Platinum
•  Special Events – Platinum
•  SHARE Corporate – Gold 

HRM Awards 2015
•  Best Engagement Strategies
•  Best Performance and Productivity
•  Best Use of Social Media
•  Best HR Leader – Aileen Tan, 

Group Chief Human Resources 
Offi  cer

HRM Excellence Awards 2014
•  Engagement – Gold
•  Talent Management – Gold

Listed on Dow Jones Sustainability 
Index Australia 2014

Included in CDP Index (Asia 
Ex-Japan) 2014

Investors’ Choice Awards 2014
•  Hall of Fame
•  Special Recognition Award 

– Chor Khee Yang, Group Chief 
Internal Auditor

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Sustainability 
& Governance

45 Board of Directors
50 Organisation Structure
51 Management Committee
54
Senior Management
55
Sustainability and Governance 
Philosophy

56 Corporate Governance
78
Investor Relations
80 Risk Management Philosophy 

and Approach
Sustainability

88

Board of 
Directors

SIMON ISRAEL

CHUA SOCK KOONG

BOBBY CHIN

•  Non-executive and non-independent 

•  Executive and non-independent 

•  Non-executive and independent 

Director

•  Chairman, Singtel Board
•  Chairman, Finance and Investment 

Committee

•  Member, Corporate Governance and 

Nominations Committee

•  Member, Executive Resource and 

Compensation Committee

•  Member, Optus Advisory Committee
•  Date of Appointment: 

Director on 4 Jul 2003 and 
Chairman on 29 Jul 2011
•  Last Re-elected: 26 Jul 2013

Mr Simon Israel, 62, is a Director 
of CapitaLand Limited, Fonterra 
Co-operative Group Limited and 
Stewardship Asia Centre Pte. Ltd. 
He is also a member of the 
Governing Board of Lee Kuan 
Yew School of Public Policy and 
Westpac’s Asia Advisory Board.

Mr Israel was an Executive Director 
and President of Temasek Holdings 
(Private) Limited before retiring on 
1 July 2011. Prior to that, he was 
Chairman Asia Paciﬁ c of the Danone 
Group. Mr Israel also held various 
positions in Sara Lee Corporation 
before becoming President 
(Household & Personal Care), 
Asia Paciﬁ c.

Mr Israel was conferred Knight in 
the Legion of Honour by the French 
government in 2007 and awarded 
the Public Service Medal at the 
Singapore National Day Awards 
2011. He holds a Diploma in 
Business Studies from The 
University of the South Paciﬁ c.

Director

•  Member, Optus Advisory Committee
•  Date of Appointment: 

Director on 12 Oct 2006 and 
Group Chief Executive Officer (CEO) 
on 1 Apr 2007

•   Last Re-elected: 27 Jul 2012

Director

•  Chairman, Risk Committee
•  Member, Audit Committee
•  Date of Appointment: 1 May 2012
•   Last Re-elected: 27 Jul 2012

Ms Chua Sock Koong, 57, was 
appointed Group CEO on 1 April 
2007. She has overall responsibility 
for the Group’s businesses.

Ms Chua joined Singtel in June 1989 
as Treasurer before becoming 
CFO in April 1999. She held the 
positions of Group CFO and CEO, 
International from February 2006 
to 12 October 2006, when she was 
appointed Deputy Group CEO.

Ms Chua sits on the boards of 
Bharti Airtel Limited, Bharti Telecom 
Limited and key subsidiaries of the 
Singtel Group. She is also a member 
of the Singapore Management 
University Board of Trustees and 
the Public Service Commission.

Ms Chua holds a Bachelor of 
Accountancy (First Class Honours) 
from the University of Singapore. 
She is a Fellow Member of 
the Institute of Singapore 
Chartered Accountants and 
a CFA charterholder.

Mr Bobby Chin, 63, is a member of 
the Council of Presidential Advisers 
and the Chairman of NTUC Fairprice 
Co-operative Limited and NTUC 
Fairprice Foundation Ltd. He serves 
on the boards of the Singapore 
Labour Foundation, NTUC Enterprise 
Co-operative Limited and Temasek 
Holdings (Private) Limited (1). He is 
also a Director of several listed 
companies including Yeo Hiap 
Seng Limited, Ho Bee Land Limited, 
SembCorp Industries Ltd and 
AV Jennings Limited.

Mr Chin was the Managing Partner 
of KPMG Singapore from 1992 until 
his retirement in September 2005.

Mr Chin holds a Bachelor of 
Accountancy from the University 
of Singapore. He is an associate 
member of the Institute of Chartered 
Accountants in England and Wales.

Note:
(1)  Mr Chin was appointed to the Board of 

Temasek Holdings (Private) Limited (Temasek), 
the major shareholder of Singtel, on 
10 June 2014. After due consideration, Mr Chin 
continues to be regarded as independent as 
he does not represent Temasek on the Singtel 
Board and he is not accustomed or under 
an obligation whether formal or informal, 
to act in accordance with the directions, 
instructions or wishes of Temasek. As Mr Chin 
has demonstrated independence in character 
and judgement in the discharge of his 
responsibilities, the Singtel Board is satisﬁ ed 
that he will continue to exercise independent 
judgement and act in the best interests of 
Singtel and its security holders generally.

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45

 
 
 
 
 
 
 
Board of 
Directors

FANG AI LIAN

VENKY GANESAN

LOW CHECK KIAN

•  Non-executive and independent 

•  Non-executive and independent 

•  Non-executive and independent 

Director

•  Chairman, Audit Committee
•  Member, Executive Resource and 

Compensation Committee

•  Date of Appointment: 7 Aug 2008
•  Last Re-elected: 27 Jul 2012

Director

Director

•  Member, Finance and Investment 

•  Member, Corporate Governance and 

Committee

•  Member, Technology Advisory Panel
•  Date of Appointment: 2 Feb 2015

Nominations Committee

•  Member, Finance and Investment 

Committee

•  Date of Appointment: 9 May 2011
•   Last Re-elected: 25 Jul 2014

Mrs Fang Ai Lian, 65, was the 
Chairman of Great Eastern Holdings 
Limited as well as Chairman of its 
insurance subsidiaries until her 
retirement in April 2014. Prior to that, 
she was with Ernst & Young for over 
30 years, where she was appointed 
Managing Partner in 1996 and 
Chairman in 2005.

Mrs Fang is a Director of Banyan Tree 
Holdings Limited, MediaCorp Pte Ltd 
and Metro Holdings Limited and 
an advisor to Far East Organization. 

Mrs Fang qualiﬁ ed as a Chartered 
Accountant in London in 1973 and is 
a Fellow of the Institute of Chartered 
Accountants in England and Wales.

Mr Venky Ganesan, 42, is one of 
the Managing Partners of Menlo 
Ventures, a 39-year-old top tier 
Silicon Valley venture capital ﬁ rm. 
He focuses on investments in the 
consumer and enterprise sectors. 
Mr Ganesan sits on the boards 
of several portfolio companies 
of Menlo Ventures, namely, 
Avi Networks, Inc., BitSight, Inc, 
Gild, Inc., Handle, Inc, Machine 
Zone, Inc., Rover, Inc., Takipi, Inc. 
and Waterline Data Systems, Inc. 
He is also a Board member of the 
National Venture Capital Association.

Prior to joining Menlo Ventures, 
Mr Ganesan was a Managing 
Director at Globespan Capital 
Partners. Before Globespan, 
he was one of the founders of 
Trigo Technologies. He also worked 
at McKinsey & Company and 
Microsoft as a Program Manager. 

Mr Ganesan holds a Bachelor of 
Arts in Economics-Mathematics 
from Reed College and a Bachelor 
of Science in Engineering and 
Applied Science (Honours) from 
the California Institute of Technology 
in the US. 

Mr Low Check Kian, 56, is a 
Director of Cluny Park Capital. 
He was previously one of the 
founding partners of NewSmith 
Capital Partners LLP (NewSmith), 
an independent partnership 
providing corporate ﬁ nance advice 
and investment management 
services with its headquarters 
based in London. Prior to founding 
NewSmith, Mr Low was a Senior 
Vice President and Member of the 
Executive Management Committee 
of Merrill Lynch & Co and its 
Chairman for the Asia Paciﬁ c Region.

Mr Low Check Kian also sits on the 
boards of Singtel Innov8 Pte. Ltd., 
Singtel Innov8 Holdings Pte. Ltd., 
Neptune Orient Lines Limited and 
the Fullerton Fund Management 
Company Ltd and is a trustee of 
the Singapore London School of 
Economics Trust and the Nanyang 
Technological University.

Mr Low Check Kian holds a B. Sc 
(First Class Honours) and M. SC 
in Economics from the London 
School of Economics. He was 
awarded the Allan Young Prize, 
Baxter-Edey Award and the Henry 
Luce Foundation Award during 
his time there. 

46

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KAI NARGOLWALA

CHRISTINA ONG

•  Non-executive and independent 

Director

•  Chairman, Optus Advisory Committee
•  Member, Executive Resource and 

Compensation Committee

•  Date of Appointment: 21 Sep 2010
•  Last Re-elected: 26 Jul 2013

Mr Peter Mason, 69, is a Senior 
Advisor to UBS Australia. He is 
a Trustee of the Sydney Opera 
House Trust and the Chairman 
of the Centre for International 
Finance and Regulation.

Mr Mason has more than 
40 years’ experience in investment 
banking, including JP Morgan 
and Schroders.

Mr Mason holds a Bachelor of 
Commerce (First Class Honours), 
an MBA and an Honorary 
Doctorate from The University of 
New South Wales, Australia.

Note:
(2)   Member of the Order of Australia.

•  Non-executive and independent 

Director

•  Member, Audit Committee
•  Member, Corporate Governance and 

Nominations Committee

•  Date of Appointment: 7 Apr 2014
•  Last Re-elected: 25 Jul 2014

Mrs Christina Ong, 64, is a Partner 
of Allen & Gledhill LLP as well as 
the Head of its Financial Services 
Department. She is a Director 
of SIA Engineering Company 
Limited, Singapore Tourism Board 
and Trailblazer Foundation Ltd. 
She also sits on the boards of 
companies and entities which are 
owned by Allen & Gledhill LLP. 

Mrs Ong is a lawyer and she 
provides corporate and corporate 
regulatory and compliance advice, 
particularly to listed companies. 
Her areas of practice include 
banking and securities.

Mrs Ong holds a Bachelor of Laws 
(Second Upper Class Honours) 
from the University of Singapore. 
She is a member of the Law 
Society of Singapore and the 
International Bar Association.

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•  Non-executive and Lead Independent 

Director

•  Chairman, Corporate Governance 

and Nominations Committee

•  Chairman, Executive Resource and 

Compensation Committee

•  Member, Finance and Investment 

Committee

•  Date of Appointment: 

Director on 29 Sep 2006 and 
Lead Independent Director 
on 13 May 2009

•   Last Re-elected: 27 Jul 2012

Mr Kai Nargolwala, 65, is an 
independent non-executive Director 
of the UK-based Prudential plc., 
Credit Suisse Group AG and PSA 
International Pte Ltd. He is the 
Chairman of Cliff ord Capital Pte. Ltd. 
and the Chairman of the Governing 
Board of the Duke-NUS Graduate 
Medical School of Singapore. He also 
serves on the board of the Casino 
Regulatory Authority of Singapore and 
is a member of the Singapore Capital 
Markets Committee of the Monetary 
Authority of Singapore.

Mr Nargolwala was the non-executive 
Chairman of Credit Suisse Asia Paciﬁ c 
from October 2010 to December 
2011 and the CEO of Credit Suisse 
Asia Paciﬁ c and a member of the 
Executive Board of Credit Suisse AG 
from January 2008 to September 2010. 
He was a Group Executive Director of 
Standard Chartered PLC before joining 
Credit Suisse Asia Paciﬁ c. Prior to that, 
he was the Group Executive Vice 
President and Head of Asia Wholesale 
Banking Group for Bank of America, 
headquartered in Hong Kong.

Mr Nargolwala holds a Bachelor 
degree in Economics (First Class 
Honours) from the University of Delhi, 
India. He is a Fellow of the Institute 
of Chartered Accountants in England 
and Wales as well as the Singapore 
Institute of Directors.

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47

 
 
 
 
 
 
 
Board of 
Directors

PETER ONG

TEO SWEE LIAN

•  Non-executive and non-independent 

Director

•  Member, Audit Committee
•  Member, Risk Committee
•  Date of Appointment: 1 Sep 2010
•   Last Re-elected: 25 Jul 2014

•  Non-executive and independent Director
•  Member, Audit Committee
•  Member, Executive Resource and 

Compensation Committee

•  Member, Risk Committee
•  Date of Appointment: 13 Apr 2015

Ms Teo Swee Lian, 55, was Special 
Advisor in the Managing Director’s 
Offi  ce at the Monetary Authority 
of Singapore (MAS) until she 
stepped down at the end of 
May 2015. She is a member of 
the Singapore Exchange Diversity 
Action Committee.

Ms Teo was formerly the Deputy 
Managing Director in charge of 
Financial Supervision at the MAS. 
She oversaw macroeconomic 
surveillance, regulation and 
supervision of the banking, insurance 
and capital markets industries in 
Singapore. During her time with 
MAS, Ms Teo also worked in reserves 
management, development, external 
relations and strategic planning. 

Ms Teo was awarded the Public 
Administration Medal (Gold) (Bar) at 
the Singapore National Day Awards 
2012. She holds a B. Sc (First Class 
Honours) in Mathematics from 
Imperial College, London University 
and a M. Sc in Applied Statistics 
from Oxford University.

Mr Peter Ong, 53, is the Head of 
Singapore’s Civil Service, Permanent 
Secretary of the Ministry of Finance and 
Permanent Secretary (Special Duties) in 
the Prime Minister’s Offi  ce. He previously 
held the positions of Permanent 
Secretary (National Security and 
Intelligence Co-ordination), Permanent 
Secretary (Ministry of Trade and Industry), 
Permanent Secretary (Ministry of 
Transport) and 2nd Permanent Secretary 
(Ministry of Defence). Prior to that, 
he was an Executive Vice President 
of Temasek Holdings (Private) Limited.

Mr Ong currently sits on the boards 
of the Monetary Authority of Singapore, 
the National Research Foundation, the 
ASEAN+3 Macroeconomic Research 
Offi  ce and Calvary Community Care. 
He is also the Chairman of the Inland 
Revenue Authority of Singapore.

Mr Ong was conferred the Meritorious 
Service Medal (Pingat Jasa Gemilang) at 
the Singapore National Day Awards 2010. 
He was also conferred the (Honorary) 
Knight of the Most Distinguished Order 
of the Crown by the Yang di-Pertuan 
Agong Malaysia XIV in June 2012 
(with the title of “Tan Sri”).

Mr Ong holds a Bachelor of Economics 
(Honours) from the University of 
Adelaide, Australia and an MBA from 
Stanford University, US.

48

Notes:
•  Mr Dominic Ho retired from 
the Singtel Board following 
the conclusion of the Annual 
General Meeting held on 
25 July 2014. 

•  Mr David Gonski stepped 

down from the Singtel Board 
on 1 April 2015. He continues 
to be a member of the 
Optus Advisory Committee.

•  Please see the next page 
for a summary of the past 
chairmanships and 
directorships of the members 
of the Singtel Board.

Past Chairmanships 
and Directorships

The following is a summary of the past chairmanships and directorships of the members of the Singtel Board (1):

SIMON ISRAEL

FANG AI LIAN

PETER MASON AM (2)

•  Asia Pacific Breweries Limited (Chairman)
•  Temasek Holdings (Private) Limited 
(Executive Director and President)

CHUA SOCK KOONG

•  Casino Regulatory Authority of Singapore 

(Board member)

•  Corporate Governance Council 
established by the Monetary
Authority of Singapore (Member)

BOBBY CHIN

•  Singapore Totalisator Board (Chairman)
•  Neptune Orient Lines Limited (Director)
•  Competition Commission of Singapore 

(Board member)

•  Oversea-Chinese Banking Corporation

Limited (Director)

•  Singapore Power Limited (Director)

•  Great Eastern Holdings Limited

(Chairman)

•  Oversea-Chinese Banking Corporation

Limited (Board member)

•  Tax Academy of Singapore (Chairman)
•  Charity Council (Chairman)

•  AMP Limited (Chairman)
•  David Jones Limited (Chairman)

KAI NARGOLWALA

Nil

VENKY GANESAN

•  Kaminario, Inc (Director)
•  Marketlive, Inc. (Director)
•  Nominum, Inc (Director)
•  oDesk-Elance, Inc (Director)
•  Redfin, Inc. (Director)
•  Virident, Inc. (Director)
•  StrongView, Inc (Director)
•  Amobee, Inc (Director)
•  BitYota Inc. (Director)

LOW CHECK KIAN

•  Fibrechem Technologies Limited

 (Board member)

CHRISTINA ONG

•  ST Asset Management Ltd (Director)

PETER ONG

•  MND Holdings Pte Ltd (Chairman)

TEO SWEE LIAN

Nil

Notes:
(1)  Held over the preceding three years.
(2)  Member of the Order of Australia.

Singtel Board Diversity

MALE/FEMALE

EXECUTIVE/NON-EXECUTIVE

7

Male

4

Female

1

10

Executive

Non-Executive

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49

 
 
 
 
 
 
 
Organisation 
Structure

GROUP CHIEF 
EXECUTIVE OFFICER
CHUA SOCK KOONG

GROUP BUSINESS

CORPORATE FUNCTIONS

CHIEF EXECUTIVE OFFICER
CONSUMER AUSTRALIA / 
CHIEF EXECUTIVE OFFICER OPTUS
ALLEN LEW

CHIEF EXECUTIVE OFFICER
CONSUMER SINGAPORE
YUEN KUAN MOON

CHIEF EXECUTIVE OFFICER
GROUP ENTERPRISE /
COUNTRY CHIEF OFFICER 
SINGAPORE
BILL CHANG

CHIEF EXECUTIVE OFFICER
GROUP DIGITAL LIFE
SAMBA NATARAJAN

CHIEF EXECUTIVE OFFICER
INTERNATIONAL
MARK CHONG

AUDIT COMMITTEE

GROUP CHIEF
INTERNAL AUDITOR
CHOR KHEE YANG

GROUP CHIEF
CORPORATE OFFICER
JEANN LOW

GROUP CHIEF
FINANCIAL OFFICER
LIM CHENG CHENG

GROUP CHIEF 
HUMAN RESOURCES 
OFFICER
AILEEN TAN

GROUP CHIEF
INFORMATION OFFICER
WU CHOY PENG

GROUP CHIEF
TECHNOLOGY OFFICER
TAY SOO MENG

Note:
Paul O’Sullivan is Chairman Optus (non-full time role) with effect from 1 October 2014. 
He reports to GCEO.

50

Management 
Committee

CHUA SOCK KOONG

Ms Chua, 57, was appointed 
Group CEO on 1 April 2007. She is 
responsible for Singtel’s consumer 
business, Group Enterprise and 
Group Digital Life. Ms Chua joined 
Singtel in June 1989 as Treasurer 
before becoming CFO on 1 April 1999. 
She held the positions of Group CFO 
and CEO, International from 1 February 
2006 to 12 October 2006, when she 
was appointed Deputy Group CEO. 

Ms Chua sits on the Boards of 
Bharti Airtel Limited, Bharti Telecom 
Limited and key subsidiaries of the 
Singtel Group. She is also a member 
of the Singapore Management 
University Board of Trustees and 
the Public Service Commission. 

Ms Chua holds a Bachelor of 
Accountancy (First Class Honours) 
from the University of Singapore. 
She is a Fellow Member of the Institute 
of Singapore Chartered Accountants 
and a CFA charterholder.

BILL CHANG

Mr Chang, 48, was appointed 
CEO, Group Enterprise on 16 July 
2012. He is responsible for the 
team that provides innovative 
and comprehensive infocomm 
and technology (ICT) solutions to 
enterprise customers, across multiple 
geographies. Mr Chang also assumed 
the position of Country Chief Offi  cer 
Singapore on 1 October 2014, where 
he is the principal liaison with local 
and regulatory bodies.

Mr Chang was previously Managing 
Director, Business Group, and joined 
Singtel in November 2005 as Executive 
Vice President of Corporate Business 
before assuming the role of Managing 

Director, Business Group. Prior to 
Singtel, he was the Managing Director 
of Cisco Systems’ Advanced Services 
Group in Asia Paciﬁ c. 

In 2014, Mr Chang was conferred 
the honorary Fellow of the Singapore 
Computer Society in recognition 
of his pivotal role in advancing the 
infocomm industry in Singapore. 
He is the Chairman of the Singapore 
Polytechnic Board of Governors and 
a Board member of Singapore Post, 
serving in their Compensation and 
Risk & Technology Committees. 

Mr Chang graduated with a Bachelor 
of Engineering (Honours) in Electrical 
and Computer Systems Engineering 
from Monash University, Australia.

ALLEN LEW

Mr Lew, 60, was appointed CEO 
Consumer Australia and CEO Optus 
on 1 October 2014.

Prior to that, Mr Lew was CEO Group 
Digital Life where he transformed 
the Group into a leading player in 
the digital ecosystem. He was also 
Country Chief Offi  cer Singapore, 
acting as the principal liaison with 
local and regulatory bodies.

He began his career with the Singtel 
Group in November 1980 and has 
served in various senior management 
positions both in Singapore and 
overseas. His ﬁ rst overseas posting 
was to Advanced Info Service Public 
Company Limited (AIS), Singtel’s 
regional mobile associate. He was 

the Chief Operating Offi  cer of AIS 
for three years before his posting to 
Optus in late 2001, initially as the 
Managing Director of Optus Mobile 
and later as Managing Director 
of Optus Consumer Business. 
He returned to Singapore as CEO 
Singapore in 2006 and held that 
position until March 2012.

Mr Lew is the Chairman of the AIS 
Executive Committee and a Board 
member of the Energy Market 
Authority in Singapore.

He holds a Bachelor of Electrical 
Engineering from the University 
of Western Australia under a 
Colombo Plan Scholarship and a 
Master of Science (Management) 
from the Massachusetts Institute 
of Technology, US.

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51

 
 
 
 
 
 
 
Management 
Committee

LIM CHENG CHENG

Ms Lim, 43, is Group Chief Financial 
Offi  cer responsible for the 
Singtel Group’s ﬁ nance related 
functions including tax, treasury 
and investor relations.

She was appointed Deputy GCFO 
on 1 October 2014. Prior to that, she 
was the Managing Director, Group 
Strategic Investments. She joined 
Singtel in 2012 as Vice President, 
Group Strategic Investment. 

Ms Lim brings with her 23 years of 
experience in ﬁ nance and mergers 
and acquisitions. She previously held 
the role of Executive Vice President 
and CFO at SMRT Corporation for 
ﬁ ve years, overseeing ﬁ nancial 
strategy and management, corporate 

JEANN LOW

Ms Low, 54, was appointed Group 
Chief Corporate Offi  cer on 10 April 
2015. She is responsible for the 
Group’s corporate functions including 
strategy, mergers and acquisitions, 
corporate communications, legal, 
regulatory and procurement.

She was the Group Chief Financial 
Offi  cer from September 2008, 
overseeing the Group’s ﬁ nancial 
aff airs, including corporate ﬁ nance, 
treasury and capital management, 
and investor relations. 

Ms Low joined Singtel in October 1998 
as the Group Financial Controller. 
On 16 November 2004, she was 
promoted to Executive Vice President 
of Strategic Investments, managing 
the Group’s international investments, 

planning, tax, treasury management, 
central supplies and procurement, 
and investor relations. She also 
worked at Singapore Power for 
10 years in various corporate planning, 
investments and ﬁ nance roles, the 
last of which was Head and Vice 
President (Financial Planning and 
Analysis). She started her career with 
PricewaterhouseCoopers.

She holds a Master of Business 
Administration from The University 
of Chicago Booth School of Business 
(formerly known as University of 
Chicago Graduate School of Business) 
and a Bachelor in Accountancy from 
Nanyang Technological University. She 
is a Chartered Accountant (Singapore), 
Institute of Singapore Chartered 
Accountants and CPA Australia.

and was appointed CFO of Optus 
on 1 February 2006. Prior to Singtel, 
Ms Low worked in the Singapore and 
London practices of an international 
accounting ﬁ rm and thereafter at a 
public listed electronics company 
in Singapore. 

Ms Low is a member of the Governing 
Board of the Lee Kong Chian School 
of Medicine. She is also a Director 
of Advanced Info Service Public 
Company Limited and was a 
Council Member of the Institute of 
Singapore Chartered Accountants 
from April 2010 to April 2014. 

She holds an Honours Degree in 
Accountancy from the National 
University of Singapore and is a 
Chartered Accountant of Singapore.

52

AILEEN TAN

Ms Tan, 48, joined Singtel in 
June 2008 as Group Chief Human 
Resources Offi  cer. She oversees the 
development of human resources across 
the Singtel Group, and also leads the 
Group’s corporate sustainability function.

Prior to joining Singtel, Ms Tan was Group 
General Manager Human Resources 
at WBL Corporation Limited and Vice 
President, Centres of Excellence with 
Abacus International Pte Ltd. She had 
previously held various roles in human 
resources in multinational corporations 
and Singapore companies across 
industries. 

Ms Tan is a member of the Home 
Nursing Foundation Board. She was 
appointed member of the Media 
Literacy Council on 1 August 2014 
and Chairperson of the Singapore 
Workforce Development Agency’s 
Human Resource Skills Council on 
15 September 2014. 

She graduated with a Bachelor of Arts 
majoring in Statistics and Japanese 
Studies from the National University 
of Singapore. She also holds a 
Master of Science in Organisational 
Behaviour from the California School 
of Professional Psychology, Alliant 
International University, US.

WU CHOY PENG

Ms Wu, 50, joined Singtel as Group CIO 
in August 2012. She is responsible for 
the development of the Group’s IT vision 
and roadmap. She also drives synergies 
to establish excellence in technology 
management.

Before joining Singtel, Ms Wu was 
the Group CIO of Neptune Orient 
Lines Group from 2006. She served 
as the Singapore Government’s Chief 
Information Offi  cer from January 2000 
to June 2006, after holding a range of IT 
management roles in the Singapore Civil 
Service, where she started her career. 

Ms Wu is the Deputy Chairman 
of IDA International Pte Ltd, 

a wholly owned subsidiary of the 
Infocomm Development Authority 
of Singapore. Eff ective 21 October 
2014, Ms Wu is appointed as a 
member of the National University 
Health System (NUHS) Board, and the 
Chairperson of the NUHS Information 
Technology (IT) Committee. Ms Wu 
also served on the Management Board 
of the Institute of Systems Science, 
National University of Singapore 
from 1 March 2003 to 14 April 2015. 

She holds a Bachelor of Science 
(Honours with Highest Distinction) 
in Computer/Communication Science 
and Mathematics, and a Master 
of Science in Computer Science/
Engineering, both from the University 
of Michigan, US.

YUEN KUAN MOON

Mr Yuen, 48, was appointed CEO, 
Consumer Singapore on 1 April 2012. He 
is responsible for leading and managing 
the Singapore consumer business to 
deliver a complete and integrated suite 
of services, including mobile, broadband 
and TV solutions to consumers. 

Mr Yuen started his career with 
Singtel in 1993 and has held several 
positions within the consumer 
business, including Marketing, Business 
Development, Retail and Channel Sales. 
Mr Yuen was also Vice President of 
Regional Operations and was previously 
the Executive Vice President of 
Digital Consumer in Singtel from 
1 July 2009 to 31 March 2012.

Mr Yuen was posted to PT 
Telekomunikasi Selular (Telkomsel), 
Singtel’s regional mobile associate, 
as General Manager for Product 
Development in 2003 and he 
was appointed as the Director of 
Commerce from 2005 to 2007. 
He has served on the Board of 
Commissioners in Telkomsel 
since 2009.

Mr Yuen graduated with a First Class 
Honours degree in Engineering 
from the University of Western 
Australia. He also holds a Master 
of Science degree in Management 
from Stanford University, US.

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53

 
 
 
 
 
 
 
Senior 
Management

VICKI BRADY

CHIA WEE BOON

MARK CHONG

HUI WENG CHEONG

Managing Director, Customer 
Optus

Chief Executive Offi  cer, NCS
Group Enterprise

Chief Executive Offi  cer, 
International 

Chief Operating Offi  cer,
AIS

MURRAY KING

Chief Financial Offi  cer,
Optus

SAMBA NATARAJAN

JOHN PAITARIDIS

MARK STRECKER

Chief Executive Offi  cer, 
Group Digital Life

Managing Director, 
Optus Business 
Group Enterprise

Chief Executive Offi  cer, Amobee 
Group Digital Life

TAY SOO MENG

WILLIAM WOO

Group Chief Technology Offi  cer

Managing Director, 
Enterprise Data & Managed Services
Group Enterprise

54

Sustainability and 
Governance Philosophy

Environmental, social and governance 
performance are integral to Singtel’s success. 

We strive to stay ahead of our competition 
and build a sustainable future for all our 
stakeholders by: 

•  Aspiring to the highest level of corporate 

governance, increasing shareholder value and 
embracing responsible business practices

•  Supporting, investing and partnering 

communities in the markets where we operate

•  Being an employer of choice

•  Managing our environmental footprint 

and impact

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Corporate 
Governance

Our Governance Framework

CHAIRMAN
SIMON ISRAEL

Key Objectives
Responsible for leadership of the 
Board and for creating conditions 
for overall Board, committee and 
individual effectiveness

THE BOARD OF SINGTEL
11 DIRECTORS:
8 independent Directors and 
3 non-independent Directors 

Key Objectives
To create value for shareholders 
and to ensure the long-term 
success of the Group

AUDIT COMMITTEE
4 independent Directors and 
1 non-independent Director

CHAIRMAN
FANG AI LIAN

Key Objectives
Assist the Board in discharging its statutory and 
other responsibilities relating to internal controls, 
financial and accounting matters, compliance, 
and business and financial risk management

CORPORATE GOVERNANCE & NOMINATIONS COMMITTEE
3 independent Directors and 
1 non-independent Director

CHAIRMAN
KAI NARGOLWALA

Key Objectives
Establish and review the profile of Board 
members; make recommendations to the Board 
on the appointment, renomination and retirement 
of Directors; review the independence of Directors; 
assist the Board in evaluating the performance of 
the Board, Board committees and Directors; and 
develop and review the Company’s corporate 
governance practices

EXECUTIVE RESOURCE & COMPENSATION COMMITTEE
4 independent Directors and 
1 non-independent Director

Key Objectives
Oversee the remuneration of the Board and 
Senior Management, and set appropriate 
remuneration framework and policies, including 
long-term incentive schemes, to deliver annual 
and long-term performance of the Group

CHAIRMAN
KAI NARGOLWALA

FINANCE & INVESTMENT COMMITTEE
3 independent Directors and 
1 non-independent Director 

CHAIRMAN
SIMON ISRAEL

RISK COMMITTEE
2 independent Directors and 
1 non-independent Director 

CHAIRMAN
BOBBY CHIN

Key Objectives
Provide advisory support on the development 
of the Group’s overall strategy, review strategic 
issues, approve investments and divestments, 
review the Group’s Investment and Treasury 
Policies, evaluate and approve financial offers 
and banking facilities, and manage the Group’s 
liabilities 

Key Objectives
Ensure that Management maintains a sound 
system of risk management and internal controls 
to safeguard shareholders’ interests and the 
Group’s assets, and determine the nature 
and extent of the material risks that the Board 
is willing to take in achieving the Group’s 
strategic objectives

GROUP CHIEF EXECUTIVE OFFICER
CHUA SOCK KOONG 

Key Objectives
Manage the Group’s business and implement 
strategy and policy 

MANAGEMENT COMMITTEE
Group CEO, 
CEO Group Enterprise, 
CEO Consumer Australia, 
CEO Consumer Singapore, 
Group Chief Corporate Officer, 
Group CFO, 
Group Chief Human 
Resources Officer and 
Group Chief Information Officer 

Key Objectives
Direct Management on operational policies 
and activities 

56

INTRODUCTION
Singtel aspires to the highest standards of corporate 
governance as we believe that good governance supports 
long-term value creation. To this end, Singtel has in place 
a set of well-deﬁ ned policies and processes to enhance 
corporate performance and accountability, as well as protect 
the interests of stakeholders. The Board of Directors is 
responsible for Singtel’s corporate governance standards and 
policies, and stresses their importance across the Group. 

As Singtel was listed on both the Singapore Exchange 
Securities Trading Limited (SGX) and ASX Limited (ASX) for 
the ﬁ nancial year ended 31 March 2015, this report sets out 
Singtel’s key corporate governance practices with reference 
to the Singapore Code of Corporate Governance 2012 
(Singapore Code), as well as the ASX Corporate Governance 
Principles and Recommendations (ASX Code). Unless 
otherwise stated, these practices were in place for the entire 
ﬁ nancial year.

On 22 April 2015, Singtel announced Singtel’s delisting from 
the ASX. The delisting took eff ect on 5 June 2015. Singtel 
continues to be listed on the SGX and the delisting from the 
ASX will not materially aff ect Singtel’s compliance obligations 
or corporate governance policies and practices.

Continuing Commitment 
We are committed to ongoing improvement in corporate 
governance. The following are some of the key initiatives 
undertaken by the Board and Singtel during the ﬁ nancial year 
ended 31 March 2015:

•  To ensure that Singtel continues to be able to meet 

the challenges and demands of the markets in which it 
operates, the Board is focused on enhancing the skills, 
expertise and perspectives on the Board in a structured 
way by proactively mapping out Singtel’s Board 
composition needs over the short and medium term 
(Board Progression Plan). In this connection, the Board has 
appointed an independent consultant to advise the Board 
on the Board Progression Plan and to assist the Board in 
identifying suitable candidates to join the Board. 

•  The Board is committed to pursuing gender diversity 
in relation to the composition of the Board. In this 
connection, the Corporate Governance and Nominations 
Committee (CGNC) will ensure that female candidates 
are included for consideration by the CGNC whenever it 
seeks to identify a new Director for the Board. In addition, 
the Board will strive to appoint at least one female 
Director to the CGNC. These guidelines have been 
embedded in the CGNC’s terms of reference.

• 

In April 2014, the Board established a Technology Advisory 
Panel (TAP), comprising distinguished international 
members, to advise the Board and Management in the 
area of digital technology. The TAP is chaired by Mr Koh 
Boon Hwee, and the members of the Panel are Messrs 
Gregory Becker, Venky Ganesan, Doug Haynes, Lim 
Chuan Poh, Jonathan Miller and Erez Ofer.

•  The Optus Advisory Committee, which was established 

as a Board committee to review strategic business issues 
relating to the Australian business, was reconstituted in 
September 2014 as an advisory committee and expanded 
to include non-Board members with experience and 
expertise in the Australian market. 

•  Singtel embarked on a review of the way in which major 
incidents aff ecting Singtel’s operations are reported 
and escalated to Senior Management and the Board. 
Enhancements were made to the escalation process 
so as to ensure that major incidents aff ecting Singtel’s 
operations are promptly attended to and resolved at the 
right levels. The escalation process provides a framework 
for the reporting of such incidents according to their 
impact or potential impact on Singtel’s operations.

Ongoing Board Renewal
As part of our ongoing renewal of the Board, Mr Venky 
Ganesan and Ms Teo Swee Lian were appointed to the Board 
on 2 February 2015 and 13 April 2015 respectively. Mrs Fang 
Ai Lian and Mr Kai Nargolwala will be retiring from the Board 
upon the conclusion of the Annual General Meeting to be 
held on 21 July 2015, in line with the Board’s policy on tenure 
of directorships. 

Recognition
Singtel has received accolades from the investment 
community for excellence in corporate governance. More 
details are included in the “Key Awards and Accolades” 
section on pages 42 and 43.

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Corporate 
Governance

DIRECTORS’ ATTENDANCE AT BOARD MEETINGS DURING THE FINANCIAL YEAR ENDED 31 MARCH 2015 (1) 

Name of Director

Simon Israel
Chua Sock Koong
Bobby Chin
Fang Ai Lian
Venky Ganesan (2)
Low Check Kian
Peter Mason AM (3)
Kai Nargolwala
Christina Ong (4)
Peter Ong
Teo Swee Lian (5) 
David Gonski (6) (7)
Dominic Ho (8)

Board Meetings

Number of 
Meetings Held

Number of 
Meetings Attended

7
7
7
7
1
7
7
7
7
7
–
7
3

7
7
7
7
1
7
7
6
6
7
–
7
3

Notes:
(1)  Refers to meetings held/attended while each Director was in office.
(2)   Mr Venky Ganesan was appointed to the Board on 2 February 2015.
(3)  Member of the Order of Australia.
(4)  Mrs Christina Ong was appointed to the Board on 7 April 2014.
(5)   Ms Teo Swee Lian was appointed to the Board on 13 April 2015, i.e. after the end of the financial year ended 31 March 2015.
(6)  Companion of the Order of Australia.
(7)  Mr David Gonski stepped down from the Board with effect from 1 April 2015. 
(8)   Mr Dominic Ho retired upon the conclusion of the AGM held on 25 July 2014.

BOARD MATTERS
Role of the Board and Conduct of its Aff  airs
The Board aims to create value for shareholders and 
ensure the long-term success of the Group by focusing 
on the development of the right strategy, business 
model, risk appetite, management, succession plan 
and compensation framework. It also seeks to align the 
interests of the Board and Management with that of 
shareholders and balance the interests of all stakeholders. 
In addition, the Board sets the tone for the entire 
organisation where ethics and values are concerned.

The Board oversees the business aff airs of the Singtel 
Group. It assumes responsibility for the Group’s overall 
strategic plans and performance objectives, ﬁ nancial 
plans and annual budget, key operational initiatives, 
major funding and investment proposals, ﬁ nancial 
performance reviews, compliance and accountability 
systems, and corporate governance practices. The Board 
also appoints the Group CEO, approves policies and 
guidelines on remuneration as well as the remuneration 
for the Board and Senior Management, and approves 
the appointment of Directors. In line with best practices 
in corporate governance, the Board also oversees long-
term succession planning for Senior Management. 

Singtel has established ﬁ nancial authorisation and 
approval limits for operating and capital expenditure, the 
procurement of goods and services, and the acquisition 
and disposal of investments. Apart from matters that 
speciﬁ cally require the Board’s approval, such as the 
issue of shares and dividend and other distributions, the 
Board approves transactions exceeding certain threshold 
limits, while delegating authority for transactions below 
those limits to Board Committees and the Management 
Committee to optimise operational effi  ciency.

The Board meets regularly and sets aside time at each 
scheduled meeting to meet without the presence of 
Management. Board meetings generally last a full day 
and may include presentations by senior executives and 
external consultants/experts on strategic issues relating 
to speciﬁ c business areas, as well as presentations by 
the Group’s associates. This allows the Board to develop 
a good understanding of the Group’s businesses and to 
promote active engagement with the Group’s partners 
and key executives. 

Typically, at least one Board meeting a year is held 
overseas, in a country where the Group has a signiﬁ cant 
investment, has an interest in investing, or where Board 

58

members can be exposed to new technology relevant to 
the Group’s growth strategy. On such occasions, the Board 
may meet with local business leaders and government 
offi  cials so as to help Board members gain greater insight 
into such countries. The Board also meets Singtel’s partners 
and key customers in those countries to develop stronger 
relationships with such partners and customers. Singtel 
also arranges for the Board to meet with experts in the 
technology/digital space to enhance their knowledge in new 
growth areas and enable the Board to make more informed 
decisions. In addition to approximately seven scheduled 
meetings each year, the Board meets as and when warranted 
by particular circumstances. Seven Board meetings were 
held in the ﬁ nancial year ended 31 March 2015. Meetings via 
telephone or video conference are permitted by Singtel’s 
Articles of Association.

A record of the Directors’ attendance at Board meetings 
during the ﬁ nancial year ended 31 March 2015 is set out 
on page 58. Directors who are unable to attend a Board 
meeting are provided with the brieﬁ ng materials and can 
discuss issues relating to the matters to be discussed at 
the Board meeting with the Chairman or the Group CEO.

Directors are required to act in good faith and in the 
interests of Singtel. All new Directors appointed to the Board 
are briefed on the Group’s business activities, strategic 
direction and policies, key business risks, and the regulatory 
environment in which the Group operates, as well as their 
statutory and other duties and responsibilities as Directors. 
In line with best practices in corporate governance, the 
Singapore Code and the ASX Code, new Directors also sign 
a letter of appointment from the Company stating clearly 
the role of the Board and non-executive Directors, the 
time commitment that the Director would be expected to 
allocate, and other relevant matters.

Board Composition, Diversity and Balance
The size and composition of the Board are reviewed from 
time to time by the CGNC. The CGNC seeks to ensure that 
the size of the Board is conducive to eff ective discussion 
and decision making, and that the Board has an appropriate 
number of independent Directors. The CGNC also aims 
to maintain a diversity of expertise, skills and attributes among 
the Directors, including relevant core competencies in areas 
such as accounting and ﬁ nance, business and management, 
legal, industry/domain knowledge, strategic planning, 
customer-based experience and knowledge, and regional 
business expertise, and takes into account broader diversity 
considerations such as gender, age and nationality/ethnicity. 
When a Board position becomes vacant or additional 
Directors are required, the CGNC will select and recommend 
candidates on the basis of their skills, experience and 
knowledge, taking into account the need for board diversity. 
Any potential conﬂ icts of interest are taken into consideration.

In order to ensure that Singtel continues to be able to 
meet the challenges and demands of the markets in which 
Singtel operates, the Board is focused on enhancing the 
diversity of skills, expertise and perspectives on the Board in 
a structured way by proactively mapping out Singtel’s Board 
composition needs over the short and medium term (Board 
Progression Planning). This is an ongoing process facilitated 
by an independent consultant and is informed by a series 
of detailed interviews between the consultant and each 
member of the Board as well as key management members. 

Reﬂ ecting the focus of the Group’s business in the region, 
four of Singtel’s 11 Directors are from, and have extensive 
experience in, jurisdictions outside Singapore, namely, 
the Chairman, Mr Simon Israel, and non-executive Directors, 
Messrs Venky Ganesan, Peter Mason AM and Kai Nargolwala. 
In relation to gender diversity, approximately 36% of the 
Singtel Board, or four out of the 11 Board members, 
are female.

The Board is committed to pursuing gender diversity in 
relation to the composition of the Board. In determining 
the process for identiﬁ cation of suitable candidates for 
appointment to the Board, the CGNC will take into account 
its diversity aspirations for the Board. In this connection, the 
CGNC will ensure that female candidates are included for 
consideration by the CGNC whenever it seeks to identify 
a new Director for the Board. In addition, the Board will 
strive to appoint at least one female Director to the CGNC. 
Having said that, Singtel is of the view that gender is but 
one aspect of diversity and Singtel Directors will continue 
to be selected on the basis of their experience, skills, 
knowledge, insight and relevance to the Board.

In order to help attract high calibre international directors 
to the Singtel Board, especially in the case of candidates 
who come from jurisdictions where it is common practice 
for companies to grant Deeds of Indemnity to their directors, 
Singtel has adopted a policy on the award of Deeds of 
Indemnity to Directors to ensure that they are adequately 
covered against personal liability incurred in the course of 
performing their professional duties.

The Board, taking into account the views of the CGNC, 
assesses the independence of each Director in accordance 
with the guidance in the Singapore Code. A Director is 
considered independent if he has no relationship with the 
Group or its offi  cers that could interfere, or be reasonably 
perceived to interfere, with the exercise of his independent 
business judgement in the best interests of Singtel. 

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The Board takes into account the existence of relationships 
or circumstances that are relevant in its determination as 
to whether a Director is independent. Such relationships or 
circumstances include the employment of a Director 

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Corporate 
Governance

by the Company or any of its related corporations 
during the ﬁ nancial year in question or any of the previous 
three ﬁ nancial years; the acceptance by a Director of 
any signiﬁ cant compensation from the Company or any 
of its related corporations for the provision of services 
during the ﬁ nancial year in question or the previous 
ﬁ nancial year, other than compensation for board service; 
and a Director being related to any organisation from 
which Singtel or any of its subsidiaries received signiﬁ cant 
payments or material services during the ﬁ nancial year 
in question or the previous ﬁ nancial year. 

Ms Chua Sock Koong, Singtel’s Group CEO; Mr Simon 
Israel, Chairman of the Singtel Board; and Mr Peter Ong, 
Permanent Secretary of the Ministry of Finance, 
Singapore are the only non-independent Directors. 
All other members of the Board are considered to be 
independent Directors.

The Board has examined the diff erent relationships 
identiﬁ ed by the Singapore Code and the ASX Code 
that might impair the Directors’ independence and 
objectivity, and is satisﬁ ed that the Directors are able 
to act with independent judgement. 

In particular, the Board noted that while Mrs Christina 
Ong is a partner at Allen & Gledhill LLP (A&G) and A&G 
provides legal services to, and receives fees from, the 
Singtel Group, she has an interest of less than 5% in 
A&G. Mrs Ong is also a non-executive director of SIA 
Engineering Company Limited (SIAEC), a subsidiary of 
Temasek Holdings (Private) Limited (Temasek). Temasek 
has an interest of approximately 51% in Singtel. The SIAEC 
group obtains telecommunication services from, and 
makes payments to, the Singtel Group in the ordinary 
course of business. The Board considers that these 
relationships do not aff ect Mrs Christina Ong’s ability 
and willingness to operate independently. 

The Board also noted that Mr Bobby Chin was appointed 
to the Board of Temasek, the major shareholder of Singtel, 
on 10 June 2014. After due consideration, the Board 
continues to regard Mr Chin as independent as he does 
not represent Temasek on the Singtel Board and he is 
not accustomed or under an obligation whether formal 
or informal, to act in accordance with the directions, 
instructions or wishes of Temasek. As Mr Chin has 
demonstrated independence in character and judgement 
in the discharge of his responsibilities, the Board is 
satisﬁ ed that he will continue to exercise independent 
judgement and act in the best interests of Singtel and its 
security holders generally.

The proﬁ le of each Director and other relevant 
information are set out under “Board of Directors” 

and “Past Chairmanships and Directorships” from 
pages 45 to 49.

The Chairman and the Group CEO
The Chairman of the Board is a non-executive 
appointment and is separate from the offi  ce of the 
Group CEO. The Chairman leads the Board and is 
responsible for ensuring the eff ectiveness of the Board 
and its governance processes, while the Group CEO 
is responsible for implementing the Group’s strategies 
and policies, and for conducting the Group’s business. 
The Chairman and the Group CEO are not related.

Role of the Chairman
The Chairman is responsible for leadership of the Board 
and is pivotal in creating the conditions for overall Board, 
Committee and individual Director eff ectiveness, both 
inside and outside the boardroom. This includes setting 
the agenda of the Board in consultation with the Directors 
and the Group CEO, and promoting active engagement 
and an open dialogue among the Directors, as well as 
between the Board and the Group CEO. 

The Chairman ensures that the performance of the 
Board is evaluated regularly, and guides the development 
needs of the Board. The Chairman leads the evaluation 
of the Group CEO’s performance and works with the 
Group CEO in overseeing talent management to ensure 
that robust succession plans are in place for the senior 
leadership team. 

The Chairman works with the Board, the relevant 
Board Committees and Management to establish the 
boundaries of risk undertaken by the Group and ensure 
that governance systems and processes are in place 
and regularly evaluated.

The Chairman plays a signiﬁ cant leadership role 
by providing clear oversight, advice and guidance 
to the Group CEO and Management on strategy and 
the drive to transform Singtel’s businesses. This involves 
developing a keen understanding of the Group’s diverse 
and complex businesses, the industry, partners, regulators 
and competitors. 

The Chairman provides support and advice to, and acts 
as a sounding board for, the Group CEO, while respecting 
executive responsibility. He engages with other members 
of the senior leadership regularly.

The Chairman also maintains eff ective communications 
with large shareholders and supports the Group CEO in 
engaging with a wide range of other stakeholders such as 
partners, governments and regulators where the Group 
operates. He travels overseas to visit the Group’s key 

60

associates in the region and, in the process, fosters strong 
relationships with the Group’s partners and gathers valuable 
feedback for Management to consider and follow up on.

The scope and extent of the Chairman’s and the Board’s 
responsibilities and obligations have been expanding 
due to the increased focus on corporate governance, 
risk management, regulation and compliance. Given the 
increased demands, the Chairman in particular spends 
more time on, and is more hands-on in, the aff airs of the 
Group. The Board has agreed with the Chairman that 
he will commit a signiﬁ cant proportion of his time to 
his role and will manage his other time commitments 
accordingly.

Role of the Lead Independent Director
The Lead Independent Director is appointed by the Board 
to serve in a lead capacity to coordinate the activities of the 
non-executive Directors in circumstances where it would be 
inappropriate for the Chairman to serve in such capacity. 
He also assists the Chairman and the Board to assure 
eff ective corporate governance in managing the aff airs 
of the Board and the Company.

The Lead Independent Director serves as chairman of 
the CGNC. The role of the Lead Independent Director 
includes meeting with the non-executive Directors without 
the Chairman present at least annually to appraise the 
Chairman’s performance and on such other occasions as 
are deemed appropriate. He will also be available to 
shareholders if they have concerns relating to matters that 
contact through the Chairman, Group CEO or Group CFO 
has failed to resolve, or where such contact is inappropriate.

Board Membership
The CGNC establishes and reviews the proﬁ le required 
of Board members and makes recommendations to the 
Board on the appointment, re-nomination and retirement 
of Directors. 

When an existing Director chooses to retire or is required to 
retire from offi  ce by rotation, or the need for a new Director 
arises, the CGNC reviews the range of expertise, skills and 
attributes of the Board and the composition of the Board. 
The CGNC then identiﬁ es Singtel’s needs and prepares 
a shortlist of candidates with the appropriate proﬁ le for 
nomination or re-nomination. The Board has an ongoing 
process facilitated by an independent consultant to map 
out these needs. 

The CGNC takes factors such as attendance, preparedness, 
participation and candour into consideration when evaluating 
the past performance and contributions of a Director for 
recommendation to the Board. However, the re-nomination 
or replacement of a Director does not necessarily reﬂ ect the 

Director’s performance or contributions to the Board. The 
CGNC may have to consider the need to position and shape 
the Board in line with the evolving needs of Singtel and the 
business. In order to ensure Board renewal, the Board has in 
place guidelines on the tenure of the Chairman and Directors.

Directors must ensure that they are able to give suffi  cient 
time and attention to the aff airs of Singtel and, as part of its 
review process, the CGNC decides whether or not a Director 
is able to do so and whether he has been adequately carrying 
out his duties as a Director of Singtel. The Board has also 
adopted an internal guideline that seeks to address the 
competing time commitments that may be faced when a 
Director holds multiple board appointments. The guideline 
provides that, as a general rule, each Director should hold no 
more than six principal board appointments. The guideline 
includes the following: 

• 

In support of their candidature for directorship or 
re-election, Directors are to provide the CGNC with 
details of other commitments and an indication of 
the time involved. 

•  Non-executive Directors should consult the Chairman 
or chairman of the CGNC before accepting any new 
appointments as Directors.

A Director must retire from offi  ce at the third Annual 
General Meeting (AGM) after the Director was elected or 
last re-elected. A retiring Director is eligible for re-election 
by Singtel shareholders at the AGM. In addition, a Director 
appointed by the Board to ﬁ ll a casual vacancy or appointed 
as an additional Director may only hold offi  ce until the 
next AGM, at which time he will be eligible for re-election 
by shareholders. If at any AGM, fewer than three Directors 
would retire pursuant to the requirements set out above, 
the additional Directors to retire at that AGM shall be those 
who have been longest in offi  ce since their last re-election 
or appointment. The Group CEO, as a Director, is subject to 
the same retirement by rotation, resignation and removal 
provisions as the other Directors, and such provisions will 
not be subject to any contractual terms that may have been 
entered into with the Company. Shareholders are provided 
with relevant information on the candidates for election 
or re-election.

Board Performance
The Board and the CGNC strive to ensure that Directors 
on the Board possess the experience, knowledge and skills 
critical to the Group’s business so as to enable the Board 
to make sound and well-considered decisions.

Directors participate in an annual off site workshop with 
Senior Management to strategise and plan the Group’s 
longer-term strategy. Training and development programmes 

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for Directors include talks and presentations by renowned 
experts and professionals in various ﬁ elds such as 
telecommunications, technology, regulatory matters 
and the economic/business environment in relevant 
markets. The Directors may also attend other appropriate 
courses, conferences and seminars. In addition, Board 
meetings may be held in overseas locations where Board 
members can be exposed to new technology relevant 
to the Group’s growth strategy. The Board may also hold 
meetings in conjunction with key industry events where 
relevant experts would be invited to speak on issues 
relevant to the Group’s businesses.

Each year, the CGNC undertakes a process to assess 
the eff ectiveness of the Board as a whole and the Board 
Committees, as well as the contributions by each Director. 
During the ﬁ nancial year, an independent external 
consultant was appointed to facilitate the evaluation of 
the Board and Board Committees, as well as the Directors’ 
self and peer appraisal exercise. With the ongoing Board 
Progression Planning activities, the Board enhanced its 
Board eff ectiveness survey to include a key focus on the 
Board’s readiness to meet the challenges and demands of 
the markets in which Singtel operates. 

The survey was designed to (a) provide an evaluation of 
the current eff ectiveness of the Board and (b) support 
the Chairman and the Board to proactively consider 
what can enhance the readiness of the Board to address 
emerging strategic priorities for the Singtel Group. 
Directors were requested to complete appraisal forms 
to assess the Board’s impact and value add on critical 
issues, key components of Board and Board Committee 
eff ectiveness, as well as each individual Director’s 
contributions to the Board and Board Committees. 

The appraisal process included the evaluation of factors 
such as Board composition, information management, 
Board processes, Board Chairman, corporate social 
responsibility, management of the Company’s 
performance, Board priorities, Board Committee 
eff ectiveness, CEO performance and succession 
planning, Director development and management, risk 
management and overall perception of the Board. 

In addition to the appraisal exercise, the contributions 
and performance of each Director were assessed 
by the CGNC as part of its periodic reviews of the 
composition of the Board and the various Board 
Committees. In the process, the CGNC was able to 
identify areas for improving the eff ectiveness of the 
Board and its Committees. The Board was also able 
to assess the Board Committees through their regular 
reports to the Board on their activities.

Access to Information
Prior to each Board meeting, Singtel’s Management 
provides the Board with information relevant to matters 
on the agenda for the meeting. The Board also receives 
regular reports pertaining to the operational and ﬁ nancial 
performance of the Group, as well as regular updates, 
which include information on the Group’s competitors, 
and industry and technological developments. In addition, 
Directors receive analysts’ reports on Singtel and other 
telecommunications and digital companies on a quarterly 
basis. Such reports enable the Directors to keep abreast 
of key issues and developments in the industry, as well as 
challenges and opportunities for the Group. In line with 
Singtel’s commitment to conservation of the environment, 
as well as technology advancement, Singtel has done 
away with hard copy Board papers, and Directors are 
instead provided with tablet devices to enable them to 
access and read Board and Board Committee papers prior 
to and at meetings.

The Board has separate and independent access to the 
Senior Management and the Company Secretary at all 
times. Procedures are in place for Directors and Board 
Committees, where necessary, to seek independent 
professional advice, paid for by Singtel.

Role of the Company Secretary
The Company Secretary attends all Board meetings 
and is accountable directly to the Board, through 
the Chairman, on all matters to do with the proper 
functioning of the Board. 

Board and Management Committees
The following Board Committees assist the Board 
in executing its duties:

•  Audit Committee (AC)
•   Corporate Governance and Nominations Committee 

(CGNC)

•   Executive Resource and Compensation Committee 

(ERCC)

•   Finance and Investment Committee (FIC)
•   Risk Committee (RC).

In September 2014, the Optus Advisory Committee 
(OAC), then a Board Committee, was reconstituted as 
an advisory body comprising both Board and non-Board 
members. See page 66 for information on the OAC.

Each Board Committee may make decisions on matters 
within its terms of reference and applicable limits of 
authority. The terms of reference of each Committee 
are reviewed from time to time, as are the Committee 
structure and membership.

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The selection of Board Committee members requires careful 
management to ensure that each Committee comprises 
Directors with appropriate qualiﬁ cations and skills, and that 
there is an equitable distribution of responsibilities among 
Board members. The need to maximise the eff ectiveness of 
the Board, and encourage active participation and contribution 
from Board members, is also taken into consideration.

A record of each Director’s Board Committee memberships 
and attendance at Board Committee meetings during the 
ﬁ nancial year ended 31 March 2015 is set out on page 66.

Audit Committee

MEMBERSHIP
Fang Ai Lian, committee chairman and independent 
non-executive Director
Bobby Chin, independent non-executive Director
Christina Ong, independent non-executive Director 
(appointed to the AC with eff ect from 2 May 2014)
Peter Ong, non-executive Director
Teo Swee Lian, independent non-executive Director 
(appointed to the AC with eff ect from 13 April 2015)

Note: Dominic Ho stepped down as a Director and AC member with 
effect from the conclusion of the Annual General Meeting held on 
25 July 2014.

KEY OBJECTIVES
•  Assist the Board in discharging its statutory and other 
responsibilities relating to internal controls, ﬁ nancial 
and accounting matters, compliance, and business 
and ﬁ nancial risk management

The terms of reference of the AC provide that the AC 
shall comprise at least three Directors, all of whom are 
non-executive Directors and the majority of whom, 
including the chairman, are independent Directors. At least 
two members of the AC, including the AC chairman, must 
have recent and relevant accounting or related ﬁ nancial 
management expertise or experience. The chairman of the 
AC is a Director other than the Chairman of the Singtel Board.

The AC has explicit authority to investigate any matter 
within its terms of reference, and has the full cooperation 
of and access to Management. It has direct access to the 
internal and external auditors, and full discretion to invite any 
Director or executive offi  cer to attend its meetings. It also 
has the authority to review its terms of reference and its own 
eff ectiveness annually and recommend necessary changes 
to the Board.

The main responsibilities of the AC are to assist the Board 
in discharging its statutory and other responsibilities relating 
to internal controls, ﬁ nancial and accounting matters, 
compliance, and business and ﬁ nancial risk management.

The AC reports to the Board on the results of the audits 
undertaken by the internal and external auditors, the 
adequacy of disclosure of information, and the adequacy 
and eff ectiveness of the system of risk management and 
internal controls. It reviews the quarterly and annual 
ﬁ nancial statements with Management and the external 
auditors, reviews and approves the annual audit plans for 
the internal and external auditors, and reviews the internal 
and external auditors’ evaluation of the Group’s system 
of internal controls.

The AC is responsible for evaluating the cost eff ectiveness 
of audits, the independence and objectivity of the external 
auditors, and the nature and extent of the non-audit 
services provided by the external auditors to ensure that the 
independence of the external auditors is not compromised. 
It also makes recommendations to the Board on the 
appointment or re-appointment of the external auditors. 
In addition, the AC reviews and approves the Singtel Internal 
Audit Charter to ensure the independence and eff ectiveness 
of the internal audit function. At the same time, it ensures that 
the internal audit function is adequately resourced and has 
appropriate standing within Singtel. The AC also reviews the 
performance of Internal Audit, including approving decisions 
relating to appointment or removal of Group Chief Internal 
Auditor and approving the performance and compensation 
of the Group Chief Internal Auditor. A copy of the charter of 
the AC is available on the corporate governance page on 
the company’s website at http://info.singtel.com/about-us/
corporate-governance.

During the ﬁ nancial year, the AC reviewed the Management’s 
and Singtel Internal Audit’s assessment of fraud risk and held 
discussions with the external auditors to obtain reasonable 
assurance that adequate measures were put in place to 
mitigate fraud risk exposure in the Group. The AC also 
reviewed the adequacy of the whistle-blower arrangements 
instituted by the Group through which staff  and external 
parties may, in conﬁ dence, raise concerns about possible 
improprieties in matters of ﬁ nancial reporting or other 
matters. All whistle-blower complaints were reviewed by 
the AC at its quarterly meetings to ensure independent and 
thorough investigation and adequate follow-up.

The AC met four times during the ﬁ nancial year. At these 
meetings, the Group CEO, Group CFO, Deputy Group 
CFO, Vice President (Group Finance), Group Chief Internal 
Auditor and the respective CEOs of the businesses were also 
in attendance. During the ﬁ nancial year, the AC reviewed 
and endorsed the Group’s quarterly and full-year ﬁ nancial 
statements to the Board for approval and release. It reviewed 
the results of audits performed by Singtel Internal Audit 
based on the approved audit plan, signiﬁ cant litigation and 

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63

 
 
 
 
 
 
 
Corporate 
Governance

fraud investigations, Singtel’s register of interested person 
transactions and non-audit services rendered by the 
external auditors. The AC also met with the internal and 
external auditors, without the presence of Management, 
during the ﬁ nancial year.

The external auditors provided regular updates and 
periodic brieﬁ ngs to the AC on changes or amendments 
to accounting standards to enable the members of the AC 
to keep abreast of such changes and its corresponding 
impact on the ﬁ nancial statements, if any.

Corporate Governance and 
Nominations Committee

MEMBERSHIP
Kai Nargolwala, committee chairman and 
independent non-executive Director
Simon Israel, non-executive Chairman of the Singtel 
Board
Low Check Kian, independent non-executive Director
Christina Ong, independent non-executive Director 
(appointed to the CGNC with eff ect from 2 May 2014)

Note: Dominic Ho stepped down as a Director and CGNC member 
with effect from the conclusion of the Annual General Meeting 
held on 25 July 2014.

KEY OBJECTIVES
•  Establish and review the proﬁ le of Board members
•  Make recommendations to the Board on 

the appointment, renomination and retirement 
of Directors

•  Review the independence of Directors
•  Assist the Board in evaluating the performance of 

the Board, Board committees and Directors
•  Develop and review the Company’s corporate 

governance practices, taking into account relevant 
local and international developments in the area of 
corporate governance

The terms of reference of the CGNC provide that 
the CGNC shall comprise at least three Directors, the 
majority of whom, including the chairman, shall be 
independent. As part of its commitment to gender 
diversity, the Board will strive to appoint at least one 
female Director to the CGNC.

The main activities of the CGNC are outlined in the 
commentaries on “Board Composition, Diversity and 
Balance”, “Board Membership” and “Board Performance” 
from pages 59 to 62.

Executive Resource and 
Compensation Committee

MEMBERSHIP
Kai Nargolwala, committee chairman and 
independent non-executive Director
Fang Ai Lian, independent non-executive Director
Simon Israel, non-executive Chairman of the 
Singtel Board
Peter Mason AM, independent non-executive 
Director
Teo Swee Lian, independent non-executive Director 
(appointed to the ERCC with eff ect from 13 April 2015)

KEY OBJECTIVES
•  Oversee the remuneration of the Board and Senior 

Management

•  Set appropriate remuneration framework and 

policies, including long-term incentive schemes, 
to deliver annual and long-term performance of 
the Group

The ERCC plays an important role in helping to ensure 
that the Group is able to attract, recruit, motivate and 
retain the best talents through competitive remuneration 
and progressive and robust policies so as to achieve the 
Group’s goals and deliver sustainable shareholder value.

The terms of reference of the ERCC provide that the 
ERCC shall comprise at least three Directors, all of whom 
shall be non-executive and the majority of whom shall 
be independent. The ERCC is chaired by an independent 
non-executive Director. 

The main responsibilities of the ERCC, as delegated by 
the Board, are to oversee the remuneration of the Board 
and Senior Management. It sets appropriate remuneration 
framework and policies, including long-term incentive 
schemes, to deliver annual and long-term performance 
of the Group.

The ERCC has been tasked by the Board to approve or 
recommend to the Board the appointment, promotion 
and remuneration of Senior Management. The ERCC 
also recommends the Directors’ compensation for the 
Board’s endorsement. Directors’ compensation is subject 
to the approval of shareholders at the AGM. The ERCC’s 
recommendations cover all aspects of remuneration 
for Directors and Senior Management, including but not 
limited to Director’s fees, salaries, allowances, bonuses, 
options, share-based incentives, management awards, 
and beneﬁ ts-in-kind.

The CGNC met twice during the ﬁ nancial year ended 
31 March 2015, and also approved various matters by 
written resolution. 

The ERCC seeks expert advice and views on remuneration 
and governance matters from both within and outside 
the Group as appropriate. The ERCC draws on a pool of 

64

independent consultants for diversiﬁ ed views and speciﬁ c 
expertise. The ERCC will ensure that existing relationships, 
if any, between the Group and its appointed remuneration 
consultants will not aff ect the independence and objectivity 
of the remuneration consultants.

The ERCC approves or recommends termination payments, 
retirement payments, gratuities, ex-gratia payments, 
severance payments and other similar payments to Senior 
Management. The ERCC ensures that contracts of service 
for Senior Management contain fair and reasonable 
termination clauses that are not overly generous.

The ERCC also ensures that appropriate recruitment, 
development and succession planning programmes are 
in place for key executive roles, with the objective of 
building strong and sound leadership bench strength 
for long-term sustainability of the business. The ERCC 
conducts, on an annual basis, a succession planning 
review of Senior Management.

The Group CEO, who is not a member of the ERCC, may 
attend meetings of the ERCC but does not attend discussions 
relating to her own performance and remuneration. Singtel’s 
remuneration policy and remuneration for Directors and 
Senior Management are discussed in this report from pages 
71 to 77.

The ERCC met four times during the ﬁ nancial year ended 
31 March 2015.

Finance and Investment 
Committee

MEMBERSHIP
Simon Israel, committee chairman and non-executive 
Chairman of the Singtel Board
Venky Ganesan, independent non-executive Director 
(appointed to the FIC with eff ect from 11 February 2015)
Low Check Kian, independent non-executive Director
Kai Nargolwala, independent non-executive Director 

KEY OBJECTIVES
•  Provide advisory support on the development of the 

Singtel Group’s overall strategy and on strategic issues 
for the Singapore and international businesses 
•  Consider and approve investments and divestments
•  Review and approve changes in the Singtel Group’s 

investment and treasury policies

•  Evaluate and approve any ﬁ nancing off ers and 

banking facilities and manage the Singtel Group’s 
liabilities in line with the Singtel Board’s policies and 
directives

•  Oversee any on-market share repurchases pursuant 

to Singtel’s share purchase mandate

The terms of reference of the FIC provide that the FIC shall 
comprise at least three Directors, the majority of whom 
shall be independent Directors. Membership of the AC and 
the FIC is mutually exclusive. 

The FIC met six times during the ﬁ nancial year ended 
31 March 2015.

Risk Committee

MEMBERSHIP
Bobby Chin, committee chairman and independent 
non-executive Director
Peter Ong, non-executive Director
Teo Swee Lian, independent non-executive Director 
(appointed to the RC with eff ect from 13 April 2015)

Note: David Gonski was a member of the RC for the financial year 
ended 31 March 2015. He stepped down as a Director and RC member 
at the end of the financial year ended 31 March 2015.

KEY OBJECTIVES
•  Assist the Board in fulﬁ lling its responsibilities in 

relation to governance of material risks in the Group’s 
business, which include ensuring that Management 
maintains a sound system of risk management and 
internal controls to safeguard shareholders’ interests 
and the Group’s assets, and determining the nature 
and extent of the material risks that the Board is 
willing to take in achieving the Group’s strategic 
objectives

The terms of reference of the RC provide that the RC shall 
comprise at least three members, the majority of whom, 
including the chairman, shall be independent. Members of 
the RC are appointed by the Board, on the recommendation 
of the CGNC. There is at least one common member 
between the RC and the AC. 

The RC reviews the Group’s strategy, policies, framework, 
processes and procedures for the identiﬁ cation, 
measurement, reporting and mitigation of material risks in 
the Group’s business and reports any signiﬁ cant matters, 
ﬁ ndings and recommendations in this regard to the Board.

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meetings to be convened as deemed necessary by the 
chairman of the RC. The RC met four times during the 
ﬁ nancial year ended 31 March 2015.

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Corporate 
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DIRECTORS’ BOARD COMMITTEE MEMBERSHIPS AND ATTENDANCE AT BOARD COMMITTEE MEETINGS 
DURING THE FINANCIAL YEAR ENDED 31 MARCH 2015 (1)

Audit 
Committee

Corporate 
Governance and 
Nominations 
Committee

Executive 
Resource and 
Compensation 
Committee

Finance and 
Investment 
Committee

Optus Advisory 
Committee (8)

Risk 
Committee

Number of 
Meetings 
Held

Number of 
Meetings 
Attended

Number of 
Meetings 
Held

Number of 
Meetings 
Attended

Number of 
Meetings 
Held

Number of 
Meetings 
Attended

Number of 
Meetings 
Held

Number of 
Meetings 
Attended

Number of 
Meetings 
Held

Number of 
Meetings 
Attended

Number of 
Meetings 
Held

Number of 
Meetings 
Attended

–
4
4
4
–
–
–
–
4
4
–
–
1

–
4
4
4
–
–
–
–
4
3
–
–
1

2
2
–
–
–
2
–
2
1
–
–
–
2

2
2
–
–
–
2
–
2
–
–
–
–
2

4
4
–
4
–
–
4
4
–
–
–
–
–

4
4
–
4
–
–
4
4
–
–
–
–
–

6
6
–
–
–
6
–
6
–
–
–
–
–

6
6
–
–
–
6
–
6
–
–
–
–
–

1
1
–
–
–
–
1
–
–
–
–
1
–

1
1
–
–
–
–
1
–
–
–
–
1
–

–
4
4
–
–
–
–
–
–
4
–
4
–

–
4
4
–
–
–
–
–
–
4
–
4
–

Name of Director

Simon Israel
Chua Sock Koong (2)
Bobby Chin
Fang Ai Lian
Venky Ganesan (3)
Low Check Kian
Peter Mason AM
Kai Nargolwala
Christina Ong (4)
Peter Ong
Teo Swee Lian (5) 
David Gonski (6)
Dominic Ho (7)

Notes:
(1)  Refers to meetings held/attended while each Director was in office. 
(2)  Ms Chua Sock Koong is not a member of the Committees, except the Optus Advisory Committee, although she was in attendance at meetings of 

those Committees as appropriate. 

(3)   Mr Venky Ganesan was appointed to the Board on 2 February 2015 and as a member of the Finance and Investment Committee on 11 February 2015.
(4)  Mrs Christina Ong was appointed to the Board on 7 April 2014 and as a member of the Audit Committee and the Corporate Governance and 

Nominations Committee on 2 May 2014.

(5)   Ms Teo Swee Lian was appointed to the Board and as a member of the Audit Committee, the Executive Resource and Compensation Committee and 

the Risk Committee on 13 April 2015, i.e. after the end of the financial year ended 31 March 2015.

(6)   Mr David Gonski stepped down as a Director and a member of the Risk Committee with effect from 1 April 2015. Mr Gonski remains a member of the 

Optus Advisory Committee.

(7)   Mr Dominic Ho retired as a Singtel Director following the conclusion of the AGM held on 25 July 2014.
(8)   The Optus Advisory Committee was reconstituted in September 2014 as an advisory body comprising both Board and non-Board members. 

The number of meetings in the table refers to the number of meetings held (as a Board committee) before the Optus Advisory Committee was 
reconstituted.

Management Committee 

Advisory Committee/Panel 

In addition to the ﬁ ve Board Committees and the 
two advisory bodies, Singtel has a Management 
Committee that comprises the Group CEO, CEO 
Group Enterprise, CEO Consumer Australia, CEO 
Consumer Singapore, Group Chief Corporate Offi  cer 
(Group CCO), Group CFO, Group Chief Human 
Resources Offi  cer (Group CHRO) and Group Chief 
Information Offi  cer (Group CIO).

The Management Committee meets every week 
to review and direct Management on operational 
policies and activities.

Singtel has two advisory bodies, the Optus Advisory 
Committee (OAC) and the Technology Advisory 
Panel (TAP).

The OAC, previously a Board committee, was 
reconstituted in September 2014 as an advisory body. 
The OAC comprises both Board and non-Board 
members, namely Mr Peter Mason AM (committee 
chairman and independent non-executive Director), 
Ms Chua Sock Koong, Mr David Gonski, Mr Simon 
Israel, Mr John Morschel and Mr Paul O’Sullivan. 
The OAC reviews strategic business issues relating 
to the Australian business.

The TAP was established in April 2014 to advise the 
Board in the area of digital technology. The TAP 
comprises distinguished international members and 
is chaired by Mr Koh Boon Hwee. The other members 
of the Panel are Messrs Gregory Becker, Venky 
Ganesan, Doug Haynes, Lim Chuan Poh, Jonathan 
Miller and Erez Ofer. 

66

ACCOUNTABILITY AND AUDIT
Accountability
Singtel recognises the importance of providing the Board 
with accurate and relevant information on a timely basis. 
Hence, Board members receive monthly ﬁ nancial and 
business reports from Singtel’s Management. Such reports 
compare Singtel’s actual performance against the budget, 
and highlight key business drivers/indicators and major 
issues that are relevant to Singtel’s performance, position 
and prospects.

Singtel IA also collaborates with the internal audit functions 
of Singtel’s regional mobile associates to promote joint 
reviews and the sharing of knowledge and/or best practices.

To ensure that the internal audits are performed eff ectively, 
Singtel IA recruits and employs suitably qualiﬁ ed professional 
staff  with the requisite skillsets and experience. Singtel IA 
provides training and development opportunities for its staff  
to ensure their technical knowledge and skillsets remain 
current and relevant.

For the ﬁ nancial year ended 31 March 2015, Singtel’s 
Group CEO and Group CFO have provided written 
conﬁ rmation to the Board on the integrity of Singtel’s 
ﬁ nancial statements and on the adequacy and eff ectiveness 
of Singtel’s risk management and internal control systems, 
addressing ﬁ nancial, operational and compliance risks 
including information technology risks. This certiﬁ cation 
covers Singtel and the subsidiaries that are under Singtel’s 
management control.

Internal Audit (IA)
Singtel IA comprises a team of 55 staff  members, including 
the Group Chief Internal Auditor, who reports to the AC 
functionally and to the Group CEO administratively. Singtel 
IA is a member of the Singapore chapter of the Institute of 
Internal Auditors (IIA) and adopts the International Standards 
for the Professional Practice of Internal Auditing (the IIA 
Standards) laid down in the International Professional 
Practices Framework issued by the IIA. Singtel IA successfully 
completed its external Quality Assurance Review in 2014 
and continues to meet or exceed the IIA Standards in all 
key aspects.

Singtel IA adopts a risk-based approach in formulating the 
annual audit plan that aligns its activities to the key strategies 
and risks across the Group’s business. This plan is reviewed 
and approved by the AC. The reviews performed by Singtel 
IA are aimed at assisting the Board in promoting sound risk 
management, robust internal controls and good corporate 
governance, through assessing the design and operating 
eff ectiveness of controls that govern key business processes 
and risks identiﬁ ed in the overall risk framework of the 
Group. Singtel IA’s reviews also focus on compliance with 
Singtel’s policies, procedures and regulatory responsibilities, 
performed in the context of ﬁ nancial and operational, 
revenue assurance and information systems reviews.

Singtel IA works closely with Management in its internal 
consulting and control advisory role to promote eff ective risk 
management, robust internal control and good governance 
practices in the development of new products/services, and 
implementation of new/enhanced systems and processes. 

External Auditors
The Board is responsible for the initial appointment 
of external auditors. Shareholders then approve the 
appointment at Singtel’s AGM. The external auditors hold 
offi  ce until their removal or resignation. The AC assesses the 
external auditors based on factors such as the performance 
and quality of their audit and the independence of the 
auditors, and recommends their appointment to the Board. 
Pursuant to the requirements of the SGX, an audit partner 
may only be in charge of a maximum of ﬁ ve consecutive 
annual audits and may then return after two years. Deloitte 
& Touche LLP has met this requirement, and the current 
Deloitte & Touche LLP audit partner for Singtel took over 
from the previous audit partner with eff ect from 26 July 
2013. Singtel has complied with Rules 712 and 715 of the 
Listing Manual issued by SGX in relation to the appointment 
of its auditors.

In order to maintain the independence of the external 
auditors, Singtel has developed policies regarding the types 
of non-audit services that the external auditors can provide 
to the Singtel Group and the related approval processes. The 
AC has also reviewed the non-audit services provided by the 
external auditors during the ﬁ nancial year and the fees paid 
for such services. The AC is satisﬁ ed that the independence 
of the external auditors has not been impaired by the 
provision of those services. The external auditors have also 
provided conﬁ rmation of their independence to the AC.

Risk Management and Internal Controls
The Board has overall responsibility for the governance of risk 
and exercises oversight of the material risks in the Group’s 
business. During the ﬁ nancial year ended 31 March 2015, the 
Risk Committee assisted the Board in the oversight of the 
Group’s risk proﬁ le and policies, adequacy and eff ectiveness 
of the Group’s risk management system including 
the framework and process for the identiﬁ cation and 
management of signiﬁ cant risks, and reports to the Board on 
material matters, ﬁ ndings and recommendations pertaining to 
risk management. The AC provides oversight of the ﬁ nancial 
reporting risk and the adequacy and eff ectiveness of the 
Group’s internal control and compliance systems. 

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Corporate 
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The Board has approved a Group Risk Framework for 
the identiﬁ cation of key risks within the business. This 
Framework deﬁ nes 27 categories of risks ranging from 
environmental to operational and management decision-
making risks. The Group’s risk management and internal 
control framework is aligned with the ISO 31000:2009 
Risk Management framework and the Committee of 
Sponsoring Organisations of the Treadway Commission 
(COSO) Internal Controls Integrated Framework. Major 
incidents and violations, if any, are also reported to 
the Board to facilitate the Board’s oversight of the 
eff ectiveness of crisis management and the adequacy of 
mitigating measures taken by Management to address the 
underlying risks. 

The identiﬁ cation and management of risks are 
delegated to Management, who assumes ownership 
and day-to-day management of these risks. Management 
is responsible for the eff ective implementation of risk 
management strategy, policies and processes to facilitate 
the achievement of business plans and goals within the 
risk tolerance established by the Board. Key business risks 
are proactively identiﬁ ed, addressed and reviewed on 
an ongoing basis. 

The Risk Management Committee, comprising relevant 
members from the Senior Management team, is 
responsible for setting the direction of corporate risk 
management and monitoring the implementation of 
risk management policies and procedures including 
the adequacy of the Group’s insurance programme. 
The Risk Management Committee reports to the RC 
on a regular basis. 

The Board has established a Risk Appetite Statement and 
Risk Tolerance Framework to provide guidance to the 
Management on key risk parameters. The signiﬁ cant risks 
in the Group’s business, including mitigating measures, 
were also reviewed by the Risk Committee on a quarterly 
basis and reported to the Board. Risk registers are 
maintained by the business and operational units which 
identify the key risks facing the Group’s business and the 
internal controls in place to manage those risks. The RC 
had reviewed the Group’s risk management framework 
during the reporting period and was satisﬁ ed that it 
continued to be sound.

in response to the recommendations made by the 
internal and external auditors. Control self-assessments 
in key areas of the Group’s operations are conducted 
by Management on a periodic basis to evaluate the 
adequacy and eff ectiveness of the risk management and 
internal control systems, including quarterly and annual 
certiﬁ cations by Management to the AC and the Board 
respectively, on the integrity of ﬁ nancial reporting and 
the adequacy and eff ectiveness of the risk management, 
internal control and compliance systems. 

The Group has put in place a Board Escalation Process, 
where major incidents and violations, including major/
material operational loss events and potential breaches 
of laws and regulations by the Company and/or its key 
offi  cers, are required to be reported by Management/
Internal Audit to the Board immediately to facilitate 
the Board’s oversight of crisis management, and 
adequacy and eff ectiveness of follow-up actions taken 
by Management. Through this process, the Board has 
been kept informed promptly of any incidents with 
potential material ﬁ nancial, operational, compliance and 
technology risk impact. 

Following a ﬁ re which broke out in the cable chamber of 
the Bukit Panjang Exchange on 9 October 2013, Singtel 
established a Board Committee of Inquiry (BCOI) to provide 
an objective and expert review of the incident focusing 
on key areas of ﬁ re prevention, network reliability and 
resiliency, and crisis communication and management. 
The BCOI’s ﬁ ndings and recommendations were released 
to the public on 16 December 2013. Management 
accepted all the ﬁ ndings and recommendations of the 
BCOI and took appropriate and timely follow-up actions 
to prevent the recurrence of a similar incident. During 
the ﬁ nancial year, the Board had reviewed the follow-up 
actions taken by Management and was satisﬁ ed that all the 
recommendations of the BCOI had been followed up and 
adequately addressed by Management. 

The Board has received assurance from the Group CEO 
and Group CFO on the eff ectiveness of the Group’s risk 
management and internal control systems, and that the 
ﬁ nancial records have been properly maintained and 
the ﬁ nancial statements give a true and fair view of the 
Group’s operations and ﬁ nances. 

Internal and external auditors conduct audits that involve 
testing the eff ectiveness of the material internal control 
systems in the Group, addressing ﬁ nancial, operational 
and compliance risks. Any material non-compliance 
or lapses in internal controls together with remedial 
measures recommended by internal and external auditors 
are reported to the AC. The AC also reviews the adequacy 
and timeliness of the actions taken by Management 

Based on the internal controls established and maintained 
by the Group, work performed by internal and external 
auditors, and reviews performed by Management 
and various Board Committees, the Board, with the 
concurrence of the AC, is of the opinion that the Group’s 
internal controls and risk management framework and 
systems were adequate and eff ective as at 31 March 2015 
to address ﬁ nancial, operational and compliance risks, 

68

including information technology risk, which the Group 
considers relevant and material to its operations. 

The system of internal control and risk management 
established by Management provides reasonable, but 
not absolute, assurance that Singtel will not be adversely 
aff ected by any event that can be reasonably foreseen as 
it strives to achieve its business objectives. However, the 
Board also notes that no system of internal controls and risk 
management can provide absolute assurance in this regard, 
or absolute assurance against poor judgement in decision 
making, human error, losses, fraud or other irregularities. 

Further details of the Group’s Risk Management Philosophy 
and Approach can be found on pages 80 to 87.

Communication with Shareholders
Singtel remains committed to delivering high standards 
of corporate disclosure and transparency through an 
open and non-discriminatory approach towards our 
communications with shareholders, the investment 
community and the media. Singtel provides regular and 
relevant information regarding the Group’s performance, 
progress and prospects to aid shareholders and investors 
in their investment decisions.

Over the year, Singtel has won recognition from leading 
business journals and investor associations for its strong 
emphasis and proactive approach to shareholder 
communication and engagement.

The Singtel Investor Relations (IR) website is a key resource 
of information for the investment community. It contains a 
wealth of investor-related information on Singtel, including 
investor presentations, webcasts of earnings presentations, 
transcripts of earnings conference calls, annual reports, 
upcoming events, shares and dividend information, and 
investor factsheets.

Singtel makes timely disclosures of any new material 
information to the SGX and ASX. These ﬁ lings are also 
posted on the Singtel IR website, allowing investors to 
keep abreast of strategic and operational developments.

Singtel reports ﬁ nancial results on a quarterly basis: typically 
within 45 days from the end of each ﬁ nancial quarter. The 
quarterly ﬁ nancial results announcements contain detailed 
ﬁ nancial disclosures and in-depth analyses of key value-
drivers and metrics for the Group’s businesses.

Singtel also provides ﬁ nancial guidance for its businesses 
at the beginning of each ﬁ nancial year, and may affi  rm or 
update the guidance every quarter to accurately reﬂ ect 
prevailing market conditions.

Singtel proactively engages shareholders and the investment 
community through group and one-on-one meetings, 
conference calls, email communications, investor conferences 
and roadshows. This year, Singtel engaged over 500 investors 
in 250 meetings and conference calls in Singapore, Australia 
and other global ﬁ nancial centres. These events enable us to 
share the Group’s business strategy, operational and ﬁ nancial 
performance, and business prospects. While these meetings 
are largely undertaken by Singtel’s Senior Management, 
the Chairman and certain Board members also meet with 
investors every year.

To ensure a two-way ﬂ ow of information, Singtel 
commissions an annual survey of investors’ perceptions 
to solicit feedback from the investment community on a 
range of strategic and topical issues. The survey provides 
the Singtel Board and Management with invaluable insights 
into investors’ views of the Group and helps Singtel identify 
areas for improvement in investor communication.

Singtel strongly encourages and supports shareholder 
participation at AGMs. Singtel delivers the Notice of AGM 
and related information a month ahead, providing ample 
time for shareholders to review the Notice of AGM and 
appoint proxies to attend the AGM if they wish. The Notice 
of AGM is also advertised in the Straits Times for the beneﬁ t 
of shareholders. Singtel holds its AGM at a central location in 
Singapore with convenient access to public transportation. 
A registered shareholder who is unable to attend may 
choose to appoint up to two proxies to attend and vote on 
his behalf. Under Singtel’s Articles of Association, the Central 
Provident Fund Board may appoint more than two proxies.

At each AGM, the Group CEO delivers a presentation to 
update shareholders on Singtel’s progress over the past year. 
The Directors and Senior Management are in attendance to 
address queries and concerns about Singtel. Singtel’s external 
auditors also attend to help address shareholders’ queries 
relating to the conduct of the audit and the preparation and 
content of the auditors’ reports. All resolutions at Singtel’s 
AGM and (if applicable) Extraordinary General Meeting are 
voted on by electronic poll so as to better reﬂ ect shareholders’ 
shareholding interests and ensure greater transparency. The 
poll voting results, in addition to the proxy voting results, are 
presented to the audience and subsequently ﬁ led with the 
stock exchanges. Voting in absentia by mail, facsimile or email 
is currently not permitted to ensure proper authentication 
of the identity of shareholders and their voting intent. The 
minutes of the AGM and any Extraordinary General Meeting 
are posted on Singtel’s website.

Securities Transactions
Singtel has in place a Securities Transactions Policy, which 
provides that Directors and top management members 
and persons who are in attendance at Board and top 

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Corporate 
Governance

management meetings (Key Offi  cers) should not deal in 
Singtel shares during the period commencing two weeks 
before the announcement of Singtel’s ﬁ nancial statements 
for each of the ﬁ rst three quarters of the ﬁ nancial year, 
and during the period commencing one month before 
the announcement of the ﬁ nancial statements for 
the full ﬁ nancial year and ending on the date of the 
announcement of the relevant results. 

The policy also discourages trading on short-term 
considerations and reminds Directors and offi  cers of 
their obligations under insider trading laws. Directors 
and offi  cers of the Group wishing to deal in Singtel 
shares during a closed period must secure prior written 
approval of the Chairman (in the case of Directors of 
Singtel), the Lead Independent Director (in the case of 
the Chairman) or the Group CEO (in the case of directors 
of Singtel subsidiaries and Key Offi  cers). Requests for 
written approval must contain a full explanation of 
the exceptional circumstances and proposed dealing. 
If approval is granted, trading must be undertaken in 
accordance with the limits set out in the written approval. 
Directors are to inform the Company Secretary before 
trading in Singtel shares. The Board is kept informed 
when a Director trades in Singtel securities. A summary of 
Singtel’s Securities Transactions Policy is available in the 
Corporate Governance section of the Singtel corporate 
website.

In relation to shares of other companies, Directors 
are prohibited from trading in shares of Singtel’s listed 
associates when in possession of material price-sensitive 
information relating to such associates. Directors are 
also to refrain from having any direct or indirect ﬁ nancial 
interest in Singtel’s competitors that might or might 
appear to create a conﬂ ict of interest or aff ect the 
decisions Directors make on behalf of Singtel.

Continuous Disclosure
There are formal policies and procedures to ensure 
that Singtel complies with its disclosure obligations 
under the listing rules of the SGX and ASX. A Market 
Disclosure Committee is responsible for Singtel’s 
Market Disclosure Policy. The policy contains guidelines 
and procedures for internal reporting and decision-
making with regard to the disclosure of material 
information.

Material Contracts
There are no material contracts entered into by Singtel 
or any of its subsidiaries that involve the interests of the 
Group CEO, any Director, or the controlling shareholder, 
Temasek Holdings (Private) Limited.

Codes of Conduct and Practice
Singtel has a code of internal corporate governance 
practices, policy statements and standards as described 
in this report, and makes this code available to Board 
members as well as employees of the Group. The 
processes and standards in the code are intended 
to enhance investor conﬁ dence and rapport, and to 
ensure that decision-making is properly carried out 
in the best interests of the Group. The code is reviewed 
from time to time and updated to reﬂ ect changes 
to the existing systems or the environment in which 
the Group operates.

Singtel also has a strict code of conduct that applies to 
all employees. The code sets out principles to guide 
employees in carrying out their duties and responsibilities 
to the highest standards of personal and corporate 
integrity when dealing with Singtel, its competitors, 
customers, suppliers and the community. The code 
covers areas such as equal opportunity employment 
practices, workplace health and safety, conduct in the 
workplace, business conduct, protection of Singtel’s 
assets, proprietary information and intellectual property, 
data protection, conﬁ dentiality, conﬂ ict of interest, and 
non-solicitation of customers and employees. The code 
is posted on Singtel’s internal website and a summarised 
version is accessible from the Singtel corporate website. 
Policies and standards are clearly stipulated to guide 
employees in carrying out their daily tasks.

Singtel has established an escalation process so that the 
Board of Directors, Senior Management, and internal and 
external auditors are kept informed of corporate crises in 
a timely manner, according to their severity. Such crises 
may include violations of the code of conduct and/or 
applicable laws and regulations, as well as loss events that 
have or are expected to have a signiﬁ cant impact, ﬁ nancial 
or otherwise, on the Group’s business and operations.

Whistle-Blower Policy
The Group is committed to a high standard of ethical 
conduct and adopts a zero tolerance approach to fraud 
and corruption. 

Singtel undertakes to investigate complaints of suspected 
fraud and corruption in an objective manner. To this end, 
it has put in place a whistle-blower policy and procedures 
that provide employees and other external parties with 
well-deﬁ ned and accessible channels within the Group. 
These include a direct channel to Singtel IA and whistle-
blower hotline services independently managed by 
external service providers, for reporting suspected fraud, 
corruption, unethical practices or other similar matters. 

70

The policy aims to encourage the reporting of such matters 
in good faith, with the conﬁ dence that employees and other 
persons making such reports will be treated fairly and, to the 
extent possible, protected from reprisal. 

On an ongoing basis, the whistle-blower policy is covered 
during staff  training and periodic communication to all 
staff  as part of the Group’s eff orts to promote awareness of 
fraud control. All whistle-blower complaints are investigated 
independently by Singtel IA or an independent investigation 
committee as appropriate, and the outcome of each 
investigation is reported to the AC. 

REMUNERATION
The broad principles that guide the ERCC in its administration 
of fees, beneﬁ ts, remuneration and incentives for the Board 
of Directors and Senior Management are set out below.

Remuneration of Non-Executive Directors 
Singtel’s Group CEO is an Executive Director and is, therefore, 
remunerated as part of Senior Management. She does not 
receive Directors’ fees.

The ERCC recommends the non-executive Directors’ fees for 
the Board’s endorsement and approval by shareholders. As 
Singtel has diverse and complex operations and investments 
internationally and is not just a Singapore-based company, 
the fees are benchmarked against fees paid by other 
comparable companies in Singapore and Australia, as well as 
comparable companies in other countries.

Singtel seeks shareholders’ approval at the AGM for Directors’ 
fees for the current ﬁ nancial year so that Directors’ fees can 
be paid on a half-yearly basis in arrears. No Director decides 
his own fees. 

Save as mentioned below, there are no retirement beneﬁ t 
schemes or share-based compensation schemes in place for 
non-executive Directors.

To align Directors with shareholders’ interests, Directors are 
encouraged to acquire Singtel shares each year from the 
open market until they hold the equivalent of one year’s 
fees in shares, and to continue to hold the equivalent of one 
year’s fees in shares while they remain on the Board.

Financial Year Ended 31 March 2015
For the ﬁ nancial year ended 31 March 2015, the fee for 
the Chairman was increased from S$220,000 (in respect 
of the previous ﬁ nancial year) to an all-inclusive fee of 
S$960,000 (save for car-related beneﬁ ts). The fee was paid 
approximately two-thirds in cash and approximately one-
third in Singtel shares. No separate retainer fees, committee 

fees, attendance fees or travel allowance were paid to the 
Chairman. The changes to the Chairman’s fee structure 
were disclosed in the 2014 Annual Report. 

The fees for non-executive Directors (other than the 
Chairman) comprised a basic retainer fee, additional fees for 
appointment to Board Committees, attendance fees for ad 
hoc Board meetings and a travel allowance for Directors who 
were required to travel out of their country or city of residence 
to attend Board meetings and Board Committee meetings 
that did not coincide with Board meetings. The framework 
for determining non-executive Directors’ fees for the ﬁ nancial 
year ended 31 March 2015 was the same as the framework for 
the previous ﬁ nancial year and is set out below. 

Basic Retainer Fee
Board Chairman
Director

Fee for appointment to 
Audit Committee and Finance 
and Investment Committee
Committee chairman 
Committee member

Fee for appointment to 
Executive Resource and 
Compensation Committee
Committee chairman
Committee member

Fee for appointment to any 
other Board Committee
Committee chairman
Committee member

Attendance Fee per Ad Hoc 
Board meeting

Travel allowance for Board 
meetings and Board committee 
meetings that do not coincide with 
Board meetings (per day of travel 
required to attend meeting)

S$960,000 per annum
S$110,000 per annum

S$60,000 per annum
S$35,000 per annum

S$45,000 per annum
S$25,000 per annum

S$35,000 per annum
S$25,000 per annum

S$2,000

S$3,000

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Corporate 
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The aggregate Directors’ fees paid to non-executive 
Directors for the ﬁ nancial year ended 31 March 2015 was 
S$2,499,359 (details are set out in the table below).

Name of Director

Director’s Fees (S$) 

Directors, which is the same as the amount approved 
by shareholders for the ﬁ nancial year ended 31 March 
2015. It is proposed that the remuneration framework for 
Directors remains unchanged from the framework for 
the ﬁ nancial year ended 31 March 2015.

Simon Israel (1)
Bobby Chin 
Fang Ai Lian
Venky Ganesan (2)
Low Check Kian (3)
Peter Mason AM (4)
Kai Nargolwala
Christina Ong (5)
Peter Ong (6)
Teo Swee Lian (7)
David Gonski (8)
Dominic Ho (9)
Total 

960,000
180,000
195,000
22,750
170,000
186,556
225,000
163,017
170,000
NA 
158,111
68,925
2,499,359

Notes: 
(1) 

(3) 

In addition to the Director’s fees set out above, Mr Simon Israel also 
received car-related benefits with a taxable value of S$18,089.
(2)   Mr Venky Ganesan was appointed to the Board on 2 February 2015 
and the Finance and Investment Committee on 11 February 2015. 
In addition to the Director’s fees set out above, Mr Ganesan received 
fees of US$50,000 for the financial year ended 31 March 2015 in his 
capacity as a member of the Technology Advisory Panel.
In addition to the Director’s fees set out above, Mr Low Check Kian 
received aggregate fees of S$7,432.80 for the period 15 January 2015 
to 31 March 2015 in his capacity as a director of Singtel Innov8 Pte. Ltd.
In addition to the Director’s fees set out above, Mr Peter Mason AM 
received fees of S$19,454 in his capacity as a member of the 
reconstituted Optus Advisory Committee (OAC) for the period 
from 11 September 2014 to 31 March 2015. The OAC (previously 
a Board Committee) was reconstituted as an advisory body on 
11 September 2014.

(4) 

(5)   Mrs Christina Ong was appointed to the Board on 7 April 2014 and 
a member of the Audit Committee and the Corporate Governance 
and Nominations Committee on 2 May 2015.

(6)   Fees for the Singapore public sector Director, Mr Peter Ong, are 
processed in accordance with the framework of the Singapore 
Directorship and Consultancy Appointments Council.

(7)   Ms Teo Swee Lian was appointed to the Board and as a member of 

the Audit Committee, the Executive Resource and Compensation 
Committee and the Risk Committee on 13 April 2015 i.e. she was not 
a Director during the financial year ended 31 March 2015.

(8)   Mr David Gonski stepped down as a Director and member of the 

Risk Committee with effect from 1 April 2015. He remains a member 
of the OAC. The OAC was reconstituted as an advisory body on 
11 September 2014. In addition to Director’s fees, Mr Gonski received 
fees of S$13,896 in his capacity as a member of the reconstituted OAC 
for the period from 11 September 2014 to 31 March 2015. 
(9)   Mr Dominic Ho stepped down as a Director and member of the 

Audit Committee and the Corporate Governance and Nominations 
Committee following the conclusion of the AGM held on 25 July 2014.

No employee of the Group who is an immediate family 
member of a Director was paid remuneration that 
exceeded S$50,000 during the ﬁ nancial year ended 
31 March 2015.

Financial Year Ending 31 March 2016
For the ﬁ nancial year ending 31 March 2016, it is proposed 
that aggregate fees of up to S$2,950,000 be paid to the 

72

Remuneration of Executive 
Director and Senior Management

The remuneration framework and policy is designed 
to support the implementation of the Group’s strategy 
and to enhance shareholder value. The following 
are our guiding principles for remuneration to 
Senior Management:

ALIGNMENT WITH SHAREHOLDERS’ INTERESTS
•  Align interests between management and 

shareholders

•  Select appropriate performance metrics for 

annual and long-term incentive plans to support 
business strategies and ongoing enhancement 
of shareholder value

•  Ensure targets are appropriately set for threshold, 

target and stretch performance levels

•  Establish sound and structured funding to ensure 

aff ordability

COMPETITIVE REMUNERATION
•   Off er competitive packages to attract and retain 
highly experienced and talented individuals
•   Link a signiﬁ cant proportion of remuneration 
to performance, both on an annual and 
long-term basis

PAY-FOR-PERFORMANCE
•  Measure performance based on a holistic balanced 
scorecard approach, comprising both ﬁ nancial and 
non-ﬁ nancial metrics

•  Structure a signiﬁ cant but appropriate proportion 
of remuneration to be at risk, taking into account 
the risk policies of the Group

•   Build ﬂ exibility into the remuneration package to 
allow for performance-related clawback if long-
term performance targets are not met

EFFECTIVE IMPLEMENTATION
•   Meet rigorous corporate governance requirements

The ERCC recognises that the Group operates in a 
multinational and multifaceted environment and reviews 
remuneration through a process that considers Group, 
business unit and individual performance as well as 
relevant comparative remuneration in the market.

For FY 2015, the performance evaluation for Senior 
Management has been conducted in accordance with 
the above considerations.

During the year, the ERCC engaged Aon Hewitt Singapore 
Pte Ltd (Aon Hewitt) to provide valuation and vesting 
computation for grants awarded under the Singtel 
Performance Share Plan 2012, and to conduct Executive 
Remuneration Benchmarking for Senior Management. 
Aon Hewitt and its consultants are independent and not 
related to the Group or any of its Directors.

Singtel may, under special circumstances, compensate 
Senior Management for their past contributions when their 
services are no longer needed, in line with market practice; 
for example, due to redundancies arising from reorganisation 
or restructuring of the Group.

The ERCC has the discretion not to award incentives 
in any year if an executive is involved in misconduct or 
fraud resulting in ﬁ nancial loss to the company.

Remuneration Structure
The remuneration structure is designed such that the 
percentage of the performance-related components 
of Senior Management’s remuneration increases as 
they move up the organisation. 

On an annual basis, the ERCC proposes the compensation 
for the Group CEO, CEO Consumer Australia, CEO Group 
Enterprise, CEO Group Digital Life, CEO Consumer 
Singapore, CEO International, Group CCO and Group CFO 
for the Board’s approval and approves compensation for 
the other Senior Management.

The key remuneration components for Senior Management 
are summarised below:

FIXED COMPONENTS

PERFORMANCE-RELATED COMPONENTS

TOTAL 
REMUNERATION

=

BASE
SALARY

BENEFITS & 
PROVIDENT / 
SUPERANNUATION

+

VARIABLE 
BONUS

LONG-TERM 
INCENTIVES

Fixed Components

BASE SALARY
The base salary reﬂ ects the market worth of the job but 
may vary with responsibilities, qualiﬁ cations and the 
experience that the individual brings to the role.

BENEFITS & PROVIDENT / SUPERANNUATION FUND
Beneﬁ ts & Provident / Superannuation Fund provided 
are in line with local market practices and legislative 
requirements.

Policy
This is approved by the Board based on ERCC’s 
recommendation and reviewed annually against:
(i)  peers of similar ﬁ nancial size and complexity to 

Group; and

(ii)  pay and conditions across the Group; and
(iii)  the executive’s contribution and experience

Policy
Singtel provides in-company medical scheme, club 
membership, employee discounts and other beneﬁ ts 
that may incur Australian Fringe Beneﬁ ts Tax, where 
applicable. Singtel also contributes towards the Singapore 
Central Provident Fund or the Optus Superannuation 
Fund or any other chosen fund, as applicable.

In Australia, consistent with local market practice, 
executives may opt for a portion of their salaries to be 
received in beneﬁ ts-in-kind, such as superannuation 
contributions and motor vehicles, while maintaining 
the same overall cost to the company.

Participation in beneﬁ ts is dependent on the country 
in which the executive is located. For expatriates 
located away from home, additional beneﬁ ts such 
as accommodation, children’s education and tax 
equalisation may be provided.

Performance Linkage
The base salary is linked to each executive’s sustained 
long-term performance.

Performance Linkage 
Beneﬁ ts and Provident / Superannuation Fund are not 
directly linked to performance.

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Corporate 
Governance

Performance-related Components

VARIABLE BONUS
Variable Bonus comprises the Performance Bonus and 
the Value Sharing Bonus. It provides a variable level of 
remuneration dependent on short-term performance 
against the annual plan, as well as relevant market 
remuneration benchmarks. 

Policy
Performance Bonus
Performance Bonus (PB) is designed to support the 
Group’s business strategy and the ongoing 
enhancement of shareholder value through the 
delivery of annual ﬁ nancial strategy and operational 
objectives. On an individual level, the PB will vary 
according to the actual achievement against Group, 
business unit and individual performance objectives.

Value Sharing Bonus
A portion of Senior Management’s annual remuneration 
is tied to the Economic Proﬁ t (EP) performance of the 
Group in the form of the Value Sharing Bonus (VSB). 
VSB is used to defer their bonuses over a time horizon 
to ensure alignment with sustainable value creation 
for the shareholders over the longer term. VSB is also 
extended to Top Management executives, who are 
senior executives below the Senior Management level, 
holding positions equivalent to Vice President in the 
organisation.

Performance Linkage
Performance Bonus
The objectives are aligned to the Annual Operating Plan 
and are diff erent for each executive. They are assessed 
on the same principles across two broad categories of 
targets: Business and People. Business targets comprise 
ﬁ nancials, strategy, customer and business processes. 
People targets comprise leadership competencies, core 
values, people development and staff  engagement. In 
addition, the executives are assessed on teamwork and 
collaboration across the Group.

Value Sharing Bonus
A “VSB bank” is created for each executive to hold the 
VSB allocated to him or her in any year. One-third of the 
“bank” balance would be paid out in cash provided it is 
positive. The remaining balance will be carried forward 
and at risk as it is subject to performance-related 

clawback and could be reduced in the event of EP 
underperformance in the future years.

LONG-TERM INCENTIVES
Long-term incentives reinforce the delivery of 
long-term growth and shareholder value to drive 
an ownership culture and retain key talent. These 
are equity awards provisionally granted to Senior 
Management based on performance for the year ended 
31 March 2015. 

From 1 April 2012, Singtel ceased to grant General 
Awards (GA) and Senior Management Awards (SMA) 
under the Singtel Performance Share Plan (see 
description of GA and SMA in previous annual reports). 
Two new types of awards were introduced in 2012 – 
the Restricted Share Award (RSA) and the Performance 
Share Award (PSA) – with grants made at the discretion 
of the ERCC. The RSA is granted to a broader group of 
executives while the PSA is granted to Senior and Top 
Management.

Policy
The number of performance shares (RSA and PSA) 
awarded is determined using the valuation of the shares 
based on a Monte-Carlo simulation. The share awards 
are conditional upon the achievement of predetermined 
performance targets over the performance period. The 
performance conditions were chosen as they are key 
drivers of shareholder value creation and aligned to 
the Group’s business objectives. These performance 
conditions and targets are approved by the ERCC at 
the beginning of the performance period. The ﬁ nal 
number of performance shares vested to the recipient 
will depend on the level of achievement of these targets 
over the performance period, subject to the approval of 
the ERCC.

A signiﬁ cant portion of the remuneration package for 
our Senior Management is delivered in Singtel shares to 
ensure that their interests are aligned with shareholders. 
This is further supported by signiﬁ cant shareholding 
requirements in which they are required to retain at least 
the equivalent of their annual base salary in shares.

Special provisions for vesting and lapsing of 
awards apply for events such as the termination of 

74

Performance Share Award (PSA)
The PSA has a three-year performance period from 1 April 
2015 to 31 March 2018. Vesting of shares is dependent on 
the following performance conditions:
•  50% based on Singtel Group’s Relative Total Shareholder 
Return (Relative TSR) – TSR relative to the MSCI Asia 
Paciﬁ c Telecommunications Index; and

•  50% based on Singtel Group’s Absolute Total 

Shareholder Return (Absolute TSR) – Absolute TSR 
achieved against predetermined targets.

The details of the vesting schedule for RSA and PSA 
granted in June 2015 are shown in Figure A and Figure B 
respectively.

employment, misconduct, retirement and any other events 
approved by the ERCC. Upon occurrence of any of the 
events, the ERCC will consider, at its discretion, whether 
or not to release any award, and will take into account 
circumstances on a case-by-case basis, including (but not 
limited to) the contributions made by the employee.

Singtel employees are prohibited from entering into 
transactions in associated products which limit the 
economic risk of participating in unvested entitlements 
under Singtel’s equity-based remuneration schemes.

Performance Linkage
Restricted Share Award (RSA)
The RSA has a two-year performance period from 
1 April 2015 to 31 March 2017. Vesting of shares is 
dependent on the following performance conditions:
•  50% based on Singtel Group’s Net Proﬁ t After Tax (NPAT) 
– Singtel Group NPAT achieved against predetermined 
targets; and

•  50% based on Singtel Group’s Free Cash Flow (FCF) 

– Singtel Group FCF achieved against predetermined 
targets

Figure A: Restricted Share Award (RSA) Vesting Schedule

Group NPAT (50%)

Group FCF (50%)

Performance

Vesting Level (1)

Performance

Vesting Level (1)

Stretch
Target
Threshold
Below Threshold

130%
100%
50%
0%

Stretch
Target
Threshold
Below Threshold

130%
100%
50%
0%

Note:
(1)   For achievement between these performance levels, the percentage of shares that will vest under this tranche would vary accordingly.

Figure B: Performance Share Award (PSA) Vesting Schedule

Relative TSR (50%)

Absolute TSR (50%)

Performance (2)

Vesting Level (3)

Performance

Vesting Level (3)

–
≥ +7.00%
+2.00%
< +2.00%

–
100%
50%
0%

Stretch
Target
Threshold
Below Threshold

200%
100%
30%
0%

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(2)   Percentage outperformance against the MSCI Asia Pacific Telecommunications Index.
(3)   For achievement between these performance levels, the percentage of shares that will vest under this tranche would vary accordingly.

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Corporate 
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Remuneration of Key Management and Senior Management 
For the ﬁ nancial year ended 31 March 2015, there were no termination, retirement and post-employment beneﬁ ts 
granted to Directors and Key Management.

Remuneration of Executive Director
The aggregate compensation paid to or accrued to Group CEO (Chua Sock Koong) for the ﬁ nancial year ended 
31 March 2015 is set out in the table below:

Name

Fixed 

Remuneration (1)

($)

Variable 

Bonus (2)
($)

Provident 

Fund (3)
($)

Beneﬁ ts (4)

($)

Total Cash 
& Beneﬁ ts (5)

Restricted 
Share 

Award (RSA) (6) 

Performance 
Share 

Award (PSA) (6) 

($)

(no. of shares)

(no. of shares)

Chua Sock Koong

S$1,678,772 S$3,832,363

S$9,150

S$78,915 S$5,599,200

84,060

1,658,980

Performance shares granted, vested and lapsed for Ms Chua as at 31 March 2015 are as follows:

2012 Awards 

2013 Awards 

2014 Awards (8)

2012 Awards 
2013 Awards (8)
2014 Awards (8)

Restricted Share Award (RSA)

Granted 
(‘000)

Vested
(‘000)

Lapsed
(‘000)

Released

Date

(‘000)

119

98

102

Granted
(‘000)

1,273
1,418
1,423

155

127

–

–

2-Jun-14
2-Jun-15
2-Jun-15
1-Jun-16
1-Jun-16
1-Jun-17

39
116
64
63 (7)

Performance Share Award (PSA)

Vested
(‘000)

1,273

Lapsed
(‘000)

–

Released

Date

2-Jun-15
1-Jun-16
1-Jun-17

(‘000)

1,273

Notes:
(1)  Fixed Remuneration refers to base salary and Annual Wage Supplement earned for the year ended 31 March 2015.
(2)  Variable Bonus comprises both the Performance Bonus (PB) and the Value Sharing Bonus (VSB). PB varies according to the actual achievement against Group, 

business unit and individual performance objectives. The VSB is tied to the Economic Profit (EP) performance of the Group to ensure alignment with sustainable 
value creation for shareholders over the longer term. For more details, please refer to page 74.

(3)  Provident Fund in Singapore represents payments in respect of company statutory contributions to the Singapore Central Provident Fund.
(4)  Benefits are stated on the basis of direct costs to the company and include car benefits, flexible benefits and other non-cash benefits such as medical cover and 

club membership.

(5)  Total Cash & Benefits is the sum of Fixed Remuneration, Variable Bonus, Provident Fund and Benefits for the year ended 31 March 2015.
(6)  Long-term Incentives are awarded in the form of performance shares. Grants of the Restricted Share Award (RSA) and Performance Share Award (PSA) under the 
Singtel Performance Share Plan 2012 were made in June 2015 for performance for the year ended 31 March 2015. The per unit fair values of the RSA and PSA are 
S$3.934 and S$1.794 respectively. The performance conditions for the awards are detailed on page 75.

(7)  The second tranche of the vested 2013 RSA will be released in June 2016, subject to continued service of the employee.
(8)  The vesting of the RSA and PSA are conditional upon the achievement of predetermined performance targets over the respective performance period, which are a 

two-year period for RSA and a three-year period for PSA.

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Remuneration of Other Key Management and Senior Management
The aggregate compensation paid to or accrued to the other top ﬁ ve Key Management and Senior Management for the 
ﬁ nancial year ended 31 March 2015 is set out in the table below:

Name

Fixed 

Remuneration (1)

($)

Variable 

Bonus (2)
($)

Provident 

Fund (3)
($)

Beneﬁ ts (4)

($)

Total Cash 
& Beneﬁ ts (5)

Restricted 
Share 

Award (RSA) (6) 

Performance 
Share 

Award (PSA) (6) 

($)

(no. of shares)

(no. of shares)

S$675,750

S$927,497

The following are in alphabetical order:
Bill Chang 
CEO Group Enterprise
Hui Weng Cheong (7) 
COO, AIS 
Allen Lew
CEO Group Digital Life (8)
CEO Consumer Australia (9)
Jeann Low 
Group CCO (10)
Yuen Kuan Moon 
CEO Consumer 
Singapore 
Total

S$607,500

A$796,061

S$927,497

S$4,687,991

S$621,075

S$1,907,124

S$13,750

S$65,096

S$2,913,467

30,148

594,984

S$1,198,625

S$8,975

S$357,605

S$2,240,955

43,214

379,042

S$2,890,990

S$9,150

S$85,315

A$385,239

S$4,971,040

50,077

988,295

S$1,507,124

S$12,200

S$62,290

S$2,509,111

26,691

526,756

S$1,091,278

S$13,750

S$58,859

S$1,784,962

38,130

334,449

S$8,595,141

S$57,825

S$1,078,579

S$14,419,535

188,260

2,823,526

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Performance shares granted, vested and lapsed for the above ﬁ ve executives as at 31 March 2015 are as follows:

2012 Awards

2013 Awards 

2014 Awards (12)

2012 Awards

2013 Awards (12)
2014 Awards (12)

Restricted Share Award (RSA)

Granted 
(‘000)

Vested
(‘000)

Lapsed
(‘000)

Released

Date

(‘000)

253

20

206

229

Granted 
(‘000)

1,857
97
2,281
2,421

329

26

267

–

–

–

2-Jun-14
2-Jun-15
16-Jul-14
3-Aug-15
2-Jun-15
1-Jun-16
1-Jun-16
1-Jun-17

82
247
7
19
134
133 (11)

Performance Share Award (PSA)

Vested
(‘000)

1,857
97

Lapsed
(‘000)

–
–

Released

Date

2-Jun-15
3-Aug-15
1-Jun-16
1-Jun-17

(‘000)

1,857
97

Notes: 
(1)  Fixed Remuneration refers to base salary and Annual Wage Supplement earned for the year ended 31 March 2015.
(2)  Variable Bonus comprises both the Performance Bonus (PB) and the Value Sharing Bonus (VSB). PB varies according to the actual achievement against Group, business 

unit and individual performance objectives. The VSB is tied to the Economic Profit (EP) performance of the Group to ensure alignment with sustainable value creation for 
shareholders over the longer term. For more details, please refer to page 74.

(3)  Provident Fund in Singapore represents payments in respect of company contributions to the Singapore Central Provident Fund.
(4)  Benefits are stated on the basis of direct costs to the company and include overseas assignment benefits, tax equalisation, car benefits, flexible benefits and other 

non-cash benefits such as medical cover and club membership, where applicable.

(5)  Total Cash & Benefits is the sum of Fixed Remuneration, Variable Bonus, Provident Fund and Benefits for the year ended 31 March 2015.
(6)  Long-term Incentives are awarded in the form of performance shares. Grants of the Restricted Share Award (RSA) and Performance Share Award (PSA) under the Singtel 
Performance Share Plan 2012 were made in June 2015 for performance for the year ended 31 March 2015. The per unit fair values of the RSA and PSA are S$3.934 and 
S$1.794 respectively. The performance conditions for the awards are detailed on page 75.

(7)  Benefits for Mr Hui Weng Cheong include tax equalisation in relation to his assignment to AIS, Thailand.
(8)  Mr Allen Lew was CEO Group Digital Life for the period 1 April 2014 to 30 September 2014.
(9)  Mr Allen Lew was appointed as CEO Consumer Australia/ CEO Optus with effect from 1 October 2014. 
(10)  Ms Jeann Low was formerly Group Chief Financial Officer. She was appointed as Group Chief Corporate Officer (Group CCO) with effect from 10 April 2015. 
(11)  The second tranche of the vested 2013 RSA will be released in June 2016, subject to continued service of the employee. 
(12)  The vesting of the RSA and PSA are conditional upon the achievement of predetermined performance targets over the respective performance period, which are a 

two-year period for RSA and a three-year period for PSA.

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Investor 
Relations

01
Disseminate 
accurate and relevant 
information to the 
marketplace in 
a timely manner 
to help investors 
make informed 
investment decisions

03
Continuously 
strive to be a leader 
and champion 
for continuous 
and transparent 
disclosures, 
carefully balanced 
against commercial 
sensitivities of 
Singtel’s businesses

02
Maintain open 
communication and regular 
engagement with investors 
through face-to-face 
meetings with management 
and Board members, annual 
investor day, conferences, 
roadshows, conference calls 
and webcasts

Singtel’s Investor Relations (IR) team promotes and facilitates 
communications with existing and potential institutional 
investors, ﬁ nancial analysts and retail shareholders. We are 
committed to maintaining high standards of disclosure and 
corporate transparency.

PROACTIVE COMMUNICATION 
WITH THE INVESTMENT 
COMMUNITY
Since the Group announced its 
transformation in March 2012, 
our senior management and the 
IR team have devoted signiﬁ cant 
eff ort towards helping the 
investment community better 
understand the rationale behind 
our transformation, in particular the 
key strategic priorities for the three 
business units: Group Consumer, 
Group Enterprise and Group 
Digital Life. We diligently present 
ﬁ nancial results, business updates 
and other information on each of 
these segments. We also ensure 
ﬁ nancial information presented by 
traditional geographical segments – 
Singapore, Australia and the regional 
mobile associates – continue to be 
available to investors.

During the year, our management, 
together with the IR team, 
engaged over 500 investors in 250 
meetings and conference calls 
to discuss the Group’s business 
strategy, operational and ﬁ nancial 
performance, and prospects. 
Singtel participated in investor 
conferences and roadshows in 
Singapore, Kuala Lumpur, 
Hong Kong, the US and Europe. 

Such events facilitate access 
to potential new shareholders 
and help us deepen existing 
relationships with long-term 
shareholders. The IR team also 
arranged site visits to Singtel’s 
business facilities to help investors 
better understand our key business 
focus and growth plans in the 
consumer, enterprise and 
digital spaces.

The IR team develops and maintains 
strong links with sell-side research 
analysts, who play an important 
role in educating the investment 
community. More than 20 sell-side 
analysts based in Australia, 
Hong Kong, Malaysia, Singapore 
and the UK currently cover Singtel. 
We keep a close watch on analyst 
and media reports in our eff orts to 
continuously improve our disclosure 
and IR practices.

Beyond conferences and roadshows, 
Singtel holds an annual Investor Day 
event during which the CEOs of 
Group Consumer, Group Enterprise 
and Group Digital Life, as well as the 
senior management of AIS, Airtel, 
Globe and Telkomsel share detailed 
insights into their businesses and 
respond to questions. The Investor 
Day typically attracts more than 

78

50 investors and analysts, who 
generally give positive feedback 
on management sharing strategic 
plans and operational insights.

and annual reports, upcoming 
investor events, shares and dividend 
information, fact sheets and investor 
presentation slides.

held approximately 19% of ownership 
interest. US/Canada and Europe held 
approximately 15% and 11% of issued 
share capital respectively.

We also actively seek to understand 
investors’ perceptions of our business. 
During the year, Singtel commissioned 
an investor perception study, which 
is an independent report involving 
in-depth interviews with approximately 
50 institutional investors and ﬁ nancial 
analysts. Respondents generously 
shared their views on Singtel’s strategic 
direction, business performance and 
industry issues. Investors typically cite 
the following reasons for investing in 
Singtel: our commitment to capital 
discipline, a high level of corporate 
governance, depth of experience at 
both the board and management 
level, as well as the Group’s exposure 
to strong mobile growth in the 
emerging markets. Investors generally 
view Singtel as a stock that off ers both 
capital growth and attractive yield. 

INVESTOR RELATIONS RESOURCES
The IR website is a key resource 
for corporate information, ﬁ nancial 
data and signiﬁ cant business 
developments. Investors turn to the 
website for Singtel’s stock exchange 
announcements, quarterly results 

IR CALENDAR EVENTS

Singtel produces a comprehensive 
set of materials for its quarterly 
ﬁ nancial results announcements, 
including detailed ﬁ nancial statements, 
management discussion and analysis, 
and presentation slides. We hold an 
investor conference call on the day 
of the results announcement, during 
which analysts and investors have 
the opportunity to pose questions to 
our management. A recording of the 
investor presentation webcast is posted 
on the IR website on the same day the 
results are released, and the transcript 
of the analyst conference call is posted 
on the IR website the following day.

All new material announcements are 
posted on the IR website immediately 
following its release to the Singapore 
and Australian exchanges (SGX and ASX 
respectively) to ensure fair, equal and 
prompt dissemination of information (1).

SHARE OWNERSHIP BY 
GEOGRAPHICAL DISTRIBUTION (2)

15.9 
BILLION 
SHARES (3)

  Temasek Holdings
  US/Canada
  Singapore ex Temasek
  Europe
  Asia ex Singapore
  Australia & Others

51%
15%
19%
11%
4%
1%

SHAREHOLDER INFORMATION
As at 31 March 2015, Temasek Holdings 
(Private) Limited remained the largest 
shareholder, with 51% of issued share 
capital. Other Singapore shareholders 

Notes:
(1)  Singtel delisted from the ASX with effect 

from 5 June 2015 and continues to be listed 
on the SGX. 

(2)  These figures do not add up to 100% due 

to rounding. 

(3)   As at 31 March 2015.

May 2014
•  Non-deal Equity 
Roadshows, 
Singapore, Europe 
and the US

Jul 2014
•  22nd Annual General 

Meeting and 
Extraordinary General 
Meeting, Singapore

Sep 2014
•  CLSA Investors Forum, 

Hong Kong

Feb 2015
•  Non-deal Equity 

Roadshow, Singapore

Aug 2014
•  Non-deal Equity 

Roadshow, Singapore

Jun 2014
•  Singtel Investor Day, 

Singapore 

•  Nomura Investment 

Forum Asia, Singapore

•  CIMB Asia Paciﬁ c 

Conference & Invest 
Malaysia Conference, 
Kuala Lumpur

Nov 2014
•  Morgan Stanley 

Asia Paciﬁ c Summit, 
Singapore

•  Non-deal Equity 

Roadshow, Europe

•  Morgan Stanley 
European TMT 
Conference, Barcelona

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Asia TMT, Internet & 
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Risk Management 
Philosophy 
and Approach

We identify and manage risks to reduce the uncertainty associated with executing our business strategies 
and maximising opportunities that may arise. Risks can take various forms and can have material adverse 
impact on the Group’s reputation, operations, human resources and ﬁ nancial performance.

Our Risk Framework

•  Deﬁ nes how risk management 

functions

•  Aligns the Group’s strategy with 

management of key risks

•  Speciﬁ es roles of the Board 

and Management to fulﬁ l risk 
appetite and tolerance

• 

Identiﬁ es risks and determines 
mitigation plans

THE BOARD

Instills culture and approach for risk governance

• 
•  Provides oversight of risk management systems and internal controls
•  Reviews key risks and mitigation plans
•  Determines risk appetite and tolerance
•  Monitors exposure

AUDIT COMMITTEE

RISK COMMITTEE

•   Reviews adequacy and

eff ectiveness of the Group’s
internal control framework
•   Oversees ﬁ nancial reporting

risk for the Group
•   Oversees internal and 

external audit processes

•  Reviews and recommends 
risk strategy and policies

•   Oversees design, implementation 
and monitoring of internal controls

•   Reviews adequacy and 

eff ectiveness of the Group’s 
risk framework

•   Monitors the implementation of 

risk mitigation plans

MANAGEMENT COMMITTEE

• 

Implements risk management practices within all business units 
and functions

RISK MANAGEMENT COMMITTEE

•  Supports the Board and Risk Committee in terms of risk governance and oversight
•  Sets the direction and strategies to align corporate risk management with the 

Group’s risk appetite and risk tolerance 

•  Reviews the risk assessments carried out by the Business Units
•  Reviews and assesses risk management systems and tools
•  Reviews effi  ciency and eff ectiveness of mitigations and coverage of risk exposures

80

Our Risk Philosophy

Our risk philosophy and risk management approach are underpinned by three key principles: 

RISK CENTRIC 
CULTURE

•  Set the appropriate tone at the top
•  Promote awareness, ownership and 
proactive management of key risks

•   Promote accountability

STRONG CORPORATE 
GOVERNANCE STRUCTURE

•   Promote good corporate 

governance

•   Provide proper segregation of duties
•   Clearly deﬁ ne risk-taking 

responsibility and authority

•   Promote ownership and 

accountability for risk taking

PROACTIVE RISK 
MANAGEMENT PROCESS

•   Robust processes and systems to 

identify, quantify, monitor, mitigate 
and manage risks

•   Benchmark against global best 

practices

Based on these principles, the Group has put in place a risk management framework and a rigorous risk review process to 
identify, monitor, manage and report risks throughout the organisation. Such risks are considered in the development of our 
strategies and risk management activities to provide assurance to the Board and relevant stakeholders on the adequacy and 
eff ectiveness of risk management. These strategies and activities include: 

RISK 
MANAGEMENT 
FRAMEWORK

Review of risk 
management 
policies and 
processes on 
a regular basis

RISK 
REVIEW 
PROCESS

Continuous process 
of identifying, 
monitoring, 
managing and 
reporting of risk 
indicators

ALIGNMENT
WITH GROUP
STRATEGY

Risk assessment 
and mitigation 
strategies as integral 
parts of the Group’s 
annual business 
planning and 
budgeting process

BUSINESS
CONTINUITY
MANAGEMENT

Involves business 
continuity, disaster 
recovery, crisis 
planning and 
management as 
key risk management 
activities

ASSURANCE

Self-assessment
programme over 
risks and controls, 
together with 
internal and external 
audit, to provide 
assurance to the 
Board

The Management has primary 
responsibility for identifying, managing 
and reporting to the Board the key 
risks faced by the Group. The 
Management is also responsible for 
ensuring that the risk management 
framework is eff ectively implemented 
within all areas of the respective 
business units. In addition, specialised 
areas such as Regulatory, Legal, 
Environment, Insurance, Treasury 
and Credit support the Group in the 
management of these risks.

The Group has in place a formal 
programme of risk and control 
self-assessment whereby line 
personnel are involved in the ongoing 
assessment and improvement of risk 
management and controls. 

The eff ectiveness of risk management 
policies and processes is reviewed 
on a regular basis and, where 
necessary, improved. Independent 
reviews are conducted by third 
party consultants regularly to ensure 
the appropriateness of the Group’s 
risk management framework. The 
consultants also report key risks to 
the Board, as well as provide periodic 
support and input when undertaking 
speciﬁ c risk assessments. Furthermore, 
the risk management processes 
facilitate alignment of the Group’s 
strategy and annual operating plan 
with the management of key risks.

Risk assessment and mitigation 
strategy is an integral part of the 
Group’s annual business planning 

and budgeting process. The key 
risk management activities include 
scenario planning, business continuity/
disaster recovery management and 
crisis planning and management. 
Close monitoring and control 
processes, including the establishment 
of appropriate key risk indicators and 
key performance indicators, are put 
in place to ensure that risk proﬁ les are 
managed within policy limits.

Singtel Internal Audit (IA) carries 
out reviews and internal control 
advisory activities aligned to the key 
risks in the Group’s business. This 
provides independent assurance to 
the Audit Committee (AC) on the 
adequacy and eff ectiveness of our 
risk management, ﬁ nancial reporting 

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Risk Management 
Philosophy 
and Approach

processes, and internal control and 
compliance systems. In order to 
provide assurance to the Board, 
the CEOs of the business groups 
submit an annual report on the 
key risks and mitigation strategies 
for their respective businesses 
to the Risk Committee. Annually, 
the Group CEO and Group CFO 
provide a written certiﬁ cation to the 
Board conﬁ rming the integrity of 
ﬁ nancial reporting, and the effi  ciency 
and eff ectiveness of the risk 
management, internal control 
and compliance systems.

In the course of their statutory 
audit, Singtel’s external auditors 
review the Group’s material internal 
controls to the extent of the 
scope laid out in their audit plans. 
Any material non-compliance 
and internal control weaknesses, 
together with the external auditors’ 
recommendations to address them, 
are reported to the AC. Singtel’s 
Management, with the assistance 
of Singtel IA, follows up on the 
external auditors’ recommendations 
as part of their role in reviewing the 
Group’s system of internal controls.

The systems that are in place are 
intended to provide reasonable 
but not absolute assurance against 
material misstatements or loss, as 
well as ensuring the safeguarding 
of assets, the maintenance of proper 
accounting records, the reliability 
of ﬁ nancial information, compliance 
with applicable legislation, 
regulations and best practices, and 
the identiﬁ cation and management 
of business risks.

Our Risk Appetite

The Board has approved the following risk appetite statement:

•  The Group is committed to delivering value to our shareholders achieved through sustained proﬁ table growth. However, 
the Group shall not compromise our integrity, values and reputation by risking brand damage, service delivery standards, 
severe network disruption or regulatory non-compliance.

•  The Group will defend our market leadership position in Singapore and strengthen our market position in Australia 

and in Asia Paciﬁ c through our regional mobile associates. The Group will continue to pursue business expansion in 
the emerging markets, including acquiring controlling stakes in the associates, and actively manage the risks.

•  The Group is prepared to take measured risks to seek new growth in the digital space by providing global platforms 

and enablers, targeted at a global footprint, while leveraging our current scale and core strengths.

•  The Group targets an investment grade credit rating and dividend payout policy consistent with our stated dividend policy 

and guidance.

Our Risk Factors

The Group’s ﬁ nancial performance and operations are inﬂ uenced by a vast range of risk factors. Many of these risk 
factors aff ect not just our businesses, but also other businesses in and outside the telecommunications industry. 
These risks vary widely and many are beyond the Group’s control. There may also be risks that are either presently 
unknown or not currently assessed as signiﬁ cant, which may later prove to be material. However, we aim to mitigate 
the exposures through appropriate risk management strategies and internal controls.

The section below sets out the principal risk types.

•  Economic Risks 

•  Political Risks 

•  Project Risks 

•  New Business Risks 

•  Breach of Privacy Risks 

•  Financial Risks 

•  Regulatory and Litigation Risks 

•  Technology Risks 

•  Electromagnetic Energy Risks 

•  Competitive Risks 

•  Vendor Risks 

•  Regional Expansion Risks 

• 

Information Technology Risks 

•  Network Failure and 
Catastrophic Risks

82

ECONOMIC RISKS
Changes in domestic, regional and 
global economic conditions may 
have a material adverse eff ect on the 
demand for telecommunications, 
information technology (IT) and related 
services, digital services, and hence, 
on the Group’s ﬁ nancial performance 
and operations.

The global credit and equity markets 
have experienced substantial 
dislocations, liquidity disruptions 
and market corrections. These and 
other related events have had a 
signiﬁ cant impact on economic 
growth as a whole and consequently, 
on consumer and business demand 
for telecommunications, IT and related 
services, and digital services.

Our planning and management 
review processes involve the 
periodic monitoring of budgets and 
expenditures to minimise the risk of 
over-investment. Each of the business 
units in the Group has continuing cost 
management programmes to drive 
improvements in their cost structures. 

POLITICAL RISKS
Some of the countries in which Group 
Consumer operates have experienced 
or continue to experience political 
instability. The continuation or 
re-emergence of such political 
instability in the future could have a 
material adverse eff ect on economic or 
social conditions in those countries, as 
well as on the ownership, control and 
condition of our assets in those areas.

Group Consumer is geographically 
diversiﬁ ed with operations in 
Singapore, Australia and the emerging 
markets. We work closely with the 
Management and our partners in 
the countries where we operate 
to leverage the local expertise, 
knowledge and ability. This way, 
we ensure compliance with the 
laws and are able to implement risk 
mitigation measures.

As Group Enterprise and Group Digital 
Life expand their products and services 
across the region and around the 
world, exposure to similar political risks 
may increase in the future.

REGULATORY AND LITIGATION 
RISKS
Regulatory Risks
The Group’s global operations are 
subject to extensive government 
regulations, which may impact or 
limit our ﬂ exibility to respond to 
market conditions, competition, 
new technologies or changes in 
cost structures. Governments may 
alter their policies relating to the 
telecommunications, IT, multimedia 
and related industries, as well as the 
regulatory environment (including 
taxation) in which we operate. Such 
changes could have a material 
adverse eff ect on the Group’s ﬁ nancial 
performance and operations.

Our overseas investments are subject 
to the risk of imposition of laws 
and regulations restricting the level, 
percentage and manner of foreign 
ownership and investment, as well as 
the risk of nationalisation. Any of these 
factors can materially and adversely 
aff ect our overseas investments.

Consumer Australia, Consumer 
Singapore and Group Enterprise are 
impacted by the implementation of 
national broadband networks in both 
Australia and Singapore. In Singapore, 
the Infocomm Development 
Authority of Singapore (IDA) has, in its 
implementation of the Next Generation 
Nationwide Broadband Network (Next 
Gen NBN), designed a structure to level 
the playing ﬁ eld to make the beneﬁ ts 
of the Next Gen NBN available to all 
industry players. This has signiﬁ cantly 
altered the existing cost model of the 
industry and increased the level of 
competition from new entrants. 

In Australia, the government is currently 
undertaking a signiﬁ cant reform of 

the ﬁ xed-line telecommunications 
sector, including the rollout of a 
national broadband network (NBN) 
to be operated on a wholesale-only 
open access basis. It is possible that 
the Australian government’s regulatory 
reforms, including legislation and 
the deployed NBN and commercial 
transactions relating to the NBN, 
could ultimately lead to a sub-optimal 
or negative outcome for Optus. 
Our businesses depend on statutory 
licences issued by government 
authorities. Failure to meet regulatory 
requirements could result in ﬁ nes or 
other sanctions including, ultimately, 
the revocation of licences.

The Personal Data Protection Act 
(PDPA) 2012 in Singapore and the 
Privacy Act in Australia regulate 
the collection, use, disclosure, 
transfer and security of personal 
data. The Group has access to 
appropriate regulatory expertise and 
staffi  ng resources in Singapore and 
Australia. We regularly participate in 
discussions and consultations with 
the respective regulatory authorities 
and the industry to propose changes 
and provide feedback on regulatory 
reforms and developments in 
the telecommunications and 
media industry.

Access to Spectrum
The Group may need to access 
additional spectrum to support both 
organic growth and the development 
of new services. Access to spectrum 
is critically important for supporting 
our business of providing mobile voice 
and broadband services. The use of 
spectrum in most countries in which 
we operate is regulated by government 
authorities and requires licences. 
Failure to acquire access to spectrum 
or new or additional spectrum on 
reasonable terms or at all could have 
a material adverse eff ect on our core 
communications business, ﬁ nancial 
performance and growth plans. 

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Risk Management 
Philosophy 
and Approach

Litigation Risks
We are exposed to the risk of 
regulatory or litigation action by 
regulators and other parties. Such 
regulatory matters or litigation 
actions may have a material eff ect 
on our ﬁ nancial condition and 
results of operations. Examples of 
such litigation are disclosed in Notes 
to the Financial Statements under 
“Contingent Liabilities”.

The Group has put in place standard 
master supply agreements with 
vendors and implemented contract 
policies to manage contractual 
arrangements with customers. 
The policies provide the necessary 
empowerment framework for the 
CEOs, the Management Committee 
and the Board Committees to 
approve any deviations from the 
standard policies.

COMPETITIVE RISKS 
The Group faces competitive risks in 
all markets and business segments in 
which we operate.

Group Consumer Business 
The telecommunications market 
in Singapore is highly competitive. 
As new players enter the market 
and regulation requires Singtel in 
Singapore to allow our competitors 
to have access to our networks, our 
market share in some segments 
and prices for certain products and 
services have declined. These trends 
may continue and intensify.

In the Australian mobile market, 
in addition to the incumbent 
operator, a number of participants 
are subsidiaries of international 
groups and operators, and have 
made large investments which 
are now sunk costs. The Group is, 
therefore, exposed to the risk of 
irrational pricing being introduced 

by such competitors. The consumer 
ﬁ xed-line services market continues 
to be dominated by the incumbent 
provider, which can leverage its scale 
and market position to restrict the 
development of competition. With 
the deployment of the Australian 
NBN, competition is expected to 
increase as new operators enter 
the market.

The operations of our regional 
mobile associates’ businesses are 
also subject to highly competitive 
market conditions. Their growth 
depends in part on the adoption 
of mobile data services in their 
markets. Some of these markets have 
and could continue to experience 
keen price competition for mobile 
data services from smaller-scale 
competitors, leading to lower 
proﬁ tability and potential loss of 
market share for our associates. 

Our business models and proﬁ ts are 
also challenged by disintermediation 
in the telecommunications industry 
by handset providers and non-
traditional telecommunications 
service providers who provide 
multimedia content, applications 
and services directly on demand.

Group Consumer is focused 
on driving effi  ciencies and 
innovation, via new technologies, 
products and services, processes 
and business models to meet 
evolving customer needs and 
strengthen customer loyalty.

Group Enterprise Business
Business customers enjoy broad 
choices for many of our services, 
including ﬁ xed, mobile, cloud, 
managed services, IT services 
and consulting. Competitors 
include multinational IT and 
telecommunications companies, 

while in Australia, the enterprise 
market is dominated by the 
incumbent. The quality and prices 
of these services can inﬂ uence 
a potential business customer’s 
decision. Prices for some of these 
services have declined signiﬁ cantly 
in recent years as a result of capacity 
additions and price competition. 
Such price declines are expected 
to continue.

Group Enterprise continues to 
focus on off ering companies 
comprehensive and integrated 
infocomm technology (ICT) 
solutions and initiatives to strengthen 
customer engagement. This includes 
broadening our solution portfolio to 
cover new areas of customer need, 
such as cloud computing, cyber 
security and solutions for smart cities.

Group Digital Life Business
The digital products and services 
off ered by the Singtel Group are 
primarily in the areas of digital 
marketing, digital video and data 
analytics. Competition is intense, 
with many over-the-top operators 
off ering services over the internet 
and facing low entry barriers. 

Group Digital Life aspires to become 
a signiﬁ cant global player in these 
areas by delivering distinctive 
products and services in the target 
markets and launching them quickly 
to capture market share. It will 
continue to harness the Group’s 
valuable assets, such as extensive 
customer knowledge, touch points, 
intelligent networks and the scale of 
the Group’s customer base. 

REGIONAL EXPANSION RISKS
Given the size of the Singaporean 
and Australian markets, the future 
growth of the Group depends, 
to a large extent, on our ability to 

84

grow our overseas operations in both 
traditional and new digital services. This 
comes with considerable risks.

Partnership Relations 
The success of our strategic 
investments depends, to a large extent, 
on our relationships with, and the 
strength of our investment partners. 
There is no guarantee that the 
Group will be able to maintain these 
relationships or that our investment 
partners will remain committed to 
their partnerships.

Acquisition Risks 
In acquisitions, the Group faces 
challenges arising from integrating 
newly acquired businesses with our 
own operations, managing these 
businesses in markets where we have 
limited experience and ﬁ nancing 
these acquisitions. The Group also 
risks not being able to generate 
synergies from these acquisitions, 
and the acquisitions become a drain 
on the Group’s management and 
capital resources.

We continually look for investment 
opportunities that can contribute 
to our regional expansion strategy 
and develop new revenue streams. 
Our eff orts are challenged by the 
limited availability of opportunities, 
competition from other potential 
investors, foreign ownership 
restrictions, government and regulatory 
policies, political considerations and 
the speciﬁ c preferences of sellers.

The business strategy of some of our 
regional mobile associates involves 
expanding operations outside their 
home countries. These associates may 
enter into joint ventures and other 
arrangements with other parties. Such 
joint ventures and other arrangements 
involve risks, including, but not 
limited to, the possibility that the joint 

venture or investment partner may 
have economic or business interests 
or goals that are not consistent with 
those of the associates. There is no 
guarantee that the regional mobile 
associates can generate total synergies 
and successfully build a competitive 
regional footprint. 

The Group adopts a disciplined 
approach in our investment evaluation 
and decision-making process. 
Members of our management team 
are also directors on the boards of our 
associates. In addition to the sharing of 
network and commercial experience, 
best practices in the areas of corporate 
governance and ﬁ nancial reporting are 
also shared across the Group.

PROJECT RISKS
The Group incurs substantial capital 
expenditure in constructing and 
maintaining our networks and IT 
systems infrastructure. These projects 
are subject to risks associated with the 
construction, supply, installation and 
operation of equipment and systems.

The Group has a project risk 
management framework in place, with 
processes for regular risk assessment, 
performance monitoring and reporting 
of key projects.

NEW BUSINESS RISKS
Beyond our traditional carriage 
business in Singapore and Australia, 
the Group is now venturing into new 
growth areas to create additional 
revenue streams, including mobile 
applications and services, pay TV, 
premium video, content, managed 
services, cloud services, cyber 
security, ICT, data analytics and digital 
marketing. There is no assurance that 
the Group will be successful in these 
ventures, which may require substantial 
capital, new expertise, considerable 
process or systems changes, as well 
as organisational, cultural and mindset 
changes. These businesses may also 
expose the Group to new areas of risks 
associated with the media and online 
industries such as media regulation, 
content rights disputes and customer 
data privacy and protection.

The projects the Group undertakes as 
contractors to maintain and support 
infrastructure are subject to the risks of 
increased project costs, disputes and 
unexpected implementation delays, 
any of which can result in an inability 
to meet projected completion dates or 
service levels.

As new businesses place new demands 
on people, processes and systems, 
the Group responds by continually 
updating our organisation structure, 
talent management and development 
programme, reviewing our policies 
and processes, and investing in new 
technologies to meet changing needs.

Group Enterprise is a major IT service 
provider to governments and large 
enterprises in the region. We face 
potential project execution risks when 
projects are not accurately scoped or 
the quality of service performance is 
not up to customers’ speciﬁ cations, 
resulting in over-commitments to 
customers, as well as inadequate 
resource allocation and scheduling. 
These can lead to cost overruns, 
project delays and losses.

TECHNOLOGY RISKS
Rapid and signiﬁ cant technological 
changes are typical in the 
telecommunications and ICT industry. 
These changes may materially aff ect 
Group Consumer, Group Enterprise and 
Group Digital Life’s capital expenditure 
and operating costs, as well as the 
demand for products and services 
off ered by our business divisions.

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Risk Management 
Philosophy 
and Approach

Rapid technological advances may 
leave the Group with infrastructure 
and systems that are technologically 
obsolete before the end of their 
expected useful life. Technological 
changes may also reduce costs 
and expand the capacities of new 
infrastructure. In the emerging 
markets in which our associates 
operate, regulatory practices, 
including spectrum availability, may 
not necessarily synchronise with 
the technology progression path 
and the market demand for new 
technologies. These changes may 
require us to replace and upgrade 
our network infrastructure to remain 
competitive and, as a result, incur 
additional capital expenditure.

Each business group faces the 
ongoing risk of market entry by new 
operators and service providers 
(including non-telecommunications 
players) that, by using newer or 
lower-cost technologies, may 
succeed in rapidly attracting 
customers away from established 
market participants.

Group Enterprise may incur 
substantial development expenditure 
to gain access to related or enabling 
technologies to pursue new growth 
opportunities in the ICT industry. 
The challenge is to modify our 
network infrastructure in a timely and 
cost-eff ective manner to facilitate 
such implementation, failing which 
this could adversely aff ect our quality 
of service, ﬁ nancial condition and 
results of operations.

The Group continues to invest 
in upgrading, modernising and 
equipping our systems with new 
capabilities to ensure we continue 
to deliver innovative and relevant 
services to our customers. 

VENDOR RISKS
The Group relies on third-party 
vendors in many aspects of our 

business for various purposes, 
including, but not limited to, the 
construction of our network, 
the supply of handsets and 
equipment, systems and application 
development services, content 
provision and customer acquisition. 
Accordingly, our operations may 
be aff ected by third-party vendors 
failing to perform their obligations. 
In addition, the industry is dominated 
by a few key vendors for such 
services and equipment, and any 
failure or refusal by a key vendor to 
provide such services or equipment, 
or any consolidation of the industry, 
may signiﬁ cantly aff ect our business 
and operations.

The Group monitors closely our 
relationships with strategic vendors 
and develops new relationships to 
mitigate supply risks.

INFORMATION 
TECHNOLOGY RISKS
As the Group’s businesses and 
operations rely heavily on 
information technology, the 
Management has established the 
IT & Network Security Committee 
to provide oversight of all IT and 
network security risks, including 
cyber security threats and data 
privacy breaches. The committee 
comprises members from the various 
IT and network domains, meets 
bi-monthly and reports directly to 
the Risk Management Committee. 
The committee develops appropriate 
policies and frameworks to ensure 
information systems security, reviews 
the projects and initiatives on IT 
and network security, and reviews 
any IT security incidents. 

The Group has established the 
Group Information Security Policy 
for managing risks associated with 
information security in a holistic 
manner. The policy is developed 
based on industry best practices 
and is aligned with international 

standards such as ISO 27001. 
The policy covers various aspects 
of IT risk governance, including 
change management, user 
access management, database 
conﬁ guration standards and disaster 
recovery planning, and provides the 
cornerstone for driving robust IT 
security controls across the Group. 

The Group has also established the 
Project Management Methodology 
to ensure that new systems are 
developed with appropriate IT 
security controls and are subject 
to rigorous acceptance tests, 
including penetration testing, 
prior to implementation. 

BREACH OF PRIVACY RISKS
The Group seeks to protect the 
privacy of our customers in our 
networks and systems infrastructure. 
Signiﬁ cant failure of security 
measures may undermine customer 
conﬁ dence and materially impact 
our businesses. The Group may 
also be subject to the imposition 
of additional regulatory measures 
relating to the security and privacy 
of customer data.

The Group has in place security 
policies, procedures, technologies 
and tools designed to minimise the 
risk of privacy breaches. The Group 
has also established an escalation 
process for major incidents, which 
includes security breaches, to ensure 
timely response, internally and 
externally, to minimise impact.

FINANCIAL RISKS
The main risks arising from the 
Group’s ﬁ nancial assets and liabilities 
are foreign exchange, interest rate, 
market, liquidity, access to ﬁ nancing 
sources and increased credit risks. 
Financial markets continue to be 
volatile and this may heighten 
execution risk for funding activities 
and credit risk premiums for market 
participants.

86

ﬁ ndings on EME, health risks and their 
implications on relevant standards and 
regulations in Singapore and Australia, 
as well as the rest of the world. 

NETWORK FAILURE AND 
CATASTROPHIC RISKS
The provision of our services depends 
on the quality, stability, resilience and 
robustness of our integrated networks. 
We face the risk of malfunction 
of, loss of, or damage to, network 
infrastructure from natural or other 
uncontrollable events such as acts 
of terrorism. Some of the countries in 
which the Group and/or its regional 
mobile associates operate have 
experienced a number of major natural 
catastrophes over the years, including 
typhoons, droughts and earthquakes. 
In addition, other events that are 
outside the control of the Group and/ 
or its regional mobile associates, such 
as ﬁ re, deliberate acts of sabotage, 
industrial accidents, blackouts, terrorist 
attacks or criminal acts, could damage, 
cause operational interruptions or 
otherwise adversely aff ect any of 
the facilities and activities, as well as 
potentially cause injury or death to 
personnel. Such losses or damage 
may signiﬁ cantly disrupt our 
operations, which may materially 
adversely aff ect our ability to deliver 
services to customers.

The Group has business continuity 
plans as well as insurance policies 
in place. There is a deﬁ ned crisis 
management and escalation 
process involving the CEOs and 
senior management to respond to 
emergencies and catastrophic events. 
However, our inability to operate 
our networks or customer support 
systems may have a material impact 
on our business.

The Group is exposed to foreign 
exchange ﬂ uctuations from our 
operations and through subsidiaries, 
as well as associated and joint 
venture companies operating in 
foreign countries. These relate to the 
translation of the foreign currency 
earnings and carrying values of the 
overseas operations. Additionally, a 
signiﬁ cant portion of associated and 
joint venture company purchases and 
liabilities are denominated in foreign 
currencies, versus the local currency 
of the respective operations, thereby 
giving rise to changes in cost structures 
and fair value gains or losses when 
marked to market.

The Group has established policies, 
guidelines and control procedures to 
manage and report exposure to such 
risks. Our ﬁ nancial risk management is 
discussed in detail on page 201 in 
Note 37 to the Financial Statements.

ELECTROMAGNETIC ENERGY RISKS
Health concerns have been raised 
regarding the potential exposure 
to electromagnetic energy (EME) 
associated with the operation of 
mobile communications devices. 
While health authorities, including the 
World Health Organisation, agree there 
is no substantiated evidence of public 
health risks from exposure to the levels 
of EME typically emitted from mobile 
communications devices, perceived 
health risks can result in reduced 
demand for mobile communications 
services or worse, litigation against 
the Group. In addition, government 
environment controls may be 
introduced to address this perceived 
risk, restricting our ability to deploy our 
mobile communications networks.

The Group complies with the leading 
global standard, the International 
Commission on Non-Ionizing 
Radiation Protection on EME, as well as 
relevant standards and regulations in 
Singapore and Australia on emission of 
EME. We continue to monitor research 

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87

 
 
 
 
 
 
 
Marketplace 
and Customers

Increasing stakeholder value and leading 
the market with innovative ICT services 
and care for our customers

Community

Driving positive and sustainable changes 
to disadvantaged communities, focusing 
on vulnerable young people and 
bridging communities through ICT

People

Providing opportunities for our 
people and maintaining a diverse, 
inclusive and collaborative workplace 
and culture

Environment

Managing our environmental footprint 
through addressing climate change, 
integrating environment agenda into our 
value chain, engaging our stakeholders, 
and product and resource responsibility

Sustainability
Sustainability

As Asia’s leading communications group, we pride 
As Asia’s leading communications group, we pride
ourselves on setting the standard on how our business 
ourselves on setting the standard on how our bus
capability and technology can be used to make positive 
capability and technology can be used to make po
changes to individuals and the community. We do this by 
changes to individuals and the community. We do
leveraging the power of communications, infotainment 
leveraging the power of communications, infotain
and our people to transform lives and make a signiﬁ cant 
and our people to transform lives and make a sign
impact on society. 
impact on society. 

As a responsible corporate citizen, we proactively engage 
As a responsible corporate citizen, we proactively
our stakeholders and look at ways to build a sustainable 
our stakeholders and look at ways to build a susta

business by addressing material risks and opportunities 
in the broader value chain we operate in. We are guided 
by our sustainability pillars: Marketplace and Customers, 
Community, our People and the Environment. We aim 
to create value for our stakeholders by:
• 
•  providing exceptional service;
•  driving positive change in disadvantaged communities;
• 
•  managing our environmental footprint. 

leading the market with innovative services;

investing in our people; and 

Marketplace and Custo
Marketplace and Customers

Our customers are at the centre 
Our customers are at the centre 
of everything we do. They 
of everything we do. They 
deserve the best and we aim to 
deserve the best and we aim to 
deliver by listening and taking 
deliver by listening and taking 
action to improve their lives – 
action to improve their lives – 
through innovative products and 
through innovative products and 
personalised services. 
personalised services. 

CORPORATE ACCOUNTABILITY
CORPORATE ACCOUNTABILITY
We believe in upholding the highest 
We believe in upholding the highest 
standards of responsible business 
standards of responsible business 
practices, corporate governance 
practices, corporate governance 
and transparency to ensure that our 
and transparency to ensure that our 
business is sustainable. We expect the 
business is sustainable. We expect the 
same of our business partners and 
same of our business partners and 
supply chain and we work closely 
supply chain and we work closely 
with them to uphold these standards. 
with them to uphold these standards. 

Our well-deﬁ ned policies and 
Our well-deﬁ ned policies and 
processes enhance corporate 
processes enhance corporate 
performance and accountability, 
performance and accountability, 
and protect the interests of our 
and protect the interests of our 
stakeholders. You can read more 
stakeholders. You can read more 
about our approach on page 56.
about our approach on page 56.

IT’S ALL ABOUT OUR CUSTOMERS 
IT’S ALL ABOUT OUR CUSTOMERS 
We exist because our services fulﬁ l 
We exist because our services fulﬁ l 
an important need. We have a wide 
an important need. We have a wide 
suite of user-friendly services to meet 
suite of user-friendly services to meet 
customers’ needs in everything they 
customers’ needs in everything they 
do – at work, at home or when doing 
do – at work, at home or when doing 
their favourite things.
their favourite things.

In January 2015, we embarked on a 
In Janua
new brand promise in Singapore to 
new bra
enrich customers’ lives with better 
enrich c
service, technology and content, 
service,
and deliver seamless and eff ortless 
and del
experiences.
experien

We understand that customers are 
We und
busy. Hence, we introduced an 
busy. He
option for customers to book their 
option f
preferred appointment time online 
preferre
when they need to visit a Singtel 
when th
shop. Customers who wish to 
shop. C
speak with a Singtel hotline offi  cer 
speak w
can request a call-back at a time 
can req
that suits them. Customers with 
that suit
service appointments for installation 
service 
can expect Singtel technicians to 
can exp
arrive within 30 minutes of their 
arrive w
appointment time. 
appoint

We recognise that each customer 
We reco
is diff erent and we off er a range of 
is diff ere
mobile plans to cater to their needs.
mobile

In August 2014, we launched 
In Augu
Combo plans in Singapore to meet 
Combo
consumers’ growing appetite for 
consum
mobile data services. These plans 
mobile 
off er access to Singtel’s Premium WiFi 
off er ac
service at many hotspots across the 
service a
island, giving consumers high-speed 
island, g
and seamless connectivity, over and 
and sea
above their 4G data allowance.
above t

To cater to the needs of elderly 
customers and people with 
disabilities, we introduced our 
Silver Plan and Lite Special Plan. 
Subscription plans are off ered at a 
discount and tailored to better meet 
their needs. 

In Australia, customers can get the 
most out of Optus’ mobile data 
plans by sharing data with up to 
ﬁ ve mobile broadband devices, 
including smartphones, tablets 
and USB modems. 

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The Silver Plan helps elderly customers 
embrace technology and connect with 
their loved ones

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Sustainability

Right to privacy

We understand that data privacy and protection is important to our 
consumer and enterprise customers. As a trusted operator, we strive 
to keep our customers’ personal data secure. Our policy is to be open 
and transparent about how we collect, use, and disclose our customers’ 
personal data.

The full Personal Data Protection Act (PDPA) came into eff ect in 
Singapore in July 2014. It comprises various rules governing the 
collection, use, disclosure and care of personal data. The Do Not Call 
Registry, which came into eff ect in January 2014, allows individuals 
to register their Singapore telephone numbers to opt out of receiving 
marketing phone calls, mobile text messages such as SMS or MMS, 
and faxes from organisations.

We developed new policies for staff  to ensure we meet the PDPA 
requirements and all staff  underwent mandatory training. We introduced 
measures to ensure that our vendors and partners are PDPA compliant.

In Singapore, we launched an online portal to off er customers more 
control of what data can be used. It gives customers more control over 
the type of information they wish to receive and how their personal data 
may or may not be used. Customers can select channels for receiving 
marketing messages from Singtel and our partners. A Data Protection 
Governance Committee, chaired by our Data Protection Offi  cer, was 
created to ensure Singtel maintains full compliance with the PDPA.

We will continue to introduce measures to protect our customer privacy, 
for example, through compliance checks on our daily operations, 
including those of our off shore and outsource partners. Other measures 
include introducing new technical solutions to detect and respond to 
security threats.

To make it easier for staff  to understand and comply with data privacy 
requirements, we will continue to reﬁ ne internal guidelines and drive 
awareness of the importance of privacy protection across the Group. 

1

2

1  Helping parents understand and 

protect their children from online 
risks with notAnoobie

2  More than 54,000 students have 
beneﬁ ted from the Optus Digital 
Thumbprint Programme since its 
launch in 2013

90

 
 
 
 
 
Community

The Singtel Group advocates social 
responsibility in all our markets. We 
are committed to giving back to the 
community, and driving positive and 
sustainable change to make the world 
a better place to live in. 

Our community investment framework 
focuses on creating maximum beneﬁ t 
and impact for our community. We 
help the vulnerable, especially children 
with special needs, youth at risk and 
the elderly, with tailored programmes 
that focus on inclusion and well-being, 
education and employability, as well as 
cyber wellness and online safety. 

Our community programmes aim to 
leverage infocomm technology (ICT) 
– our corporate core competence – 
and our people through general and 
skilled volunteering. 

PROMOTING RESPONSIBLE 
DIGITAL CITIZENSHIP
The growing popularity of digital 
devices has led to an increase in 
cyber bullying as well as gaming and 
device addiction around the world. As 
a communications provider, we play 
a role in educating our customers 
about the risks of cyber bullying, and 
promoting cyber wellness and online 
safety among vulnerable children and 
youth. Our programmes aim to nurture 
responsible digital citizens.

To help parents better guide their 
children to be safer “netizens” in 
the cyber world, we introduced 
notAnoobie in Singapore, a mobile 
app that was co-developed with 
TOUCH Cyber Wellness, a not-for-
proﬁ t organisation that provides cyber 
wellness services to youth. Available 
in English and Chinese, it contains 
useful information, tips and success 
stories on gaming, social media and 
device addiction, cyber bullying 
and inappropriate content.

As children are receiving earlier 
exposure to the internet, there is 
a need to engage them early in 
our outreach eff orts. During the 

year, we partnered iZ HERO Lab, 
whose award-winning educational 
programme iZ HERO teaches young 
children to navigate cyber space safely. 
Outreach programmes, assembly 
talks, classroom sessions and web-
based activities were used in a fun 
and engaging way to teach more than 
24,000 students in 62 primary schools 
in Singapore about cyber risks between 
July and November 2014.

In Australia, our Optus Digital 
Thumbprint Programme uses face-to-
face workshops to teach high school 
students to be savvy, responsible and 
proactive members of the online 
community. Since the programme was 
launched in 2013, we have reached 
more than 54,000 students through 
1,800 workshops in New South Wales 
and Victoria. In 2014, the Optus 
Digital Thumbprint Programme was 
recognised with a Communications 
Alliance and Communications Day 
ACOMMS award and was a ﬁ nalist in 
the Melbourne Community Awards.

CREATING OPPORTUNITY
We support children and youth 
with special needs so that they can 
lead independent lives. In 2014, we 
extended our support to train people 
with disabilities and help them gain 
employment. 

To help people with disabilities ﬁ nd 
work after they ﬁ nish school, we 
donated S$1.1 million to set up the 
Singtel Enabling Innovation Centre in 
Singapore. This is a community space 
with services and experts that assist 
young people to lead independent 
lives and enhance their employability. 
In addition, we support the curriculum 
development and will provide the 
expertise and time to support training 
programmes for the contact centre 
and ICT literacy courses at the facility, 
which is expected to be ready by the 
end of 2015. 

Since 2002, the Singtel Touching Lives 
Fund (STLF) has been raising money 
for programmes that help children and 

1

2

3

4

1  Optus’ mentoring programme 

helps disadvantaged students from 
high-needs schools

2  The Optus mobile student2student 
programme in partnership with 
The Smith Family has vastly 
improved the reading skills of 
students

3  Singtel is the title sponsor of the 

Race Against Cancer

4  Optus raised A$365,000 for 

Tour de Cure, with six employees 
participating in the cycling 
marathon

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Sustainability

youth with special needs. To date, 
STLF has raised over S$30 million for 
more than 20 beneﬁ ciaries. 

The Australian Business and 
Community Network Scholarship 
Foundation provides ﬁ nancial and 
mentoring scholarships to high 
potential students facing economic, 
family or social challenges which 
impact their study or capacity 
to pursue their desired tertiary 
pathways. Through a staff  
crowdfunding exercise in Australia, 
Optus raised A$10,000 to support 
one of 14 scholarships awarded by 
the foundation. A dedicated Optus 
employee will mentor this student 
in setting goals and developing 
valuable workplace skills. 

Since 2005, over 2,200 Optus 
employees have volunteered 
over 22,000 hours and supported 
more than 6,200 students and 
school leaders. Through our 
mentoring programme, we aim to 
help students from disadvantaged 
backgrounds in high-needs schools 
by providing them with the support 
and life skills to help them learn, 
grow and navigate their way 
through life. 

In partnership with The Smith 
Family, Optus continued to support 
the mobile student2student 
programme, pairing students with 
reading diffi  culties with advanced 
student “buddy” readers through a 
peer-tutoring reading programme. 
During the year, 500 readers aged 
eight to 14 read to their buddies 
using mobile phones supplied and 
powered by Optus. This intensive 
reading programme is conducted 
two to three times a week over 
18 weeks in the school year. As a 
result, 94% of students improved 
their reading skills and 84% of 
students said they felt better 
about themselves after the 
programme as they found it 
easier to do school work.

The Singtel Group also supports 
eff orts in Singapore and Australia 
that promote cancer awareness and 
provide assistance to those aff ected 
by cancer. For the 5th year in 2014, 
Optus supported Tour de Cure, a 
cycling marathon covering 1,576 
kilometres from Sydney to Hobart 
over 10 days. More than 100 riders 
participated and six employees 
formed the Optus Tour De Cure 
team, raising A$365,000.

As part of STLF, Singtel has been 
supporting the Singapore Cancer 
Society (SCS) in running its Help the 
Children and Youth Programme 
since 2009. We are the title sponsor 
for the annual Race Against Cancer 
and donated S$250,000 to SCS in 
2014, bringing our total donation to 
S$1.25 million in six years.

EXTENDING OUR SUPPORT
Giving back to the community is 
an important part of the Singtel 
Group culture. Active employee 
volunteerism directly helps the 
community while contributing to 
the holistic development of our 
people, who gain empathy, team 
spirit and a broader perspective
of the communities in which we live 
and work. 

Each year, we give our staff  a 
day’s paid leave to spend their 
time on a worthy cause. We also 
encourage business units to adopt 
“VolunTeaming”, a teambuilding 
concept we introduced in 2010 
that encourages our people to 
volunteer with their colleagues at 
department level. During the year, 
we clocked more than 15,000 
volunteering hours in Singapore.

At the 2nd annual Singtel carnival – 
our mass staff  volunteering platform 
– 500 children from the STLF 
beneﬁ ciaries were treated to fun and 
games at 35 stalls organised and 
manned by 1,000 staff  volunteers.

People

Our people are key to what we stand 
for. We want our employees to be 
proud ambassadors of the company. 
We strive to achieve this through a fair, 
performance-based work culture that 
is diverse, inclusive and collaborative. 

We work hard to develop our 
people and help them reach their 
full potential. Investing in staff  is 
crucial to our success and we have 
many programmes to develop our 
people, regardless of whether they 
are just starting their careers or are 
experienced professionals. 

CULTIVATING EXCELLENCE 
AND TALENT
To nurture young talent, we are 
growing our successful Management 
Associate Programme with more 
hires. In FY 2015, 54 graduates across 
Singapore and Australia joined the two-
year programme, an increase from the 
43 graduates hired in the previous year. 

We introduced the Singtel Cadet 
Scholarship Programme in January 
2015 to build a pipeline of talent for 
the industry. Under this programme, 
up to 90 students a year can receive 
scholarships to study diploma courses 
at Singapore Polytechnic and Republic 
Polytechnic in network engineering, 
cyber security and customer 
experience.

The Regional Leadership in Action and 
Game for Global Growth programmes 
also continue to stretch and grow talent 
across the region. A total of 117 high 
calibre employees attended these two 
regional programmes in the past year.

We established a Group Centre of 
Operational Excellence in 2009 
to empower our people with best 
business practices and excellence, and 
focused mindsets to deliver sustainable 
customer, process and people 
excellence. Over 7,500 employees 
in Singtel, Optus and our regional 
mobile associates have been trained 

92

in various skill levels of Lean Six Sigma 
and Business Process Management 
competencies since 2009, including 
more than 1,000 employees in FY 2015.

LEADERS OF THE FUTURE
Opportunities to connect with 
colleagues across the business help 
our staff  build their knowledge and 
capabilities, as well as advance their 
careers within the Singtel Group. We 
have a full range of management and 
technical training programmes. In 
FY 2015, staff  undertook an average 
of more than 30 hours of learning.

One of our more popular events is 
the annual Learning Fiesta, which 
off ers staff  access to well-known 
keynote speakers, as well as short 
courses and other activities. In FY 2015, 
there were more than 20,000 learning 
spaces for 170 courses. Employees 
in Australia, Malaysia, Singapore and 
the US actively participated in the 
Learning Fiesta.

More than 2,000 employees also 
attended career management sessions, 
and career guides were developed 
and made available on Singtel’s 
intranet, Espresso.

GENDER DISTRIBUTION

CELEBRATING OUR WORKPLACE 
We promote a culture anchored on 
our ﬁ ve core values of Customer 
Focus, Challenger Spirit, Teamwork, 
Integrity and Personal Excellence.

We remain committed to a safe, 
healthy work environment fostered 
through a collaborative partnership 
with employees directly as well as 
through our open and consultative 
relationship with the Union of 
Telecoms Employees of Singapore 
(UTES) and the Employee Partnership 
in Australia. 

We know employee engagement is
fundamental to customer satisfaction, 
and ultimately to business performance. 

We have been measuring employee 
engagement since 1998. In 2012, we 
began tracking employee advocacy 
ratings to measure our employees’ 
willingness to recommend Singtel as 
a good place to work, and to endorse 
our products and services. 

In FY 2015, we also introduced 
E2E: Empower to Engage, which 
gives employees a personalised 
engagement report with 
recommendations on how to 
improve their own engagement levels. 

SINGAPORE

AUSTRALIA

Male

Female

Male

Female

Operational Support

Professional

Middle Management

Top and Senior Management

55%

68%

63%

67%

45%

32%

37%

33%

58%

73%

81%

87%

42%

27%

19%

13%

Total

62%

38%

68%

32%

Singtel Management join UTES General 
Secretary Thuvinder Singh and President 
Roger Tan at the annual May Day celebration

OVER

23,000

Total Staff 

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Sustainability

Our commitment to workforce diversity

As a leading employer, we are committed to 
developing and maintaining a diverse, inclusive and 
collaborative workplace and culture. Through our 
values, policies and behaviours, we aim to promote 
an environment where individual diff erences are 
recognised and valued. All employees have the 
opportunity to realise their potential and contribute 
to our overall success.

Our workforce comprises more than 23,000 
employees with diverse perspectives, backgrounds 
and life experiences. This diversity helps us to forge 
stronger connections with our customers, as well 
as engage conﬁ dently at the workplace and global 
marketplace. It also exposes us to innovation which 
takes shape in diff erent geographies and industries.

Diversity at the Group refers to the ways in which 
we accept and respect diff erences, including gender, 
age, ethnicity, language, cultural background, physical 
ability and lifestyle choice. The Singtel Group 
actively seeks to promote diversity across four key 
areas of gender diversity, a multi-generational and 
multi-cultural workforce, and diff ering abilities.

Our commitment to diversity and inclusion includes 
establishing measurable objectives, beginning with 
gender diversity in our main employee populations 
in Australia and Singapore. We will continue to 
improve the proportion of women across all levels 
of our workforce, ensuring that females are well 
represented across the Group.

AGE DISTRIBUTION (1)

10,404 
EMPLOYEES IN 
SINGAPORE 
as at 31 March 2015 (1)

9,377 
EMPLOYEES IN 
AUSTRALIA 
as at 31 March 2015 (1)

Our people
 come from

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DIFFERENT 
COUNTRIES

  Boomers (Pre 1964)
  Gen X (1965–1977)
  Gen Y (1978 onwards)

22%
34%
44%

  Boomers (Pre 1964)
  Gen X (1965–1977)
  Gen Y (1978 onwards)

15%
37%
48%

Notes:
(1)  Does not include employees in offices outside of Singapore and Australia.

1

2

94

1  The Singtel Cadet Scholarship 
Programme helps nurture 
young talent and build the 
company’s talent pipeline

2  Singtel staff  learning new 
skills at The Learning Café 
– a prelude to the annual 
Learning Fiesta

Environment

As we expand our network and 
infrastructure to cater to the growing 
demand for our services, we need to 
ensure that we operate as effi  ciently 
as possible to minimise our impact 
on the environment. 

TOWARDS A GREEN WORLD
Our environmental strategy focuses 
on four key areas: addressing climate 
change, integrating the environment 
agenda into our broader value chain 
which includes business operations, 
suppliers and customers, engaging our 
stakeholders and taking responsibility 
for our products and resources. 

Addressing climate change
We are addressing climate change 
through mitigation and adaptation 
measures. We focus on energy 
management as our emissions are 
predominantly through electricity 
use. We will also ensure that we 
build a network that is resilient to 
the impacts of climate change. In 
Australia, Optus is a founding member 
of the Australian Business Roundtable 
for Disaster Resilience and Safer 
Communities to drive inter-industry 
collaboration, research and policy 
advocacy to build better infrastructure 
and community resilience to the 
many natural disasters that impact 
the country.

Managing our supply chain 
We are implementing a Sustainable 
Supply Chain Management Framework, 
and have adopted a holistic approach 
to understanding and managing the 
environmental impact of our activities 
and other risks in our supply chain. 
We have also updated our supplier 
code of conduct across the Group 
to make it more robust and ensure 
that we adhere to the United Nations 
Global Compact commitments and 

address other material issues in our 
value chain. The UN Global Compact 
is a strategic policy initiative for 
businesses that are committed to 
aligning their operations and strategies 
with 10 universally accepted principles 
in the areas of human rights, labour, 
environment and anti-corruption. 

Little Eco Steps
In 2011, we launched our Project 
LESS (Little Eco StepS) environmental 
campaign, which encourages staff  to 
adopt practices that reduce our carbon 
footprint and overall environmental 
impact. Simple acts such as using 
less paper can help us care for the 
environment. 

In Singapore, we work with the 
National Parks Board for our annual 
Plant-a-Tree Day, where planting 
local trees help us conserve our 
environment. We have planted 800 
trees since 2009, involving 1,600 staff  
volunteers over the years. 

In Australia, some of the little eco-
steps we have taken include Clean 
Up Australia Day, tree planting and 
supporting Earth Hour.

Product and resource responsibility 
Singtel and Optus generate e-waste 
through the electronic devices that 
staff  use for work. At the end of each 
item’s life, the data is destroyed and the 
item is resold, reused or recycled. This 

programme is very eff ective and we 
have high rates of reuse and recycle. 
We also have a buyback scheme 
for customers as well as recycling 
facilities for old electronic products 
and accessories through the Singtel 
e-waste recycling programme in 
Singapore and Mobile Muster 
programme in Australia. 

OUR PERFORMANCE
Our eff orts to go green are recognised 
globally. We were ranked 29th 
globally in the 2014 Newsweek 
Green Rankings, which assess the 
environmental performance of the 
500 largest, publicly traded, global 
companies according to market 
capitalisation.

The CDP (previously known as the 
Carbon Disclosure Project) gave Singtel 
a score of 80B out of 100 in 2014, 
an improvement in both disclosure 
and performance over 76C in the 
previous year. The index recognises 
global companies for achievements 
and transparency in tackling climate 
change and its scores are based on 
disclosure and performance.

The Singtel Group will continue to 
reach out to stakeholders for feedback 
on our sustainability strategy and 
programmes so that we can do more 
to change the lives of people in 
communities around us for the better.

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Since 2009, 1,600 staff  
volunteers have planted 
800 trees in Singapore at 
our annual Plant-a-Tree Day

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Sustainability

KEY ENVIRONMENTAL AND SOCIAL PERFORMANCE INDICATORS

Singapore

Australia

2015

2014

2015

2014

Energy use (GJ)

1,338,904

1,274,390

1,533,360

1,407,028

Environmental 
Performance (1)

Carbon footprint (tonnes CO2e)
Water use (cubic metres)

176,454

691,389

186,303

705,886

402,750

346,102

60,422

91,955

Social 
Performance 
– People

Hazardous and non-hazardous waste  

(tonnes)

Employee turnover (%)

Employee turnover by gender (%)

– Male

– Female

Average training hours 

Workplace injury rate 

(number of workplace injuries 
per 100,000 persons employed)

Accident frequency rate 

(number of workplace accidents 
per million man hours worked)

Accident severity rate

(number of man days lost to 
workplace accidents per million 
man hours worked)

Social 
Performance 
– Community

Community investment

Total volunteering hours 

4,015

4,124

1,425

1,271

13.8

14.7

12.3

33.3

12.9

11.5

15.1

31.0

10.4

9.0

13.0

32.2

8.4

9.0

10.0

28.5

141.4

143.7

257.0

146.5

0.4

0.3

0.8

0.7

7.3

7.7

16.6

19.8

S$10.1
million

15,109

S$9.3
million

A$8.7
million

12,144

11,505

A$9.7
million

8,724

Note:
(1)  Please refer to the Singtel Group and Optus sustainability reports for the reporting scope of environmental indicators.

For more details, refer to our Sustainability Report at: singtel.com/sr2015

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Group Five-year 
Financial 
Summary

Income Statement (S$ million)
Group operating revenue 
  Singtel
  Optus
  Optus (A$ million)

Group EBITDA 
  Singtel
  Optus
  Optus (A$ million)

Share of associates’ pre-tax proﬁ ts 
Group EBITDA and share of associates’ pre-tax proﬁ ts 
Group EBIT
Net proﬁ t after tax
Underlying net proﬁ t (1)
Exchange rate (1 A$ against S$) (2)

Cash Flow (S$ million)
Group free cash ﬂ ow (3)
  Singapore 
  Optus
  Optus (A$ million)
  Associates’ dividends (net of withholding tax)
Cash capital expenditure

Balance Sheet (S$ million)
Total assets 
Shareholders’ funds
Net debt 

Key Ratios
Proportionate EBITDA from outside Singapore (%) (4)
Return on invested capital (%) (5)
Return on equity (%)
Return on total assets (%)
Net debt to EBITDA and share of associates’ 
  pre-tax proﬁ ts (number of times)
EBITDA and share of associates’ pre-tax proﬁ ts 
to net interest expense (number of times)

Per Share Information (S cents)
Earnings per share - basic
Earnings per share - underlying net proﬁ t (1)
Net assets per share
Dividend per share - ordinary
Dividend per share - special

“Singtel” refers to the Singtel Group excluding Optus.

Financial Year ended 31 March

2015

2014

2013

2012

2011

17,223
7,348
9,875
8,790

5,091
2,146
2,945
2,624

2,579
 7,670 
 5,508 
3,782
3,779
1.123

3,549
1,379
1,070
976
1,100
2,238

16,848
6,912
9,936
8,466

5,155
2,223
2,932
2,502

2,201
 7,357 
 5,224 
3,652
3,610
1.174

3,249
1,181
1,020
903
1,048
2,102

18,183
6,732
11,451
8,934

5,200
2,147
3,053
2,381

2,106
 7,306 
 5,178 
3,508
3,611
1.282

3,759
1,491
1,367
1,068
900
2,059

18,825
6,551
12,275
9,368

5,219
2,128
3,091
2,357

2,005
 7,223 
 5,222 
3,989
3,676
1.310

3,462
1,170
1,451
1,111
841
2,249

18,071
6,401
11,670
9,284

5,119
2,183
2,937
2,334

2,141
7,260
5,291
3,825
3,800
1.257

4,038
1,436
1,519
1,206
1,084
2,005

42,067
24,733
7,963

39,320
23,868
7,534

39,984
23,965
7,477

40,418
23,428
7,860

39,282
24,328
6,023

 74 
 12.1 
 15.6 
 9.3 

 1.0 

 73 
 11.6 
 15.3 
 9.2 

 75 
 11.8 
 14.8 
 8.7 

 76 
 12.0 
 16.7 
 10.0 

 75 
 12.5 
 16.0 
 9.9 

 1.0 

 1.0 

 1.1 

 0.8 

 29.2 

 28.7 

 24.5 

 20.7 

 21.8 

23.73
23.71
155.21
17.5
–

22.92
22.65
149.80
16.8
–

22.02
22.66
150.42
16.8
–

25.04
23.07
147.08
15.8
–

24.02
23.86
152.75
15.8
 10.0 

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(1)   Underlying net profit is defined as net profit before exceptional items. 
(2)   Average A$ rate for translation of Optus’ operating revenue.
(3)   Free cash flow refers to cash flow from operating activities, including dividends from associates, less cash capital expenditure.  
(4)   Comparatives have been restated to be consistent with FY 2015.
(5)   Return on invested capital is defined as EBIT (post-tax) divided by average capital.

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Group Five-year 
Financial 
Summary

FIVE-YEAR FINANCIAL REVIEW 

FY 2015
The Group delivered a strong set 
of results. Operating revenue was 
S$17.22 billion, 2.2% higher than 
FY 2014 with growth across all 
the business units. EBITDA was 
S$5.09 billion, 1.3% lower than 
FY 2014 with the Australian Dollar 
weakening 4% against the Singapore 
Dollar. In constant currency terms, 
revenue grew 4.8% and EBITDA 

FY 2014
The Group delivered a resilient 
performance against industry 
challenges and currency headwinds. 
Operating revenue was S$16.85 
billion, 7.3% lower than FY 2013 
with the Australian Dollar weakening 
8% against the Singapore Dollar. 
In constant currency terms, revenue 
would have declined 2.3% with lower 
mobile revenue in Australia and a 

FY 2013
The Group delivered resilient earnings 
amid signiﬁ cant industry changes 
while it continued to invest in 
transformational initiatives to drive 
long-term growth. Operating revenue 
was S$18.18 billion, 3.4% lower than 
FY 2012 due to lower mobile revenue 
in Australia. EBITDA was stable at 
S$5.20 billion. In constant currency 
terms, revenue declined 2.1% but 

FY 2012
The Group’s operating revenue 
grew 4.2% to S$18.83 billion, 
underpinned by robust mobile growth 
in Singapore and 4% appreciation 
of the Australian Dollar. EBITDA rose 
1.9% to S$5.22 billion with lower 
customer acquisition costs in Australia 
partly off set by investments in 
TV content and higher mobile 

FY 2011
The Group’s operating revenue 
grew 7.1% to S$18.07 billion, led 
by a robust mobile performance 
and a 3% strengthening of the 
Australian Dollar. EBITDA increased 
5.6% to S$5.12 billion with growth 
from Optus. 

98

rose 1.3% despite operating losses 
from the digital businesses. 

services, with earnings growth led by 
Airtel India, Telkomsel and Globe. 

The associates’ pre-tax contributions 
rose strongly by 17% to S$2.58 billion 
and would have increased 21% 
excluding the currency translation 
impact. The regional mobile associates 
registered strong customer growth 
and increased demand for mobile data 

Underlying net proﬁ t grew 4.7% 
and net proﬁ t including exceptional 
items increased 3.5% to S$3.78 
billion. In constant currency terms, 
underlying net proﬁ t and net proﬁ t 
would have increased 7.5% and 
6.2% respectively from FY 2014. 

cautious business climate. EBITDA 
was relatively stable at S$5.16 billion 
but in constant currency terms 
increased 4.5% on an improved 
cost structure. 

The associates’ pre-tax contributions 
rose 4.5% to S$2.20 billion and would 
have increased strongly by 13% 
excluding the currency translation 
impact. The regional mobile 

associates registered robust demand 
for mobile data services, with earnings 
growth led by Airtel India. 

Underlying net proﬁ t was stable at 
S$3.61 billion and net proﬁ t including 
exceptional items grew 4.1% to S$3.65 
billion. In constant currency terms, 
underlying net proﬁ t and net proﬁ t 
would have increased 5.9% and 10% 
respectively from FY 2013. 

EBITDA grew 1.0% on strong cost 
management. 

The associates’ pre-tax contributions 
grew 5.0% to S$2.11 billion. Excluding 
the currency translation impact, the 
associates’ pre-tax contributions 
would have increased strongly by 12%, 
underpinned by double-digit earnings 
growth from Telkomsel and AIS. 

Underlying net proﬁ t was S$3.61 
billion, a decrease of 1.8% from 
FY 2012. Excluding currency 
translation impact, underlying 
net proﬁ t rose 1.4%. Including net 
exceptional losses mainly from 
disposal of Warid Pakistan in FY 2013, 
net proﬁ t declined 12% to S$3.51 
billion in FY 2013. 

customer acquisition and retention 
costs in Singapore. 

and AIS partially off set by Airtel’s lower 
earnings. 

The associates’ pre-tax contributions 
declined 6.4% to S$2.01 billion. 
Excluding currency translation impact, 
the associates’ pre-tax contributions 
would have been stable, driven by 
strong proﬁ t growth from Telkomsel 

Underlying net proﬁ t was S$3.68 
billion, 3.3% lower than FY 2011. 
Including net exceptional gains and 
an exceptional net tax credit of 
S$270 million on the increase in value 
of assets transferred to an associate, 
net proﬁ t grew 4.3% to S$3.99 billion. 

The associates’ pre-tax contributions 
declined 11% to S$2.14 billion. Both 
Telkomsel and Globe reported lower 
proﬁ ts on increased competitive 
pressures. Airtel’s earnings were 
impacted by higher depreciation 
and amortisation charges, losses 
from its newly acquired African 

operations in June 2010, as well as 
related acquisition ﬁ nancing and 
transaction costs. 

Underlying net proﬁ t was S$3.80 
billion, a decrease of 2.8% from 
FY 2010. Including net exceptional 
gains, net proﬁ t declined 2.1% to 
S$3.83 billion.

Group 
Value Added 
Statements

GROUP VALUE ADDED STATEMENTS

PRODUCTIVITY DATA

Value added from:
  Operating revenue 

Less: Purchase of goods and services 

  Other income 

Interest and investment income (net)
  Share of results of associates (post-tax)
  Exceptional items 

 FY 2015
S$ million

FY 2014
S$ million

17,223
(9,823)
7,400

151
93
1,735
15
1,994

16,848
(9,515)
7,333

 108 
125
1,393
114
1,739

Value added 
(S$ million)

2015
2014

9,395
9,072

323

Value added per employee 
(S$’000)

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Total value added

9,395

9,072

2015
2014

409
416

7

Distribution of total value added 
  To employees in wages, salaries and beneﬁ ts
  To government in income and other taxes
  To providers of capital on: 

- Interest on borrowings 
- Dividends to shareholders 

2,461
679

309
2,678

2,285
691

306
2,678

Total distribution 

6,126

5,960

Retained in business  
  Depreciation and amortisation 
  Retained proﬁ ts
  Non-controlling interests 

2,161
1,104
3
3,268

2,133
974
 5 
3,112

Total value added 

9,395

9,072

Average number of employees 

22,967

21,830

Value added per dollar 
of employment costs 
(S$)

2015
2014

3.82
3.97

0.15

Value added per dollar of turnover
(S$)

2015
2014

0.55
0.54

0.01

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99

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Management 
Discussion 
and Analysis

GROUP REVIEW

GROUP

Operating revenue

EBITDA 

EBITDA margin

Financial Year Ended 31 March

2015
(S$ miIlion)

2014
(S$ miIlion)

Change (%)

 17,223 

 16,848 

5,091

 5,155 

29.6%

30.6%

Change in 
constant 
currency (1)

(%)

4.8

1.3

20.7

7.1

8.3
-0.8

22.8

8.4

7.5

7.5

2.2

-1.3

17.2

4.3

5.4
-3.1

19.3

5.7

4.7

4.7

Share of associates' pre-tax proﬁ ts

 2,579 

 2,201 

EBITDA and share of associates' pre-tax proﬁ ts 

 7,670 

 7,357 

EBIT
(exclude share of associates' pre-tax proﬁ ts)

Net ﬁ nance expense

Taxation

 5,508 
 2,929 

 5,224 
 3,023 

 (216)

 (181)

 (1,510)

 (1,428)

Underlying net proﬁ t (2)

 3,779 

 3,610 

Underlying earnings per share (S cents)

Exceptional items (post-tax)

23.7 

 3 

22.7 

 42 

-94.1

-104.5

Net proﬁ t 

 3,782 

 3,652 

Basic earnings per share (S cents)

 23.7 

 22.9 

3.5

3.5

Share of associates' post-tax proﬁ ts 

 1,763 

 1,472 

19.7

‘’Associate’’ refers to either an associate or a joint venture as defined under Singapore Financial Reporting Standards. 

Notes:
(1)  Assuming constant exchange rates for the Australian Dollar and/or regional currencies (Indian Rupee, Indonesian Rupiah, Philippine Peso and 

Thai Baht) from the previous year ended 31 March 2014 (FY 2014). 
(2)  Underlying net profit refers to net profit before exceptional items.

6.2

6.2

23.7

100

 
 
 
 
 
 
 
 
The Group delivered a strong set of 
results against industry challenges and 
currency headwinds. Net proﬁ t grew 
3.5% to S$3.78 billion and in constant 
currency terms would have increased 
6.2% from last year. 

Operating revenue grew 2.2% to 
S$17.22 billion, despite the Australian 
Dollar weakening 4% against the 
Singapore Dollar. In constant currency 
terms, revenue would have increased 
4.8% with growth across all the 
business units. EBITDA declined 
1.3% at S$5.09 billion but in constant 
currency terms would have increased 
1.3% despite operating losses from the 
digital businesses. 

Group Consumer recorded increases 
in revenue and EBITDA of 1.4% and 
1.0% respectively. In constant currency 
terms, Group Consumer’s revenue 
would have grown 4.8% and EBITDA 
would be up 4.6%. In Singapore, despite 
keen competition, EBITDA rose 4.0% 
mainly on 6.1% increase in revenue 
driven by strong handset sales and 
growth in TV partly off set by increased 
cost of sales and selling expenses. In 
Australia, EBITDA grew 4.9% on 4.6% 
increase in revenue underpinned by 
the improved mobile performance and 
lower mobile customer acquisition 
and retention costs. 

Group Enterprise’s revenue was stable 
and EBITDA declined 1.6%. Adjusted 
for the ﬁ bre rollout business which 
was transferred to NetLink Trust from 
October 2014 (1), revenue grew 2.1% 
while EBITDA declined 2.1%. On the 
same basis and in constant currency 
terms, revenue grew 3.3% while 
EBITDA declined 1.4%, reﬂ ecting a 
cautious business environment and 
intense competition. In Singapore, 
excluding the ﬁ bre rollout business, 
revenue grew 4.5% with increased 
contributions from cloud and managed 
infocomm technology (ICT) services. 
In Australia, Optus Business’ revenue 

was stable and EBITDA improved by 
1.7%. In April 2015, Group Enterprise 
entered into a conditional agreement 
to acquire 98% of the share capital of 
Trustwave Holdings, Inc., the largest 
global independent managed security 
services provider in North America with 
presence in Europe and Asia Paciﬁ c. 

Group Digital Life’s revenue more 
than doubled to S$343 million 
with contributions from the new 
digital businesses acquired, Kontera 
Technologies, Inc. (“Kontera”), and 
Adconion Media, Inc. and Adconion 
Pty Limited (together, “Adconion”). 
Negative EBITDA was S$216 million, 
reﬂ ecting investments in digital 
businesses and initiatives. From 1 April 
2015, Group Digital Life sharpened 
its strategy to focus on three key 
businesses – digital marketing, 
regional premium video, and advanced 
analytics, in addition to strengthening 
its role as Singtel’s digital innovation 
engine through Innov8. 

The associates’ pre-tax contributions 
grew strongly by 17% to S$2.58 
billion, and would have increased 21% 
excluding the currency translation 
impact with earnings growth led by 
Airtel India, Telkomsel and Globe. 

Airtel delivered higher EBITDA on 
strong data growth and improved 
margin in India. The growth was partly 
off set by increased losses at Africa 
due to weaker operating performance 
compounded by increased fair value 
losses from the sharp depreciation 
of African currencies against the US 
Dollar. Telkomsel registered double-
digit growth in revenue and EBITDA, 
driven by robust growth in voice and 
data services which was partly off set by 
higher network costs and depreciation 
charges. Globe recorded higher proﬁ ts 
with continued growth momentum 
in mobile data services and customer 
gains. AIS reported stable proﬁ t with 
higher service revenue and regulatory 

costs savings being off set by higher 
depreciation and amortisation charges 
from 3G network investments. 

Depreciation and amortisation charges 
increased mainly due to higher 
amortisation charges of intangibles 
from digital acquisitions and spectrum 
investments. Consequently, the 
Group’s EBIT rose 5.4% to S$5.51 
billion, and would have been up 8.3% 
in constant currency terms. 

Net ﬁ nance expense increased 19% 
on higher interest expense and lower 
dividend income from Southern 
Cross Consortium, a joint venture of 
the Group. 

The increase in tax expense was due 
to higher share of associates’ taxes 
resulting from increased associates’ 
proﬁ ts as well as higher withholding 
taxes on increased dividends from the 
associates. 

Underlying net proﬁ t (before 
exceptional items) grew 4.7% to 
S$3.78 billion and in constant currency 
terms would have increased 7.5% 
from last year. 

The Group’s net exceptional gain of 
S$3 million was mainly due to 
S$65 million of gain on dilution of 
its equity interest in Singapore Post 
partially off set by staff  restructuring 
costs of S$30 million, share of Airtel’s 
one-off  items of S$17 million and share 
of Globe’s accelerated depreciation 
of S$11 million. 

The Group has successfully diversiﬁ ed 
its earnings base through its expansion 
and investments in overseas markets. 
Hence, the Group is exposed to currency 
movements. On a proportionate basis 
if the associates are consolidated line-
by-line, operations outside Singapore 
accounted for 76% of the Group’s 
proportionate revenue and 74% of 
proportionate EBITDA.

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Note:
(1)  Singtel relinquished its role as OpenNet’s key sub-contractor in respect of the fibre rollout and maintenance, following the integration of OpenNet Pte. Ltd. 

by NetLink Trust effective 1 October 2014. At the Group level, Singtel equity accounted for its 100% interest in NetLink Trust, an independently managed trust.

101

 
 
 
 
 
 
Management 
Discussion 
and Analysis

BUSINESS SEGMENT TOTALS

Operating revenue
- Group Consumer 
- Group Enterprise 
Core Business 
- Group Digital Life 
- Corporate 

Group 

EBITDA 
- Group Consumer 
- Group Enterprise 
Core Business 
- Group Digital Life 
- Corporate 

Group 

EBITDA margin
- Group Consumer 
- Group Enterprise 
- Group 

EBIT (exclude share of associates' pre-tax proﬁ ts)
- Group Consumer 
- Group Enterprise 
Core Business 
- Group Digital Life 
- Corporate 

Financial Year Ended 31 March

2015
(S$ miIlion)

2014 (1)

(S$ miIlion)

Change (%)

Change in 
constant 
currency (2)

(%)

 10,559 
 6,320 
 16,880 
343 
 – 

 10,411 
 6,268 
 16,680 
 144 
 25 

1.4
0.8
1.2
138.8
nm

17,223 

16,848 

2.2

 3,317 
 2,061 
 5,378 
(216)
(71)

 3,283 
 2,095 
 5,378 
 (170)
 (52)

5,091 

5,155 

31.4%
32.6%
29.6%

 1,839 
 1,453 
 3,291 
 (289)
 (73)

31.5%
33.4%
30.6%

 1,821 
 1,473 
 3,294 
 (218)
 (54)

1.0
-1.6
**
26.8
36.9

-1.3

1.0
-1.4
-0.1
32.6
36.8

-3.1

2.1
-2.1
-2.1

4.8
2.0
3.8
139.2
nm

4.8

4.6
-0.9
2.4
26.6
36.9

1.3

4.4
-0.9
2.0
32.5
36.8

-0.8

3.3
-1.4
-1.6

Group 

2,929 

3,023 

Group Enterprise (exclude ﬁ bre rollout and maintenance)
- Operating revenue 
- EBITDA 
- EBIT (exclude share of associates’ pre-tax proﬁ ts)

 6,240 
 1,994 
 1,386 

 6,114 
 2,036 
 1,415 

 “nm” denotes not meaningful. “**” denotes less than 0.05%.

Notes:
(1)  Comparatives have been restated to be consistent with FY 2015. 
(2)  Assuming constant exchange rate for the Australian Dollar from FY 2014. 

102

GROUP CONSUMER 
Group Consumer contributed 61% 
(FY 2014: 62%) and 65% (FY 2014: 64%) 
to the Group’s operating revenue and 
EBITDA respectively. 

Singapore Consumer revenue 
grew 6.1% mainly from growth in 
Equipment sales, Pay TV, and Mobile 
Communications revenues. Equipment 
sales rose 34% on higher handset 
sales driven by strong demand for 
smartphones. Revenue from Pay TV 
was up 35% as a result of higher content 
upgrades by customers and increase in 
the number of customers with bundled 
services. Mobile Communications 
revenue grew 1.8% with strong mobile 
data growth mitigating the declines in 
roaming, voice and SMS usage. EBITDA 
grew 4.0% notwithstanding the FIFA 
World Cup subsidy and higher handset 
subsidies from increased connection 
volumes. EBIT rose 3.5% after including 
higher depreciation charges resulting 
from the expansion and upgrading of 
mobile networks. 

Australia Consumer revenue gained 
4.6% on strong Equipment sales and 

higher mobile service revenue, partly 
off set by lower ﬁ xed revenue. EBITDA 
rose 4.9% on lower mobile customer 
acquisition and retention costs from 
higher take-up of device repayment 
plans (2). Mobile service revenue grew 
2.8% with increased ARPU and 
higher number of handset customers 
driven by the strong momentum of 
‘My Plan Plus’ off ers. Including higher 
depreciation and amortisation 
charges from increased investments 
in mobile networks and spectrum, 
EBIT increased 5.1%. 

GROUP ENTERPRISE
Group Enterprise contributed 37% 
(FY 2014: 37%) and 40% (FY 2014: 41%) 
to the Group’s operating revenue and 
EBITDA respectively. 

In Singapore, excluding the ﬁ bre 
rollout business, operating revenue 
grew 4.5% despite keen competition. 
ICT and Managed Services revenue 
was up a strong 8.3% contributed by 
greater G-Cloud adoption, growth 
in managed security services, and 
higher project implementation and 
maintenance revenue. The growth was 

partly off set by decline in International 
Telephone revenue from lower traffi  c 
and inpayments. 

In Australia, Optus Business’ operating 
revenue was stable. Growth from ICT 
and Managed Services and mobile 
revenue mitigated the declines in Data 
and IP and voice revenues due to price 
competition and migration of legacy 
data services to IP-based solutions. 

GROUP DIGITAL LIFE
Following the acquisitions of Kontera 
in July 2014 and Adconion in August 
2014, the operating revenue of Group 
Digital Life more than doubled to 
S$343 million. Negative EBITDA was 
up 27% to S$216 million, reﬂ ecting 
investments in the digital businesses 
and integration costs. Negative EBIT 
increased 33% to S$289 million 
after including higher amortisation 
of acquired intangibles. HOOQ, a 
partnership between Singtel, Sony 
Pictures Entertainment and Warner 
Bros. Entertainment, off ering regional 
over-the-top (OTT) video service, 
was launched in the Philippines in 
March 2015 and subsequently in 
Thailand and India.

Note:
(2)  Plans that enable customers to pay for devices in full or in part through monthly instalment payments over 24 months. 

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OPERATING REVENUE

By Products and Services

Mobile Communications 
Data and Internet 

Managed Services 
Business Solutions 
Infocomm Technology ("ICT")

Equipment sales
National Telephone 
International Telephone 
Digital Businesses (1)
Pay Television 
Others 

Financial Year Ended 31 March

2015
(S$ miIlion)

2014
(S$ miIlion)

Change (%)

 7,242 
 3,100 

 1,801 
 603 
 2,404 

 1,555 
 1,357 
 628 
 333 
 302 
222 

 7,250 
 3,137 

 1,701 
 568 
 2,269 

 1,244 
 1,503 
 689 
 165 
 252 
186 

Operating revenue of the Group 
grew 2.2% and in constant currency 
terms would have increased 4.8% 
from last year. 

Mobile Communications revenue was 
stable and would have grown by 3.0% 
in constant currency terms. Strong 
data growth across Singapore and 
Australia partially off set the continued 
declines in voice, SMS and roaming. 
In Singapore, Mobile Communications 
revenue increased 1.8% while mobile 
service revenue in Australia grew 2.8% 
in local currency terms.

Notes:
(1)  Comprise revenues mainly from digital 

marketing, e-commerce, concierge and 
hyper-local services. The comparatives have 
been restated to be consistent with FY 2015. 

(2)  Fibre rollout and maintenance revenue

ceased to be recognised with effect from 
1 October 2014 as Singtel relinquished its role 
as OpenNet’s key sub-contractor. 

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-0.1
-1.2

5.9
6.3
6.0

25.0
-9.7
-8.9
102.4
19.9
19.2

2.7
-47.7

2.2

Fibre rollout and maintenance (2)

Total 

 17,142 
 81 

 16,694 
 154 

17,223 

16,848 

 
 
 
 
 
Management 
Discussion 
and Analysis

ASSOCIATES

Group share of associates' pre-tax proﬁ ts

(excluding fair value losses)

 2,579 
 2,730 

 2,201 
 2,316 

17.2
17.9

Financial Year Ended 31 March

2015
(S$ miIlion)

2014
(S$ miIlion)

Change (%)

Share of post-tax proﬁ ts 
  Regional mobile associates
     Telkomsel 
     Airtel (2)

  - ordinary results (India and South Asia) (3)
  - ordinary results (Africa) 
  - exceptional items 

  AIS 
  Globe (4)

  NetLink Trust (5)
  Other associates

Group share of associates' post-tax proﬁ ts

 “@” denotes more than 500%.

 741 

 657 
 (243)
 (42)
 372 

 338 
 212 
 1,663 
37 
64 

1,763 

 705 

 344 
 (122)
 (19)
 203 

 335 
 159 
 1,402 
4 
66 

1,472 

5.1

91.0
99.0
123.7
83.2

0.9
33.2
18.6
@
-3.8

19.7

Change in 
constant 
currency (1)

(%)

20.7
21.1

14.0

88.0
96.7
118.8
80.1

1.7
32.7
22.8
@
-3.8

23.7

Notes:
(1)  Assuming constant exchange rates for the regional currencies (Indian Rupee, Indonesian Rupiah, Philippine Peso and Thai Baht) from FY 2014. 
(2)  Share of results of FY 2015 excluded the Group’s share of Airtel’s one-off items of S$17 million (FY 2014: S$15 million) which have been classified as 

exceptional items of the Group. 

(3)  With effect from 1 April 2014, Airtel reported the results of India, Bangladesh and Sri Lanka as part of its “India and South Asia” segment. Comparatives 

have been restated accordingly.

(4)  Share of results excluded the Group’s share of Globe’s accelerated depreciation arising from its network modernisation and IT transformation, which 

has been classified as an exceptional item of the Group. 

(5)  NetLink Trust is 100% owned by Singtel and is equity accounted as an associate in the Group as Singtel does not control it. On 28 November 2013, 

NetLink Trust acquired 100% of OpenNet Pte. Ltd. 

Country mobile penetration rate 
Market share, 31 March 2015 (2)
Market share, 31 March 2014 (2)
Market position (2)

Mobile customers ('000) 
- Aggregate 
- Proportionate
Growth in mobile customers (%) (3) (4)

Airtel (1)

Telkomsel

75%
23.2%
22.7%
#1

122%
46.0%
44.1%
#1

AIS

150%
45.7%
45.2%
#1

Globe

115%
39.8%
36.6%
#2

PBTL

75%
1.0%
1.2%
#6

 310,883 
 100,726 
9.6%

141,461
49,512
6.6%

 41,951 
 9,783 
-1.0%

 46,103 
 21,761 
13%

 1,246 
 561 
-12%

Notes:
(1)  Mobile penetration rate, market share and market position pertain to India market only. 
(2)  Based on number of mobile customers.
(3)  Compared against 31 March 2014 and based on aggregate mobile customers.
(4)  With effect from March 2015, AIS’ mobile customer base excludes customers who have been inactive for more than 90 days.

104

 
 
 
 
 
 
 
 
 
 
 
 
 
 
The Group’s share of the associates’ 
pre-tax and post-tax contributions 
grew 17% and 20% respectively, on 
strong earnings growth of Airtel India, 
Telkomsel and Globe. If the regional 
currencies had remained stable from 
a year ago, the pre-tax and post-tax 
contributions from the associates 
would have increased by 21% and 
24% respectively.

The regional mobile associates 
registered strong customer growth 
with increased smartphone penetration 
and data usage. Telkomsel registered 
6.6% increase in its customer base 
to 141 million, including 64 million 
data customers at end of March 2015. 
Airtel’s total mobile customer base 
covering India, Bangladesh, Sri Lanka 
and across Africa, reached 311 million 
as at 31 March 2015, up 9.6% from 
a year ago. The Group’s combined 
mobile customer base reached 555 
million in 25 countries, a growth of 
8.0% or 41 million from a year ago. 

Telkomsel’s operating revenue 
grew 11% driven by growth across 
voice and data with higher usage 
and continued customer growth. 
EBITDA grew 10% despite higher 
operation and maintenance costs 
from network expansion. Including 
higher depreciation charges on the 
accelerated network rollout, the 
Group’s share of Telkomsel’s post-tax 
proﬁ t grew 14% in Indonesian Rupiah 
terms. With the Indonesian Rupiah 
depreciating a signiﬁ cant 9% against 
the Singapore Dollar, Telkomsel’s 
post-tax contribution grew 5.1% to 
S$741 million.

Airtel continued its strong operating 
momentum in India with revenue 
growth of 12% driven by higher 
mobile data usage and customer 
gains. EBITDA grew strongly by 23% 
and margin expanded with improved 
operational effi  ciency. In Africa, amid 
challenging economic conditions 
and regulatory changes, revenue 
grew 6% in constant currency terms 
underpinned by growth in mobile data 
and ‘Airtel Money’ services. However, 
the sharp depreciation of the African 
currencies had negatively impacted 
Africa’s reported results in US Dollar 
terms resulting in revenue and EBITDA 
declining 2% and 15% respectively. 
Overall, the Group’s share of Airtel’s 
total post-tax proﬁ t grew 80% in Indian 
Rupee terms, despite higher fair value 
losses and exceptional losses. With the 
2% strengthening of the Indian Rupee 
against the Singapore Dollar, overall 
post-tax contribution from Airtel 
surged 83% to S$372 million. In March 
2015, Airtel successfully acquired 
signiﬁ cant wireless spectrum in the 
auctions which further entrenched 
its position as the leading 3G and 4G 
service provider in India. 

AIS’ service revenue (excluding 
interconnect revenue) grew 3% on 
strong demand for mobile data 
and smartphones. EBITDA grew 7% 
largely due to regulatory costs savings 
from 3G migration. Including higher 
depreciation and amortisation charges 
from continued investments in 3G 
network, AIS’ post-tax contribution was 
stable at S$338 million. 

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Globe, the second largest mobile 
phone operator in the Philippines, 
recorded service revenue growth 
of 10% driven by a higher mobile 
customer base and strong adoption 
of data services. EBITDA rose 14% 
with revenue growth off setting 
higher service and subsidy costs 
to drive customer acquisitions 
and transformation initiatives. 
Globe’s post-tax contribution rose 
strongly by 33% to S$212 million. 
This contribution excluded Globe’s 
accelerated depreciation charges 
related to its network modernisation 
and IT transformation programmes. 
The Group’s post-tax share of this 
exceptional charge of S$11 million 
(FY 2014: S$61 million) has been 
classiﬁ ed as an exceptional item of 
the Group.

NetLink Trust’s post-tax contribution 
was S$37 million, compared to 
S$4 million in FY 2014. The higher 
share of proﬁ ts reﬂ ected the enlarged 
NetLink Trust following its acquisition 
of 100% equity interest in OpenNet in 
November 2013. 

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105

 
 
 
 
 
Management 
Discussion 
and Analysis

CASH FLOW

Net cash inﬂ ow from operating activities

Financial Year Ended 31 March

2015
(S$ miIlion)

2014
(S$ miIlion)

5,787 

5,350 

Net cash outﬂ ow for investing activities

(3,557)

(2,801)

Change (%)

8.2

27.0

Net cash outﬂ ow for ﬁ nancing activities

(2,311)

(2,825)

-18.2

Net decrease in cash balance 

Exchange eff ects on cash balance 

Cash balance at beginning of year

Cash balance at end of year

  Singapore 
   Australia 
  Associates (net dividends after withholding tax)

  Group free cash ﬂ ow 
  Group free cash ﬂ ow (1)
  Australia (in A$)

Cash capital expenditure as a percentage of operating revenue

“nm’’ denotes not meaningful.

(81)

21 

623 

563 

1,379 
1,070 
1,100 

3,549 
3,549 
976 

13%

(276)

-70.6

nm

-31.7

-9.6

16.8
4.9
5.0

9.2
4.6
8.1

(13)

911 

623 

1,181 
1,020 
1,048 

3,249 
3,391 
903 

12%

Note:
(1)  Adjusted to exclude tax benefit payment of S$143 million to NetLink Trust in FY 2014. The S$143 million was subsequently applied by NetLink Trust 

towards its acquisition of OpenNet Pte. Ltd. 

FREE CASH FLOW 
The Group delivered strong free cash 
ﬂ ow of S$3.55 billion, up 9.2% from last 
year with increased cash ﬂ ows from 
Singapore, Australia and the associates. 
Free cash ﬂ ow from Singapore rose 
17% with positive movements in 
working capital including receipts 
from OpenNet in respect of the ﬁ bre 
rollout contract. Free cash ﬂ ow from 
Australia grew 8.1% to A$976 million 
with higher operating cash ﬂ ow partly 
off set by higher cash tax payments and 

capital expenditure. The dividends 
from associates increased 5.0% mainly 
on higher dividends from Telkomsel 
and Airtel. 

OPERATING ACTIVITIES
The Group’s net cash inﬂ ow from 
operating activities for the year rose 
8.2% to S$5.79 billion. The increase 
was due to favourable working capital 
movements and increased dividends 
from the associates partly off set by 
higher cash tax payments. 

106

 
INVESTING ACTIVITIES
The investing cash outﬂ ow was 
S$3.56 billion. Capital expenditure 
totalled S$2.24 billion, comprising 
S$789 million for Singapore and 
S$1.45 billion (A$1.28 billion) for 
Australia. In Singapore, major capital 
investments in the year included 
S$251 million for ﬁ xed and data 
infrastructure, S$233 million for mobile 

networks and S$105 million for ICT 
assets. In Australia, capital investments 
in mobile networks and other core 
infrastructure were A$793 million 
and A$491 million respectively. Other 
investing cash ﬂ ows included spectrum 
payments of S$865 million mainly 
for Optus’ 700 MHz spectrum and 
S$428 million for the acquisitions of 
Adconion and Kontera. 

FINANCING ACTIVITIES 
Net cash outﬂ ow of S$2.31 billion for 
ﬁ nancing activities comprised mainly 
the payments of S$1.59 billion for ﬁ nal 
dividends in respect of the previous 
ﬁ nancial year ended 31 March 2014, 
and S$1.08 billion for interim dividends 
in respect of the current ﬁ nancial year. 
Other major ﬁ nancing cash ﬂ ows 
included net increase in borrowings 
of S$737 million and interest payments 
of S$307 million. 

P
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SUMMARY STATEMENTS OF FINANCIAL POSITION 

Current assets 
Non-current assets 

  Total assets

Current liabilities 
Non-current liabilities 

  Total liabilities

  Net assets

Share capital 
Retained earnings 
Currency translation reserves (1)
Other reserves 

  Equity attributable to shareholders 
Non-controlling interests 

The Group is in a strong ﬁ nancial 
position as at 31 March 2015. Singtel 
is rated Aa3 by Moody’s and A+ by 
Standard & Poor’s.

The currency translation losses 
increased by S$520 million to 
S$4.21 billion from a year ago. 
This increase arose mainly from 
the translation of net assets of Optus 
due to a weaker Australian Dollar 
against the Singapore Dollar, and 
the impact of the weaker Indonesian 
Rupiah against the Singapore Dollar 
on translation of the Group’s 
investment in Telkomsel. 

As at 31 March

2015
(S$ miIlion)

2014
(S$ miIlion)

 4,768 
 37,299 

 4,351 
 34,969 

 42,067 

 39,320 

 5,757 
 11,542 

 5,690 
 9,737 

17,299 

15,427 

 24,768 

 23,893 

 2,634 
 27,471 
 (4,213)
 (1,159)

24,733 
35 

 2,634 
 26,367 
 (3,693)
 (1,439)

23,868 
24 

24,768 

23,893 

Note:
(1) 

‘Currency translation reserves’ relate mainly to the translation of the net assets of foreign subsidiaries, 
associates and joint ventures of the Group denominated mainly in Australian Dollar, Indian Rupee, 
Indonesian Rupiah, Philippine Peso, Thai Baht and United States Dollar. 

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107

 
 
 
 
 
Management 
Discussion 
and Analysis

CAPITAL MANAGEMENT

GROUP

Gross debt (S$ million)
Net debt (1) (S$ million) 
Net debt gearing ratio (2) (%)
Net debt to EBITDA and share of associates’ pre-tax proﬁ ts (number of times)
Net debt to EBITDA and cash dividends from associates (number of times)
Interest cover (3) (number of times)
Average maturity of borrowings (years)

As at 31 March 2015, the Group’s 
net debt was S$7.96 billion, 5.7% 
higher than a year ago.

The Group has one of the 
strongest credit ratings among 
telecommunication companies in 
the Asia Paciﬁ c region. Singtel is 
currently rated Aa3 by Moody’s 
and A+ by Standard & Poor’s. 
The Group continues to maintain 
a healthy capital structure.

Singtel maintained its dividend 
payout ratio at between 60% and 

75% of underlying net proﬁ t. For the 
ﬁ nancial year ended 31 March 2015, 
the total dividend payout, including 
the proposed ﬁ nal dividend, was 
17.5 cents per share or 74% of 
underlying net proﬁ t. The dividend 
payout is inﬂ uenced by the Group’s 
cash ﬂ ow generation, including 
dividends from associates. 

The Group remains committed to 
an optimal capital structure and 
investment grade credit ratings, 
while maintaining ﬁ nancial ﬂ exibility 
to pursue growth. 

Financial Year Ended 31 March

2015

8,526
7,963
24.3
1.0
1.3
29.2
5.3

2014

8,157
7,534
24.0
1.0
1.2
28.7
6.1

Notes:
(1)  Net debt is defined as gross debt less cash 
and bank balances adjusted for related 
hedging balances.

(2)   Net debt gearing ratio is defined as the 
ratio of net debt to net capitalisation. 
Net capitalisation is the aggregate of 
net debt, shareholders’ funds and 
non-controlling interests. 

(3)   Interest cover refers to the ratio of EBITDA 

and share of associates’ pre-tax profits to 
net interest expense.

SENSITIVITY ANALYSIS FOR 
CURRENCY TRANSLATION

If the relevant foreign currency 
changes against the Singapore Dollar 
by 10% with all other variables held 
constant, the currency translation 
impact on the Group’s net proﬁ t is 
as follows:

Optus’ net proﬁ t 
1 AUD/ S$
  - strengthened 10% 
  - weakened 10% 

Share of Telkomsel’s net proﬁ t 
IDR/ S$
  - strengthened 10% 
  - weakened 10% 

Share of Airtel’s net proﬁ t
INR/ S$
  - strengthened 10% 
  - weakened 10% 

Change in Group’s Net Proﬁ t 

FY 2015
S$ million

FY 2014
S$ million

 94.2 
 (94.2)

 97.6 
 (97.6)

 74.1 
 (74.1)

 70.5 
 (70.5)

 35.5 
 (35.5)

 18.8 
 (18.8)

108

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Financial
Statements

Statement of Directors
Independent Auditors’ Report

110 Directors’ Report
118
119
120 Consolidated Income Statement
121 Consolidated Statement of 

Comprehensive Income
Statements of Financial Position
Statements of Changes in Equity

122
124
128 Consolidated Statement of  

Cash Flows

PB

132 Notes to the Financial Statements

109
109

 
  
 
 
 
 
  
 
 
 
Directors’  
Report

For the financial year ended 31 March 2015

The Directors present their report to the members together with the audited financial statements of the Company (“Singtel”) 
and its subsidiaries (the “Group”) for the financial year ended 31 March 2015.

1. 

DiREcTORS

The Directors of the Company in office at the date of this report are –

Simon Claude Israel (Chairman) 
Chua Sock Koong (Group Chief Executive Officer) 
Bobby Chin Yoke Choong 
Fang Ai Lian 
Venkataraman Vishnampet Ganesan (appointed on 2 February 2015)
Christina Hon Kwee Fong (Christina Ong) (appointed on 7 April 2014)
Low Check Kian 
Peter Edward Mason AM (1) 
Kaikhushru Shiavax Nargolwala
Peter Ong Boon Kwee
Teo Swee Lian (appointed on 13 April 2015)

Dominic Chiu Fai Ho, who served during the financial year, retired following the conclusion of the Annual General 
Meeting on 25 July 2014.

David Michael Gonski AC (2), who served during the financial year, resigned with effect from 1 April 2015.

Notes:
(1)  Member of the Order of Australia. 
(2)  Companion of the Order of Australia.

2. 

aRRanGEMEnTS  TO  EnaBlE  DiREcTORS  TO  acQUiRE  BEnEFiTS  BY  MEanS  OF  THE  acQUiSiTiOn  OF 
SHaRES anD DEBEnTURES

Neither  at  the  end  of  nor  at  any  time  during  the  financial  year  was  the  Company  a  party  to  any  arrangement  
whose object is to enable the Directors of the Company to acquire benefits by means of the acquisition of shares 
in,  or  debentures  of,  the  Company  or  any  other  body  corporate,  except  for  performance  shares  granted  under  
the  Singtel  Performance  Share  Plan  (the  “Singtel  PSP  2003”)  and  the  Singtel  Performance  Share  Plan  2012  
(the “Singtel PSP 2012”). 

110

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111

 
 
 
 
 
 
 
  
 
 
 
Directors’  
Report

For the financial year ended 31 March 2015

3. 

DiREcTORS’ inTERESTS in SHaRES anD DEBEnTURES

The interests of the Directors holding office at the end of the financial year in the share capital of the Company and 
related corporations according to the register of Directors’ shareholdings kept by the Company under Section 164 
of the Singapore Companies Act were as follows –

Singapore Telecommunications Limited
(Ordinary shares)
Simon Claude Israel 
Chua Sock Koong 
Bobby Chin Yoke Choong
Fang Ai Lian 
Low Check Kian
Peter Edward Mason AM
Kaikhushru Shiavax Nargolwala
Christina Ong
Peter Ong Boon Kwee
Teo Swee Lian
David Michael Gonski AC 

(American Depositary Shares)
Venkataraman Vishnampet Ganesan 

Mapletree Commercial Trust Management Ltd.
(Unit holdings in Mapletree Commercial Trust)
Simon Claude Israel
Bobby Chin Yoke Choong

Mapletree Greater China Commercial Trust  
  Management Ltd.

(Unit holdings in Mapletree Greater China  

  Commercial Trust)
Simon Claude Israel
Chua Sock Koong
Peter Ong Boon Kwee

Mapletree Industrial Trust Management Ltd.
(Unit holdings in Mapletree Industrial Trust)
Simon Claude Israel
Chua Sock Koong
Bobby Chin Yoke Choong

Mapletree Logistics Trust Management Ltd.
(Unit holdings in Mapletree Logistics Trust)
Simon Claude Israel
Kaikhushru Shiavax Nargolwala

(Perpetual securities)
Kaikhushru Shiavax Nargolwala

Holdings registered in the name  
of Director or nominee

Holdings in which Director  
is deemed to have an interest

At 31 March 2015

At 1 April 2014 
or date of 
appointment,  
if later

At 31 March 2015

At 1 April 2014 
or date of 
appointment,  
if later

F
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c
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S

i

683,500 (1)

5,692,097
–
91,930
1,490
100,000 (4)
400,000 (5)

–
870
190
–

602,821
4,390,513
–
91,930
1,490
100,000
400,000
–
870
190
–

3,200 (6)

3,200

3,456,000 (7)

–

3,456,000 
–

1,360 (2)
4,458,159 (3)

–
–
–
–
–
–

1,537 (2)

–
–

–

–

100,000 (2)

1,360
4,604,495
–
–
–
–
–
–
1,537
–
–

–

–
100,000

1,000,000 (7)
430,000
–

1,000,000
430,000
–

–

50,000 (2)
32,000 (2)

–
50,000 
32,000

990,160 (7)
11,000
129,600

990,160 
11,000
129,600

1,000,000 (7)
200,000 (8)

1,000,000
–

–

5,000

–
–
–

–
–

–

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110

111

 
 
 
  
 
 
 
Directors’  
Report

For the financial year ended 31 March 2015

3. 

DiREcTORS’ inTERESTS in SHaRES anD DEBEnTURES (Cont’d)

Neptune Orient Lines Limited
(Ordinary shares)
Bobby Chin Yoke Choong

(S$280,000,000 in principal amount  
  of 4.65% unsecured notes due 2020)
Kaikhushru Shiavax Nargolwala

Olam International Limited
(S$400,000,000 in principal amount  
  of 4.25% bonds due 2019)
Teo Swee Lian

(Warrants over shares)
Low Check Kian

Singapore Airlines Limited
(Ordinary shares)
Simon Claude Israel
Chua Sock Koong
Bobby Chin Yoke Choong
Low Check Kian 

Holdings registered in the name  
of Director or nominee

Holdings in which Director  
is deemed to have an interest

At 1 April 2014 
or date of 
appointment,  

At 31 March 2015

if later At 31 March 2015

At 1 April 2014 
or date of 
appointment,  
if later

–

–

29,489 (2)

29,489

S$750,000 (5)

  (principal amount)

S$750,000
(principal amount)

S$250,000
  (principal amount)

S$250,000
(principal amount)

–

–

–

–

1,905,907 (9)

9,000 (10)
2,000
–
5,600

9,000 
2,000
–
5,600

Singapore Technologies Engineering Limited
(Ordinary shares)
Fang Ai Lian 
Christina Ong 
Kaikhushru Shiavax Nargolwala

50,000
1
–

50,000
1
53,000

SIA Engineering Company Limited
(Ordinary shares)
Kaikhushru Shiavax Nargolwala

Tiger Airways Holdings Limited
(Ordinary shares)
Low Check Kian

(Perpetual convertible capital securities)
Low Check Kian

34,000 (5)

8,325,000

937,500

–

–

–

112

–

–

–

–
–
2,000
–

–
–
–

–

–

–

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–
–

2,000 (2)

–

–
–
–

–

–

–

 
  
 
 
 
Directors’  
Report

For the financial year ended 31 March 2015

3. 

DiREcTORS’ inTERESTS in SHaRES anD DEBEnTURES (Cont’d)

Notes:
(1)  679,089 ordinary shares held in the name of Citibank Nominees Singapore Pte Ltd and 4,411 ordinary shares held in the name of DBS Nominees Pte Ltd.
(2)  Held by Director’s spouse.
(3)  Chua Sock Koong’s deemed interest of 4,458,159 shares included:

(a)  28,137 ordinary shares held by Ms Chua’s spouse; and
(b)  An aggregate of up to 4,430,022 ordinary shares in Singtel awarded to Ms Chua pursuant to the Singtel PSP 2003 and Singtel PSP 2012, 
subject  to  certain  performance  criteria  being  met  and  other  terms  and  conditions.  Depending  on  the  extent  of  the  satisfaction  of  the 
relevant performance criteria, up to an aggregate of 6,546,979 ordinary shares may be released pursuant to the conditional awards granted.
According  to  the  Register  of  Directors’  Shareholdings,  Ms  Chua  had  a  deemed  interest  in  10,836,742  shares  held  by  DBS  Trustee  Limited, 
the  trustee  of  a  trust  established  for  the  purposes  of  the  Singtel  PSP  2003  and  the  Singtel  PSP  2012  for  the  benefit  of  eligible  employees  
of  the  Group  as  at  19  November  2012  being  the  date  on  which  the  Securities  and  Futures  (Disclosure  of  Interests)  Regulations  2012  (the  
“SFA (DOI) Regulations”) came into operation. Under regulation 6 of the SFA (DOI) Regulations, Ms Chua is exempted from reporting interests 
and changes in interests in shares held by the trust with effect from 19 November 2012.

(4)   Held by Burgoyne Investments Pty Ltd as trustee for Burgoyne Superannuation Fund. Both Peter Edward Mason AM and his spouse are directors 

of Burgoyne Investments Pty Ltd and beneficiaries of Burgoyne Superannuation Fund.

(5)  Held in the name of DBS Nominees Pte Ltd.
(6)   3,200 American Depositary Shares, evidenced by American Depositary Receipts, representing 32,000 ordinary shares in Singtel.
(7)  Held in the name of Citibank Nominees Singapore Pte Ltd. 
(8)  Held in the name of HSBC (Singapore) Nominees Pte Ltd.
(9)  Held by Cluny Capital Limited. Mr Low Check Kian is the sole shareholder of Cluny Capital Limited.
(10)  6,200 ordinary shares held in the name of Citibank Nominees Singapore Pte Ltd and 2,800 ordinary shares held in the name of DBS Nominees Pte Ltd.

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According  to  the  register  of  Directors’  shareholdings,  there  were  no  changes  to  any  of  the  above-mentioned 
interests between the end of the financial year and 21 April 2015.

4. 

DiREcTORS’ cOnTRacTUal BEnEFiTS

Since the end of the previous financial year, no Director has received or become entitled to receive a benefit by 
reason of a contract made by the Company or a related corporation with the Director or with a firm of which he is 
a member, or with a company in which he has a substantial financial interest except as disclosed in the notes to the 
financial statements and in this report.

5. 

PERFORMancE SHaRES

The  Executive  Resource  and  Compensation  Committee  (“ERCC”)  is  responsible  for  administering  the  Singtel 
performance share plans. At the date of this report, the members of the ERCC are Kaikhushru Shiavax Nargolwala 
(Chairman of the ERCC), Simon Claude Israel, Fang Ai Lian, Peter Edward Mason AM and Teo Swee Lian.

The Singtel PSP 2003 was implemented with the approval of shareholders at the Extraordinary General Meeting 
held on 29 August 2003. The duration of the Singtel PSP 2003 was 10 years commencing 29 August 2003. 

At the Extraordinary General Meeting held on 27 July 2012, the shareholders approved the adoption of the Singtel PSP 
2012. The duration of the Singtel PSP 2012 is 10 years commencing 27 July 2012. This plan gives the flexibility to either 
allot and issue and deliver new Singtel shares or purchase and deliver existing Singtel shares upon the vesting of awards.

The Singtel PSP 2003 was terminated following the adoption of the Singtel PSP 2012, without prejudice to the rights 
of holders of awards accepted and outstanding under the Singtel PSP 2003 as at the date of such termination. 

The participants of the performance share plans will receive fully paid Singtel shares free of charge, the equivalent 
in cash, or combinations thereof, provided that certain prescribed performance targets are met within a prescribed 
performance period. The performance period for the awards granted is three years, except for Restricted Share 
Awards  which  have  a  performance  period  of  two  years.  The  number  of  Singtel  shares  that  will  vest  for  each 
participant or category of participants will be determined at the end of the performance period based on the level 
of attainment of the performance targets.

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112

From  the  commencement  of  the  performance  share  plans  to  31  March  2015,  awards  comprising  an  aggregate 
of 229,678,043 shares and 28,723,306 shares have been granted under the Singtel PSP 2003 and the Singtel PSP  
2012 respectively. 

113

 
 
 
 
 
 
 
 
 
 
  
 
 
 
Directors’  
Report

For the financial year ended 31 March 2015

5. 

PERFORMancE SHaRES (Cont’d)

Performance share awards granted, vested and cancelled during the financial year, and share awards outstanding at 
the end of the financial year, were as follows –

Date of grant

Share award for Chairman
(Simon Claude Israel)
14.08.14

Performance shares  
(General Awards)
For Group Chief Executive Officer
(Chua Sock Koong)
02.06.11

For other staff
02.06.11
01.09.11
10.01.12
15.03.12

Sub-total

Performance shares 
(Senior Management Awards)
For Group Chief Executive Officer
(Chua Sock Koong)
02.06.11

For other staff
02.06.11

Sub-total

Balance  
as at  
1 April 2014 
(’000)

Share  
awards 
granted  
(’000)

Additional 
share awards
from targets
exceeded  
(’000)

Share 
awards 
vested  
(’000)

Share 
awards 
cancelled 
(’000)

Balance  
as at  
31 March 2015  
(’000)

–

81

–

(81)

–

1,013

16,323
87
65
15
16,490

17,503

655

2,267

2,922

–

–
–
–
–
–

–

–

–

–

–

–
–
–
–
–

–

–

–

–

(608)

 (405)

(9,847)
(52)
(39)
(9)
(9,947)

(6,476)
(35)
(26)
(6)
(6,543)

(10,555)

(6,948)

(655)

(2,267)

(2,922)

–

–

–

–

–

–
–
–
–
–

–

–

–

–

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115

 
 
  
 
 
 
Directors’  
Report

For the financial year ended 31 March 2015

5. 

PERFORMancE SHaRES (Cont’d)

Date of grant

Performance shares 
(Restricted Share Awards)
For Group Chief Executive Officer
(Chua Sock Koong)
26.06.12
21.06.13
23.06.14

For other staff
26.06.12
05.10.12
25.03.13
21.06.13
30.09.13
23.06.14
17.09.14
23.12.14

Balance  
as at  
1 April 2014 
(’000)

Share  
awards 
granted  
(’000)

Additional 
share awards 
from targets 
exceeded 
(’000)

Share 
awards 
vested  
(’000)

Share 
awards 
cancelled 
(’000)

Balance  
as at  
31 March 2015  
(’000)

119
98
–
217

4,541
30
39
4,623
12
–
–
–
9,245

–
–
102
102

–
–
–
–
–
5,136
27
18
5,181

36
–
–
36

1,273
9
12
–
–
–
–
–
1,294

(39)
–
–
(39)

(1,560)
(10)
(13)
(89)
–
(6)
–
–
(1,678)

–
–
–
–

(206)
–
–
(393)
–
(159)
–
–
(758)

116
98
102
316

4,048
29
38
4,141
12
4,971
27
18
13,284

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Sub-total

9,462

5,283

1,330

(1,717)

(758)

13,600

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115

 
  
 
 
 
Directors’  
Report

For the financial year ended 31 March 2015

5. 

PERFORMancE SHaRES (Cont’d)

Date of grant

Performance shares
(Performance Share Awards)
For Group Chief Executive Officer
(Chua Sock Koong)
26.06.12
21.06.13
23.06.14

For other staff
26.06.12
05.10.12
25.03.13
21.06.13
30.09.13
23.06.14
17.09.14
23.12.14

Sub-total

Total 

Balance  
as at  
1 April 2014 
(’000)

Share  
awards 
granted  
(’000)

Additional 
share awards 
from targets 
exceeded  
(’000)

Share 
awards 
vested  
(’000)

Share 
awards 
cancelled 
(’000)

Balance  
as at  
31 March 2015  
(’000)

1,273
1,418
–
2,691

5,785
146
11
7,768
15
–
–
–
13,725

–
–
1,423
1,423

–
–
–
–
–
7,105
15
220
7,340

16,416

8,763

–
–
–
–

–
–
–
–
–
–
–
–
–

–

–
–
–
–

(40)
–
–
(8)
–
–
–
–
(48)

–
–
–
–

(204)
–
–
(768)
–
(214)
–
–
 (1,186)

1,273
1,418
1,423
4,114

5,541
146
11
6,992
15
6,891
15
220
19,831

(48)

 (1,186)

23,945

46,303

14,127

1,330

(15,323)

 (8,892)

37,545

During the financial year, awards in respect of an aggregate of 15,117,633 and 205,422 shares granted under the 
Singtel PSP 2003 and the Singtel PSP 2012 respectively were vested. The awards were satisfied in part by the delivery 
of existing shares purchased from the market and in part by the payment of cash in lieu of delivery of shares, as 
permitted under the Singtel PSP 2003 and the Singtel PSP 2012 respectively.

As at 31 March 2015, no participant has received shares pursuant to the vesting of awards granted under the Singtel 
PSP 2003 and the Singtel PSP 2012 which, in aggregate, represents five per cent or more of the aggregate of –

(i) 

the total number of new shares available under the Singtel PSP 2003 and the Singtel PSP 2012; and

(ii) 

the total number of existing shares purchased for delivery of awards released under the Singtel PSP 2003 and 
the Singtel PSP 2012.

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117

 
 
 
  
 
 
 
Directors’  
Report

For the financial year ended 31 March 2015

6. 

aUDiT cOMMiTTEE

At the date of this report, the Audit Committee comprises the following members, all of whom are non-executive 
and the majority of whom, including the Chairman, are independent –

Fang Ai Lian (Chairman of the Audit Committee) 
Bobby Chin Yoke Choong 
Christina Ong 
Peter Ong Boon Kwee
Teo Swee Lian (appointed on 13 April 2015)

Dominic Chiu Fai Ho, who served during the financial year, stepped down as a member of the Audit Committee 
following the conclusion of the Annual General Meeting on 25 July 2014. 

The Audit Committee carried out its functions in accordance with Section 201B of the Singapore Companies Act, 
Chapter 50. 

In performing its functions, the Committee reviewed the overall scope and results of both internal and external 
audits  and  the  assistance  given  by  the  Company’s  officers  to  the  auditors.  It  met  with  the  Company’s  internal 
auditors  to  discuss  the  results  of  the  respective  examinations  and  their  evaluation  of  the  Company’s  system  of 
internal accounting controls. The Committee also held discussions with the internal and external auditors and is 
satisfied that the processes put in place by management provide reasonable assurance on mitigation of fraud risk 
exposure to the Group.

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The Committee also reviewed the financial statements of the Company and the Group, as well as the Independent 
Auditors’ Report thereon.

In addition, the Committee had, with the assistance of the internal auditors, reviewed the procedures set up by the 
Company and the Group to identify and report, and where necessary, sought appropriate approval for interested 
person transactions.

The Committee has full access to and has the co-operation of management and has been given the resources 
required for it to discharge its function properly. It also has full discretion to invite any Director or executive officer 
to attend its meetings. The external and internal auditors have unrestricted access to the Audit Committee.

The  Committee  has  nominated  Deloitte  &  Touche  LLP  for  re-appointment  as  auditors  of  the  Company  at  the 
forthcoming Annual General Meeting.

7. 

aUDiTORS

The auditors, Deloitte & Touche LLP, have expressed their willingness to accept re-appointment.

On behalf of the Directors

Simon Claude Israel 
Chairman 

Singapore
13 May 2015

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Chua Sock Koong
Director

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117

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Statement  
of Directors

For the financial year ended 31 March 2015

In the opinion of the Directors,

(a) 

the consolidated financial statements of the Group and the statement of financial position and statement of changes 
in equity of the Company as set out on pages 120 to 220 are drawn up so as to give a true and fair view of the state 
of affairs of the Group and of the Company as at 31 March 2015 and of the results, changes in equity and cash flows 
of the Group and changes in equity of the Company for the year then ended; and

(b) 

at the date of this statement, there are reasonable grounds to believe that the Company will be able to pay its debts 
as and when they fall due.

On behalf of the Directors

Simon Claude Israel 
Chairman 

Singapore 
13 May 2015

Chua Sock Koong
Director

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119

 
 
 
 
 
 
 
 
 
 
  
 
 
 
independent auditors’ Report
To the Members of Singapore Telecommunications Limited
For the financial year ended 31 March 2015

REPORT ON THE FINANCIAL STATEMENTS

We have audited the accompanying financial statements of Singapore Telecommunications Limited (the “Company”) and 
its subsidiaries (the “Group”) which comprise the statements of financial position of the Group and the Company as at  
31 March 2015, the income statement, statement of comprehensive income, statement of changes in equity and statement 
of cash flows of the Group and the statement of changes in equity of the Company for the year then ended, and a summary 
of significant accounting policies and other explanatory information, as set out on pages 120 to 220.

MANAGEMENT’S RESPONSIBILITy FOR THE FINANCIAL STATEMENTS

Management  is  responsible  for  the  preparation  of  financial  statements  that  give  a  true  and  fair  view  in  accordance 
with the provisions of the Singapore Companies Act (the “Act”) and Singapore Financial Reporting Standards and for 
devising  and  maintaining  a  system  of  internal  accounting  controls  sufficient  to  provide  a  reasonable  assurance  that 
assets are safeguarded against loss from unauthorised use or disposition; and transactions are properly authorised and 
that they are recorded as necessary to permit the preparation of true and fair income statement and balance sheets and 
to maintain accountability of assets.

AUDITORS’ RESPONSIBILITy

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in 
accordance  with  Singapore  Standards  on  Auditing.  Those  standards  require  that  we  comply  with  ethical  requirements  
and  plan  and  perform  the  audit  to  obtain  reasonable  assurance  about  whether  the  financial  statements  are  free  from 
material misstatement.

An  audit  involves  performing  procedures  to  obtain  audit  evidence  about  the  amounts  and  disclosures  in  the  financial 
statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material 
misstatement of the financial statements, whether due to fraud or error. In  making  those  risk  assessments, the  auditor 
considers internal control relevant to the entity’s preparation of financial statements that gives a true and fair view in order 
to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion 
on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting 
policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall 
presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate 
to provide a basis for our audit opinion.

OPINION

In our opinion, the consolidated financial statements of the Group and the statement of financial position and statement 
of changes in equity of the Company are properly drawn up in accordance with the provisions of the Act and Singapore 
Financial Reporting Standards so as to give a true and fair view of the state of affairs of the Group and of the Company as 
at 31 March 2015 and of the results, changes in equity and cash flows of the Group and changes in equity of the Company 
for the year ended on that date.

REPORT ON OTHER LEGAL AND REGULATORy REqUIREMENTS

In our opinion, the accounting and other records required by the Act to be kept by the Company and by those subsidiaries 
incorporated in Singapore of which we are the auditors have been properly kept in accordance with the provisions of the Act.

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Deloitte & Touche LLP
Public Accountants and
Chartered Accountants

Singapore, 13 May 2015

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119

 
  
 
 
 
consolidated 
income Statement

For the financial year ended 31 March 2015

Operating revenue

Operating expenses

Other income

Depreciation and amortisation

Exceptional items

Profit on operating activities

Share of results of associates and joint ventures

Profit before interest, investment income (net) and tax

Interest and investment income (net) 
Finance costs

Profit before tax

Tax expense

Profit after tax

Attributable to -
Shareholders of the Company
Non-controlling interests

Notes

2015 
S$ Mil

2014
S$ Mil

4

5

6

7

8

9

 17,222.9 

 16,848.1 

 (12,283.6)

 (11,800.3)

 151.4 

 107.6 

 5,090.7 

 5,155.4 

 (2,161.4)

 (2,132.7)

 14.8 

 114.0 

 2,944.1 

 3,136.7 

 1,735.3 

 1,392.6 

 4,679.4 

 4,529.3 

10
11

 92.8 
 (309.2)

 124.5 
 (305.9)

 4,463.0 

 4,347.9 

12

 (678.5)

 (691.0)

 3,784.5 

 3,656.9 

 3,781.5 
 3.0 

 3,652.0 
 4.9 

 3,784.5 

 3,656.9 

Earnings per share attributable to shareholders of the Company
-  basic (cents)
-  diluted (cents)

13
13

 23.73 
 23.67 

 22.92 
 22.87

The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

120

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121

 
  
 
 
 
consolidated Statement of 
comprehensive income

For the financial year ended 31 March 2015

Profit after tax 

Other comprehensive (loss)/ income:

Items that may be reclassified subsequently to income statement: 

2015
S$ Mil

2014
S$ Mil

 3,784.5 

 3,656.9 

Exchange differences arising from translation of foreign operations  
  and other currency translation differences 

(519.8)

(1,127.5)

Cash flow hedges 
-  Fair value changes during the year 
-  Tax effects

-  Fair value changes transferred to income statement 
-  Tax effects

Available-for-sale investments 
-  Fair value changes during the year 

Share of other comprehensive income/ (loss)  
  of associates and joint ventures

Other comprehensive loss, net of tax

Total comprehensive income

Attributable to -
Shareholders of the Company
Non-controlling interests

 499.8 
 (32.4)
 467.4 

 (363.8)
 31.3 
 (332.5)

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 455.3 
 (102.7)
 352.6 

 (334.1)
 92.9 
 (241.2)

 134.9 

 111.4 

 21.8 

 25.4 

 139.0 

 (72.6)

 (224.1)

 (1,063.3)

 3,560.4 

 2,593.6 

 3,556.9 
 3.5 

 2,588.4 
 5.2 

 3,560.4 

 2,593.6

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The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

121

 
  
 
 
 
Statements of 
Financial Position

As at 31 March 2015

Current assets
Cash and cash equivalents
Trade and other receivables
Derivative financial instruments
Inventories

Non-current assets
Property, plant and equipment
Intangible assets
Subsidiaries
Associates
Joint ventures
Available-for-sale (“AFS”) investments
Derivative financial instruments
Deferred tax assets
Loan to an associate
Other non-current receivables

Total assets

Current liabilities
Trade and other payables
Advance billings 
Provision
Current tax liabilities
Borrowings (unsecured)
Borrowings (secured)
Derivative financial instruments
Net deferred gain 

Notes

Group

2015 
S$ Mil

2014 
S$ Mil

Company

2015 
S$ Mil

2014 
S$ Mil

15
16
25
17

18
19
20
21
22
24
25
12
26
27

28

29

30
31
25
26

 562.8 
 3,885.2 
 29.8 
 289.8 
 4,767.6 

 10,683.2 
 11,948.6 
–
 275.2 
 10,571.0 
 268.3 
 742.1 
 803.8 
 1,610.5 
 396.5 
 37,299.2 

 622.5 
 3,555.8 
 3.4 
 169.6 
 4,351.3 

 11,096.3 
 10,739.7 
–
 178.3 
 9,949.9 
 291.3 
 298.0 
 828.5 
 1,330.5 
 256.2 
 34,968.7 

 83.5 
 2,442.4 
 29.9 
 26.8 
 2,582.6 

 2,047.2 
 0.7 
 13,515.0 
 603.5 
 22.1 
 43.6 
 463.5 
–
 1,610.5 
 182.6 
 18,488.7 

 105.0 
 2,585.8 
 2.5 
 19.5 
 2,712.8 

 2,037.5 
 1.0 
 13,484.5 
 603.5 
 24.1 
 54.9 
 160.5 
–
 1,330.5 
 198.5 
 17,895.0 

 42,066.8 

 39,320.0 

 21,071.3 

 20,607.8 

 4,458.5 
 614.0 
 5.8 
 419.4 
 150.0 
 24.4 
 16.8 
 67.9 
 5,756.8 

 3,796.3 
 643.6 
 1.6 
 366.0 
 774.6 
 38.9 
 11.5 
 57.5 
 5,690.0 

 1,386.2 
 68.9 
3.4 
140.2 
–
1.5 
1.9 
–
 1,602.1 

 1,834.1 
 66.0 
–
59.1 
–
1.5 
2.3 
–
 1,963.0 

The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

122

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123

 
  
 
 
 
Statements of 
Financial Position

As at 31 March 2015

Non-current liabilities
Borrowings (unsecured)
Borrowings (secured)
Advance billings 
Deferred income
Net deferred gain
Derivative financial instruments
Deferred tax liabilities
Other non-current liabilities

Total liabilities

Net assets

Share capital and reserves
Share capital
Reserves

Notes

30
31

32
26
25
12
33

Group

2015 
S$ Mil

2014 
S$ Mil

Company

2015 
S$ Mil

2014 
S$ Mil

 8,590.9 
 213.5 
 265.3 
 4.5 
 1,369.8 
 265.4 
 521.7 
 311.0 
 11,542.1 

 7,046.9 
 179.7 
 298.5 
 7.6 
 1,155.7 
 412.8 
 444.9 
 191.3 
 9,737.4 

 925.2 
 160.4 
 150.8 
–
–
 447.3 
 248.9 
 30.0 
 1,962.6 

 793.2 
 161.9 
 164.1 
–
–
 359.6 
 242.5 
 24.2 
 1,745.5 

 17,298.9 

 15,427.4 

 3,564.7 

 3,708.5 

 24,767.9 

 23,892.6 

 17,506.6 

 16,899.3 

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 2,634.0 
 22,099.3 

 2,634.0 
 21,234.2 

 2,634.0 
 14,872.6 

 2,634.0 
 14,265.3 

Equity attributable to shareholders  
  of the Company
Non-controlling interests

 24,733.3 
 34.6 

 23,868.2 
 24.4 

 17,506.6 
–

 16,899.3 
–

Total equity

 24,767.9 

 23,892.6 

 17,506.6 

 16,899.3

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The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

123

 
  
 
 
 
Statements of 
changes in Equity

For the financial year ended 31 March 2015

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125

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Statements of 
changes in Equity

For the financial year ended 31 March 2015

Company - 2015

Share  
Capital  
S$ Mil

Treasury 

Shares (1) 
S$ Mil

Capital  
Reserve - 
Performance 
Shares  
S$ Mil

Hedging
Reserve
S$ Mil

Fair Value
Reserve
S$ Mil

Retained
Earnings
S$ Mil

Total  
Equity  
S$ Mil

Balance as at 1 April 2014

 2,634.0 

 (1.4)

 (67.4)

 (104.5)

45.3  14,393.3 

 16,899.3 

Changes in equity for the year

Performance shares purchased  
  by the Company 
Performance shares vested 
Equity-settled performance shares 
Transfer of liability to equity
Cash paid to employees under  
  performance share plans
Contribution to Trust (4)
Final dividend paid (see Note 35)
Interim dividend paid (see Note 35)

Total comprehensive income/ (loss)  

for the year

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 (5.9)
 3.4 
–
–

–
–
–
–
 (2.5)

–
 (3.6)
 12.8 
 15.2 

(0.2)
 (27.6)
–
–
 (3.4)

–
–
–
–

–
–
–
–
–

–
–
–
–

–
–
–
–

 (5.9)
 (0.2)
 12.8 
 15.2 

–
–
–
–
–  (1,594.3)
–  (1,084.2)
–  (2,678.5)

(0.2)
 (27.6)
 (1,594.3)
 (1,084.2)
 (2,684.4)

–

–  117.4 

(11.3)

3,185.6

3,291.7

Balance as at 31 March 2015

 2,634.0 

 (3.9)

 (70.8)

 12.9 

 34.0 

 14,900.4 

 17,506.6 

The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

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Statements of 
changes in Equity

For the financial year ended 31 March 2015

Company - 2014

Share  
Capital  
S$ Mil

Treasury 

Shares (1) 
S$ Mil

Capital  
Reserve - 
Performance 
Shares  
S$ Mil

Hedging
Reserve
S$ Mil

Fair Value 
Reserve 
S$ Mil

Retained
Earnings 
S$ Mil

Total  
Equity  
S$ Mil

Balance as at 1 April 2013

 2,634.0 

–

 (69.9)

 (130.3)

 56.8 

 13,574.6 

 16,065.2 

Changes in equity for the year

Performance shares purchased  
  by the Company 
Performance shares vested 
Equity-settled performance shares 
Transfer of liability to equity
Cash paid to employees under  
  performance share plans
Contribution to Trust (4)
Final dividend paid (see Note 35)
Interim dividend paid (see Note 35)

Total comprehensive income/ (loss)  

for the year

–
–
–
–

–
–
–
–
–

–

(4.5)
 3.1 
–
–

–
–
–
–
 (1.4)

–
 (3.1)
 9.5 
 10.9 

(0.2)
 (14.6)
–
–
 2.5 

–
–
–
–

–
–
–
–
–

–
–
–
–

–
–
–
–
–

–
–
–
–

(4.5)
–
 9.5 
 10.9 

–
–
 (1,595.0)
 (1,084.2)
 (2,679.2)

(0.2)
 (14.6)
 (1,595.0)
 (1,084.2)
 (2,678.1)

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(11.5)

3,497.9

3,512.2

Balance as at 31 March 2014

 2,634.0 

 (1.4)

 (67.4)

 (104.5)

 45.3 

 14,393.3 

 16,899.3 

Notes:
(1) 

‘Treasury  Shares’  are  accounted  for  in  accordance  with  Singapore  Financial  Reporting  Standard  (“FRS”)  32,  Financial  Instruments:  Disclosure  and 
Presentation.
‘Currency  Translation  Reserve’  relates  mainly  to  the  translation  of  the  net  assets  of  foreign  subsidiaries,  associates  and  joint  ventures  of  the  Group 
denominated mainly in Australian Dollar, Indian Rupee, Indonesian Rupiah, Philippine Peso, Thai Baht and United States Dollar.
‘Other Reserves’ relate mainly to goodwill on acquisitions completed prior to 1 April 2001 and the share of other comprehensive loss or income of the 
associates and joint ventures. 

(2) 

(3)  

(4)   DBS Trustee Limited (the “Trust”) is the trustee of a trust established to administer the performance share plans. 

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The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

127

 
 
  
 
 
 
consolidated Statement 
of cash Flows

For the financial year ended 31 March 2015

Cash Flows From Operating Activities

Profit before tax

Adjustments for -
  Depreciation and amortisation 
  Exceptional items (non-cash)

Interest and investment income (net)
Finance costs 

  Share of results of associates and joint ventures 
  Other non-cash items

2015 
S$ Mil

2014 
S$ Mil

 4,463.0 

 4,347.9 

 2,161.4 
 (57.7)
 (92.8)
 309.2 
 (1,735.3)
 36.7 
 621.5 

 2,132.7 
 (129.3)
 (124.5)
 305.9 
 (1,392.6)
 24.6 
 816.8 

Operating cash flow before working capital changes

 5,084.5 

 5,164.7 

Changes in operating assets and liabilities
Trade and other receivables
Trade and other payables
Inventories
Currency translation adjustments

Cash generated from operations

Payment to employees in cash under performance share plans 
Dividends received from associates and joint ventures
Tax benefit payment to an associate (Note 1)
Income tax and withholding tax paid

Net cash inflow from operating activities

Cash Flows From Investing Activities

Payment for purchase of property, plant and equipment
Purchase of intangible assets
Payment for acquisition of subsidiaries, net of cash acquired (Note 2)
Payment for acquisition of non-controlling interests
Investment in AFS investments
Investment in associates and joint ventures (Notes 1 and 3)
Proceeds from sale of property, plant and equipment
Proceeds from sale of intangible
Proceeds from sale of AFS investments 
Proceeds from sale of associates (Note 1)
Proceeds from disposal of subsidiary, net of cash received
Proceeds from capital reduction of associates and joint ventures
Dividends received from AFS investments (net of withholding tax paid)
Interest received
Contribution from non-controlling interests
Withholding tax paid on intra-group interest income

 (625.6)
 802.0 
 (107.1)
 16.9 

 (136.2)
 (195.3)
 27.0 
 (0.7)

 5,170.7 

 4,859.5 

 (1.1)
 1,215.2 
–
 (598.2)

 (4.9)
 1,156.5 
 (142.6)
 (518.2)

 5,786.6 

 5,350.3 

 (2,237.6)
 (966.0)
 (449.5)
 (2.9)
 (23.1)
 (1.4)
 15.2 
 0.3 
 75.0 
–
–
 6.0 
 3.2 
 42.3 
 13.1 
 (31.5)

 (2,101.5)
 (276.4)
 (50.7)
–
 (49.6)
 (400.4)
 7.1 
–
 12.8 
 38.1 
 0.7 
–
 3.1 
 49.1 
–
 (33.5)

Net cash outflow from investing activities

 (3,556.9)

 (2,801.2)

The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

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consolidated Statement 
of cash Flows

For the financial year ended 31 March 2015

Cash Flows From Financing Activities

Proceeds from term loans
Repayment of term loans
Proceeds from bond issue
Proceeds from finance lease liabilites
Finance lease payments
  Net proceeds from borrowings
Final dividend paid to shareholders of the Company
Interim dividend paid to shareholders of the Company 
Net interest paid on borrowings and swaps
Dividend paid to non-controlling interests
Purchase of performance shares
Others

Note 

2015 
S$ Mil

2014 
S$ Mil

 4,915.0 
 (4,464.8)
 300.0 
 30.4 
 (43.4)
 737.2 
 (1,593.8)
 (1,083.7)
 (307.3)
 (5.7)
 (54.7)
 (2.6)

 2,993.9 
 (3,221.2)
 467.0 
 14.4 
 (49.0)
 205.1 
 (1,594.2)
 (1,083.6)
 (308.8)
 (7.7)
 (36.6)
 1.2 

Net cash outflow from financing activities

 (2,310.6)

 (2,824.6)

Net decrease in cash and cash equivalents
Exchange effects on cash and cash equivalents
Cash and cash equivalents at beginning of year

Cash and cash equivalents at end of year

15

 (80.9)
 21.2 
 622.5 

 562.8 

 (275.5)
 (13.0)
 911.0 

 622.5

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The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

129

 
  
 
 
 
consolidated Statement 
of cash Flows

For the financial year ended 31 March 2015

Note 1: 

In  November  2013,  the  Group  made  payments  of  S$142.6  million  to  NetLink  Trust  in  consideration  of  its 
transfer  of  tax  benefits  utilised  by  the  Group,  and  S$11.4  million  for  additional  investment  in  NetLink  Trust. 
The monies were subsequently utilised by NetLink Trust for its acquisition of 100% equity interest in OpenNet 
Pte. Ltd. (“OpenNet”). Included in the proceeds from sale of associates in the previous year was an amount of  
S$37.8 million for the divestment of the Group’s equity interest in OpenNet to NetLink Trust.

Note 2:  Payment for acquisition of subsidiaries

(a)  During  the  September  2014  quarter,  Amobee,  Inc.  (“Amobee”)  acquired  100%  of  the  share  capital  of 
Kontera  Technologies,  Inc.  (“Kontera”),  and  Adconion  Media,  Inc.  and  Adconion  Pty  Limited  (together, 
“Adconion”) for S$177.7 million (US$142 million) and S$262.9 million (US$210 million) respectively. The fair 
values of identifiable net assets and the net cash outflow on the acquisitions were as follows – 

Identifiable intangible assets, net of tax 
Non-current assets 
Cash and cash equivalents
Current assets (excluding cash and cash equivalents)
Total liabilities

Net assets acquired
Goodwill 

Total cash consideration 
Less: Consideration unpaid as at 31 March 2015
Less: Cash and cash equivalents acquired 

Net outflow of cash 

year ended 
31 March 2015 
S$ Mil

 94.7 
 4.5 
 5.6 
 58.9 
 (86.8)

 76.9 
 363.7 

 440.6 
 (7.5)
 (5.6)

 427.5

The above acquisitions had no material impact on the Group’s consolidated income statement, both from 
the dates of their acquisitions as well as assuming their acquisitions had been effected as at 1 April 2014. 

The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

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consolidated Statement 
of cash Flows

For the financial year ended 31 March 2015

Note 2:  Payment for acquisition of subsidiaries (Cont’d)

(b) 

In February 2015, Alphawest Pty Limited, a wholly-owned subsidiary of the Group, acquired 100% of the 
share capital of Ensyst Pty Limited for S$13.9 million (A$13 million). The fair values of identifiable net assets 
and the net cash outflow on the acquisition were as follows – 

Identifiable intangible assets, net of tax 
Non-current assets 
Cash and cash equivalents
Current assets (excluding cash and cash equivalents)
Total liabilities

Net assets acquired
Goodwill 

Total cash consideration 
Less: Consideration unpaid as at 31 March 2015
Less: Cash and cash equivalents acquired 

Net outflow of cash 

year ended 
31 March 2015 
S$ Mil

 9.1 
 0.3 
 1.3 
 2.0 
 (2.4)

 10.3 
 3.6 

 13.9 
 (2.2)
 (1.3)

 10.4

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(c)  During the current year, deferred payments of S$11.6 million were made in respect of the acquisitions of 

Amobee and Pixable, Inc. 

(d)  The  payments  in  the  previous  year  were  for  the  acquisition  of  Gradient  X,  Inc.,  for  S$18.2  million  
(US$15 million), and deferred payments of S$32.5 million in respect of the acquisitions of Amobee and 
Pixable, Inc. and Eatability Pty Limited.

Note 3: 

Investment in associates and joint ventures

The payments in the previous year were mainly for the acquisition of additional equity interest of 3.62% in Bharti 
Telecom  Limited  from  a  wholly-owned  subsidiary  of  Temasek  Holdings  (Private)  Limited,  for  S$383.6  million. 
Temasek Holdings (Private) Limited is the holding company of Singapore Telecommunications Limited (“Singtel”). 

Note 4:  Non-cash transaction

In October 2014, Singtel sold certain infrastructure assets to NetLink Trust, a 100%-owned associate of Singtel, 
for an aggregate consideration of S$280 million. The aggregate consideration paid by NetLink Trust was financed 
by an interest-bearing loan from Singtel. 

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The accompanying notes on pages 132 to 220 form an integral part of these financial statements. 
Independent Auditors’ Report – page 119

131

 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

These notes form an integral part of and should be read in conjunction with the accompanying financial statements.

1. 

GEnERal

Singtel is domiciled and incorporated in Singapore and is publicly traded on the Singapore Exchange and Australian 
Stock Exchange (see Note 43(b)). The address of its registered office is 31 Exeter Road, Comcentre, Singapore 239732.

The principal activities of the Company consist of the operation and provision of telecommunications systems and 
services, and investment holding. The principal activities of the subsidiaries are disclosed in Note 45.

Under a licence granted by the Infocomm Development Authority of Singapore (“IDA”), the Group had the exclusive 
rights to provide fixed national and international telecommunications services through 31 March 2000 (with limited 
exceptions) and public cellular mobile telephone services through 31 March 1997. From the expiry of the exclusive 
rights, the Group’s licences for these telecommunications services continue on a non-exclusive basis to 31 March 2017. 

In addition, the Group is licensed to offer Internet services and has also obtained frequency spectrum and licence 
rights from IDA to install, operate and maintain 3G mobile communication systems and services respectively, as 
well  as  wireless  broadband  systems  and  services.  The  Group  also  holds  licences  from  the  Media  Development 
Authority of Singapore for the purpose of providing subscription nationwide television services.

In Australia, Optus was granted telecommunication licences under the Telecommunications Act 1991. Pursuant to 
the Telecommunications (Transitional Provisions and Consequential Amendments) Act 1997, the licences continued 
to have effect after the deregulation of telecommunications in Australia in 1997. The licences do not have a finite 
term, but are of continuing operation until cancelled under the Telecommunications Act 1997.

These financial statements were authorised and approved for issue in accordance with a Directors’ resolution dated 
13 May 2015.

2. 

SiGniFicanT accOUnTinG POliciES

2.1 

Basis of Accounting 

The financial statements are prepared in accordance with Singapore Financial Reporting Standards (“FRS”) including 
related interpretations, and the provisions of the Singapore Companies Act. They have been prepared under the 
historical cost convention, except as disclosed in the accounting policies below. 

Historical cost is generally based on the fair value of the consideration given in exchange for goods and services.

The preparation of financial statements in conformity with FRS requires management to exercise its judgement in the 
process of applying the Group’s accounting policies. It also requires the use of accounting estimates and assumptions 
that  affect  the  reported  amounts  of  assets  and  liabilities  and  disclosure  of  contingent  assets  and  liabilities  at  the 
date  of  the  financial  statements,  and  the  reported  amounts  of  revenues  and  expenses  during  the  financial  year. 
Although these estimates are based on management’s best knowledge of current events and actions, actual results 
may ultimately differ from those estimates. Critical accounting estimates and assumptions used that are significant to 
the financial statements, and areas involving a higher degree of judgement are disclosed in Note 3.

The accounting policies have been consistently applied by the Group, and are consistent with those used in the 
previous financial year. The adoption of the new or revised FRS and Interpretations to FRS (“INT FRS”) which were 
mandatory from 1 April 2014 resulted in changes to the Group’s accounting policies but had no significant impact 
on the financial statements of the Group or the Company in the current financial year. As a result of the application 
of FRS 112, Disclosure of Interests in Other Entities, the Group has included additional disclosures for its interests in 
subsidiaries, associates and joint ventures in the financial statements. 

132

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notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.1 

Basis of Accounting (Cont’d)

The following are the relevant new or revised FRS and INT FRS adopted by the Group in the current financial year –

FRS 110 Consolidated Financial Statements
FRS 111 Joint Arrangements
FRS 112 Disclosure of Interests in Other Entities
Revised FRS 27 Separate Financial Statements 
Revised FRS 28 Investments in Associates and Joint Ventures 

2.2  Group Accounting

The  accounting  policy  for  investments  in  subsidiaries,  associates  and  joint  ventures  in  the  Company’s  financial 
statements is stated in Note 2.4. The Group’s accounting policy on goodwill is stated in Note 2.15.1.

2.2.1  Subsidiaries

Subsidiaries are entities (including structured entities) controlled by the Group. Control exists when the Group has 
power over the entity, is exposed, or has rights, to variable returns from its involvement with the entity and has 
the ability to affect those returns by using its power over the entity. Power is demonstrated through existing rights 
that give the Group the ability to direct activities that significantly affect the entity’s returns. The Group reassesses 
whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of 
the elements of control listed above. Subsidiaries are consolidated from the date that control commences until the 
date that control ceases. All significant inter-company balances and transactions are eliminated on consolidation.

2.2.2  Associates 

Associates are entities over which the Group has significant influence. Significant influence is the power to participate 
in the financial and operating policy decisions of the investee but is not control or joint control over those policies. 

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Investments in associates are accounted for in the consolidated financial statements using the equity method of 
accounting. Equity accounting involves recording the investment in associates initially at cost, and recognising the 
Group’s share of the post-acquisition results of associates in the consolidated income statement, and the Group’s 
share of post-acquisition reserve movements in reserves. The cumulative post-acquisition movements are adjusted 
against the carrying amount of the investments in the consolidated statement of financial position. 

In  the  consolidated  statement  of  financial  position,  investments  in  associates  include  goodwill  on  acquisition 
identified on acquisitions completed on or after 1 April 2001, net of accumulated impairment losses. Goodwill is 
assessed for impairment as part of the investment in associates.

When the Group’s share of losses in an associate equals or exceeds its interest in the associate, including loans that 
are in fact extensions of the Group’s investment, the Group does not recognise further losses, unless it has incurred 
or guaranteed obligations in respect of the associate.

Unrealised gains resulting from transactions with associates are eliminated to the extent of the Group’s interest in 
the associate. Unrealised losses are eliminated in the same way as unrealised gains, but only to the extent that there 
is no evidence of impairment.

2.2.3  Joint ventures

Joint ventures are joint arrangements whereby the parties that have joint control of the arrangement have rights 
to  the  net  assets  of  the  joint  arrangements.  Joint  control  is  the  contractually  agreed  sharing  of  control  of  an 
arrangement,  which  exists  only  when  decisions  about  the  relevant  activities  require  unanimous  consent  of  the 
parties sharing the control. 

The Group’s interest in joint ventures is accounted for in the consolidated financial statements using the equity 
method of accounting.

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133

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.2  Group Accounting (Cont’d)

2.2.3  Joint ventures (Cont’d)

In the consolidated statement of financial position, investments in joint ventures include goodwill on acquisition 
identified on acquisitions completed on or after 1 April 2001, net of accumulated impairment losses. Goodwill is 
assessed for impairment as part of the investment in joint ventures.

The Group’s interest in its unincorporated joint operations is accounted for by recognising the Group’s assets and 
liabilities from the joint operations, as well as expenses incurred by the Group and the Group’s share of income 
earned from the joint operations, in the consolidated financial statements.

Unrealised gains resulting from transactions with joint ventures are eliminated to the extent of the Group’s interest 
in the joint venture. Unrealised losses are eliminated in the same way as unrealised gains, but only to the extent that 
there is no evidence of impairment.

2.2.4  Dividends from associates and joint ventures 

Dividends received from an associate or joint venture in excess of the Group’s carrying value of the equity accounted 
investee  are  recognised  as  dividend  income  in  the  income  statement  where  there  is  no  legal  or  constructive 
obligation  to  refund  the  dividend  nor  is  there  any  commitment  to  provide  financial  support  to  the  investee. 
Equity accounting is then suspended until the investee has made sufficient profits to cover the income previously 
recognised for the excess cash distributions. 

2.2.5  Structured entity

The Trust has been consolidated in the consolidated financial statements under FRS 110, Consolidated Financial 
Statements.

2.2.6  Business combinations

Business combinations are accounted for using the acquisition method on and after 1 April 2010. The consideration 
for each acquisition is measured at the aggregate of the fair values of assets given, liabilities incurred and equity 
interests issued by the Group and any contingent consideration arrangement at acquisition date. Acquisition-related 
costs, other than those associated with the issue of debt or equity, are expensed as incurred. 

Any  contingent  consideration  payable  is  recognised  at  fair  value  at  the  acquisition  date.  If  the  contingent 
consideration is classified as equity, it is not re-measured and settlement is accounted for within equity. Otherwise, 
subsequent changes to the fair value of the contingent consideration are recognised in the income statement.

For business combinations that are achieved in stages, any existing equity interests in the acquiree entity are re-
measured to their fair values at acquisition date and any changes are taken to the income statement.

Non-controlling interests in subsidiaries represent the equity in subsidiaries which are not attributable, directly or 
indirectly,  to  the  shareholders  of  the  Company,  and  are  presented  separately  in  the  consolidated  statement  of 
comprehensive income, statement of changes in equity and within equity in the consolidated statement of financial 
position.  The  Group  elects  for  each  individual  business  combination  whether  non-controlling  interests  in  the 
acquiree entity are recognised at fair value, or at the non-controlling interests’ proportionate share of the fair value 
of the acquiree entity’s identifiable net assets, at the acquisition date. Total comprehensive income is attributed to 
non-controlling interests based on their respective interests in a subsidiary, even if this results in the non-controlling 
interests having a debit balance. 

Changes  in  the  Group’s  interest  in  subsidiaries  that  do  not  result  in  loss  of  control  are  accounted  for  as  equity 
transactions. 

When the Group loses control of a subsidiary, any interest retained in the former subsidiary is recorded at fair value 
with the re-measurement gain or loss recognised in the income statement. 

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notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.3 

Share Capital

Ordinary shares are classified as equity. Incremental costs directly attributable to the issuance of new equity shares 
are taken to equity as a deduction, net of tax, from the proceeds. 

When the Company purchases its own equity share capital, the consideration paid, including any directly attributable 
costs, is recognised as ‘Treasury Shares’ within equity. When the shares are subsequently disposed, the realised gains 
or losses on disposal of the treasury shares are included in ‘Other Reserves’ of the Company.

The  Trust  acquires  shares  in  the  Company  from  the  open  market  for  delivery  to  employees  upon  vesting  of 
performance  shares  awarded  under  Singtel  performance  share  plans.  Such  shares  are  designated  as  ‘Treasury 
Shares’. In the consolidated financial statements, the cost of unvested shares, including directly attributable costs, is 
recognised as ‘Treasury Shares’ within equity. 

Upon vesting of the performance shares, the weighted average costs of the shares delivered to employees, whether 
held by the Company or the Trust, are transferred to ‘Capital Reserve – Performance Shares’ within equity in the 
consolidated financial statements.

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2.4 

Investments in Subsidiaries, Associates and Joint Ventures 

In  the  Company’s  statement  of  financial  position,  investments  in  subsidiaries,  associates  and  joint  ventures, 
including  loans  that  meet  the  definition  of  equity  instruments,  are  stated  at  cost  less  accumulated  impairment 
losses. Where an indication of impairment exists, the carrying amount of the investment is assessed and written 
down immediately to its recoverable value. On disposal of investments in subsidiaries, associates and joint ventures, 
the difference between the net disposal proceeds and the carrying amount of the investment is recognised in the 
income statement of the Company.

2.5 

Investments

Purchases and sales of investments are recognised on trade date, which is the date that the Group commits to 
purchase or sell the investment.

2.5.1  Available-for-sale (“AFS”) investments

AFS investments are initially recognised at fair value plus directly attributable transaction costs. 

They are subsequently stated at fair value at the end of the reporting period, with all resulting gains and losses, 
including currency translation differences, taken to the ‘Fair Value Reserve’ within equity. AFS investments for which 
fair values cannot be reliably determined are stated at cost less accumulated impairment losses. 

When AFS investments are sold or impaired, the accumulated fair value adjustments in the ‘Fair Value Reserve’ are 
included in the income statement.

A significant or prolonged decline in fair value below the cost is objective  evidence  of  impairment.  Impairment 
loss is computed as the difference between the acquisition cost and current fair value, less any impairment loss 
previously recognised in the income statement. Impairment losses recognised in the income statement on equity 
investments are not reversed through the income statement until the equity investments are disposed.

2.6 

Derivative Financial Instruments and Hedging Activities

Derivative financial instruments are initially recognised at fair value on the date the derivative contract is entered into 
and are subsequently re-measured at their fair values at the end of each reporting period. 

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A derivative financial instrument is carried as an asset when the fair value is positive and as a liability when the fair 
value is negative.

135

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.6 

Derivative Financial Instruments and Hedging Activities (Cont’d)

Any gains or losses arising from changes in fair value are recognised immediately in the income statement, unless 
they qualify for hedge accounting.

2.6.1  Hedge accounting

At  the  inception  of  a  hedge  relationship,  the  Group  formally  designates  and  documents  the  hedge  relationship 
to  which  the  Group  wishes  to  apply  hedge  accounting,  as  well  as  its  risk  management  objectives  and  strategy 
for  undertaking  the  hedge  transactions.  The  documentation  includes  identification  of  the  hedging  instrument, 
the hedged item or transaction, the nature of the risk being hedged and how the entity will assess the hedging 
instrument’s  effectiveness  in  offsetting  the  exposure  to  changes  in  the  hedged  item’s  fair  value  or  cash  flows 
attributable to the hedged risk. Such hedges are expected to be highly effective in achieving offsetting changes 
in fair value or cash flows and are assessed on an ongoing basis to determine that they actually have been highly 
effective throughout the financial reporting periods for which they are designated.

Fair value hedge
Designated derivative financial instruments that qualify for fair value hedge accounting are initially recognised at fair 
value on the date that the contract is entered into. Changes in fair value of derivatives are recorded in the income 
statement together with any changes in the fair value of the hedged items that are attributable to the hedged risks. 

Hedge accounting is discontinued when the Group revokes the hedging relationship, the hedging instrument expires 
or  is  sold,  terminated,  or  exercised,  or  no  longer  qualifies  for  hedge  accounting.  The  adjustment  to  the  carrying 
amount of the hedged item arising from the hedged risk is amortised to the income statement from that date. 

Cash flow hedge
The effective portion of changes in the fair value of the designated derivative financial instruments that qualify as 
cash  flow  hedges  are  recognised  in  ‘Other  Comprehensive  Income’.  The  gain  or  loss  relating  to  the  ineffective 
portion is recognised immediately in the income statement. Amounts accumulated in the ‘Hedging Reserve’ are 
transferred to the income statement in the periods when the hedged items affect the income statement. 

Hedge  accounting  is  discontinued  when  the  Group  revokes  the  hedging  relationship,  the  hedging  instrument 
expires or is sold, terminated, or exercised, or no longer qualifies for hedge accounting. Any cumulative gain or 
loss deferred in equity at that time remains in equity and is recognised when the forecast transaction is ultimately 
recognised in the income statement. When a forecast transaction is no longer expected to occur, the cumulative 
gain or loss that was deferred in equity is recognised immediately in the income statement.

Net investment hedge
Changes  in  the  fair  value  of  designated  derivatives  that  qualify  as  net  investment  hedges,  and  which  are  highly 
effective,  are  recognised  in  ‘Other  Comprehensive  Income’  in  the  consolidated  financial  statements  and  the 
amounts accumulated in ‘Currency Translation Reserve’ are transferred to the consolidated income statement in 
the period when the foreign operation is disposed. 

In the Company’s financial statements, the gain or loss on the financial instrument used to hedge a net investment 
in a foreign operation of the Group is recognised in the income statement.

The Group has entered into the following derivative financial instruments to hedge its risks, namely –

Cross currency swaps and interest rate swaps are fair value hedges for the interest rate risk and cash flow hedges for 
the currency risk arising from the Group’s issued bonds. The swaps involve the exchange of principal and floating or 
fixed interest receipts in the foreign currency in which the issued bonds are denominated, for principal and floating 
or fixed interest payments in the Group’s functional currency.

Certain cross currency swaps relate to net investment hedges for the foreign currency exchange risk on the Group’s 
Australia operations.

136

Forward foreign exchange contracts are cash flow hedges for the Group’s exposure to foreign currency exchange 
risks arising from forecasted or committed expenditure.

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notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.7 

Fair Value Estimation of Financial Instruments

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction 
between market participants at the measurement date, regardless of whether that price is directly observable or 
estimated using another valuation technique. In estimating the fair value of an asset or a liability, the Group takes 
into account the characteristics of the asset or liability which market participants would take into account when 
pricing the asset or liability at the measurement date. 

The following methods and assumptions are used to estimate the fair value of each class of financial instrument –

Bank balances, receivables and payables, current borrowings
The carrying amounts approximate fair values due to the relatively short term maturity of these instruments.

quoted and unquoted investments
The fair value of investments traded in active markets is based on the market quoted mid-price (average of offer and 
bid price) or the mid-price quoted by the market maker at the close of business at the end of the reporting period. 

The fair values of unquoted investments are determined by using valuation techniques. These include the use of recent 
arm’s length transactions, reference to the net asset values of the investee companies or discounted cash flow analysis.

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Cross currency and interest rate swaps
The fair value of a cross currency or an interest rate swap is the estimated amount that the swap contract can be 
exchanged for or settled with under normal market conditions. This fair value can be estimated using the discounted 
cash flow method where the future cash flows of the swap contract are discounted at the prevailing market foreign 
exchange rates and interest rates. Market interest rates are actively quoted interest rates or interest rates computed 
by applying techniques to these actively quoted interest rates.

Forward foreign currency contracts
The  fair  value  of  forward  foreign  exchange  contracts  is  determined  using  forward  exchange  market  rates  for 
contracts with similar maturity profiles at the end of the reporting period.

Non-current borrowings 
For disclosure purposes, the fair values of non-current borrowings which are traded in active markets are based on 
the market quoted ask price. For other non-current borrowings, the fair values are based on valuations provided by 
service providers or estimated by discounting the future contractual cash flows using discount rates based on the 
borrowing rates which the Group expects would be available at the end of the reporting period.

136

2.8 

Financial Guarantee Contracts

Financial guarantees issued by the Company prior to 1 April 2010 are recorded initially at fair values plus transactions 
costs and amortised in the income statement over the period of the guarantee. Financial guarantees issued by the 
Company on or after 1 April 2010 are directly charged to the subsidiary as guarantee fees based on fair values.

2.9 

Trade and Other Receivables

Trade and other receivables, including loans given by the Company to subsidiaries, associates and joint ventures, 
are  recognised  initially  at  fair  values  and,  other  than  those  that  meet  the  definition  of  equity  instruments,  are 
subsequently measured at amortised cost using the effective interest method, less allowance for impairment. 

An allowance for impairment of trade and other receivables is established when there is objective evidence that 
the Group will not be able to collect all amounts due according to the original terms of the debts. Loss events 
include financial difficulty or bankruptcy of the debtor, significant delay in payments and breaches of contracts. 
The impairment loss, measured as the difference between the debt’s carrying amount and the present value of 
estimated future cash flows discounted at the original effective interest rate, is recognised in the income statement. 
When the debt becomes uncollectible, it is written off against the allowance account. Subsequent recoveries of 
amounts previously written off are recognised in the income statement.

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137

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.10  Trade and Other Payables

Trade and other payables are initially recognised at fair value and subsequently measured at amortised cost using 
the effective interest method.

2.11  Borrowings

Borrowings are initially recognised at fair value of the consideration received less directly attributable transaction 
costs. After initial recognition, unhedged borrowings are subsequently stated at amortised cost using the effective 
interest  method.  Hedged  borrowings  are  accounted  for  in  accordance  with  the  accounting  policies  set  out  in  
Note 2.6.1. 

2.12  Cash and Cash Equivalents

For the purpose of the consolidated statement of cash flows, cash and cash equivalents comprise cash on hand, 
balances with banks and fixed deposits with original maturity of mainly three months or less, net of bank overdrafts 
which are repayable on demand and which form an integral part of the Group’s cash management. 

Bank overdrafts are included under borrowings in the statement of financial position.

2.13  Foreign Currencies

2.13.1  Functional and presentation currency 

Items  included  in  the  financial  statements  of  each  entity  in  the  Group  are  measured  using  the  currency  of  the 
primary economic environment in which the entity operates (the “functional currency”). The statement of financial 
position and statement of changes in equity of the Company and consolidated financial statements of the Group 
are  presented  in  Singapore  Dollar,  which  is  the  functional  and  presentation  currency  of  the  Company  and  the 
presentation currency of the Group. 

2.13.2  Transactions and balances

Transactions in a currency other than the functional currency (“foreign currency”) are translated into the functional 
currency at the exchange rates prevailing at the date of the transactions. Monetary assets and liabilities denominated 
in foreign currencies at the end of the reporting period are translated at exchange rates ruling at that date. Foreign 
exchange differences arising from translation are recognised in the income statement. 

2.13.3  Translation of foreign operations’ financial statements

In  the  preparation  of  the  consolidated  financial  statements,  the  assets  and  liabilities  of  foreign  operations  are 
translated to Singapore Dollar at exchange rates ruling at the end of the reporting period except for share capital 
and reserves which are translated at historical rates of exchange (see Note 2.13.4 for translation of goodwill and fair 
value adjustments). 

Income and expenses in the income statement are translated using either the average exchange rates for the month 
or year, which approximate the exchange rates at the dates of the transactions. All resulting translation differences 
are taken directly to ‘Other Comprehensive Income’.

On  loss  of  control  of  a  subsidiary,  loss  of  significant  influence  of  an  associate  or  loss  of  joint  control  of  a  joint 
venture, the accumulated translation differences relating to that foreign operation are reclassified from equity to the 
consolidated income statement as part of gain or loss on disposal. 

On partial disposal where there is no loss of control of a subsidiary, the accumulated translation differences relating 
to the disposal are reclassified to non-controlling interests. For partial disposals of associates or joint ventures, the 
accumulated translation differences relating to the disposal are taken to the consolidated income statement.

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notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.13  Foreign Currencies (Cont’d)

2.13.4  Translation of goodwill and fair value adjustments

Goodwill and fair value adjustments arising on the acquisition of foreign entities completed on or after 1 April 2005 
are treated as assets and liabilities of the foreign entities and are recorded in the functional currencies of the foreign 
entities and translated at the exchange rates prevailing at the end of the reporting period. However, for acquisitions 
of foreign entities completed prior to 1 April 2005, goodwill and fair value adjustments continue to be recorded at 
the exchange rates at the respective dates of the acquisitions.

2.13.5   Net investment in a foreign entity 

The exchange differences on loans from the Company to its subsidiaries, associates or joint ventures which form 
part  of  the  Company’s  net  investment  in  the  subsidiaries,  associates  or  joint  ventures  are  included  in  ‘Currency 
Translation  Reserve’.  On  disposal  of  the  foreign  entity,  the  accumulated  exchange  differences  deferred  in  the 
‘Currency  Translation  Reserve’  are  reclassified  to  the  consolidated  income  statement  in  a  similar  manner  as 
described in Note 2.13.3. 

2.14  Provisions

A  provision  is  recognised  when  there  is  a  present  legal  or  constructive  obligation  as  a  result  of  past  events,  it  is 
probable that an outflow of resources embodying economic benefits will be required to settle the obligation, and a 
reliable estimate can be made of the amount of the obligation. No provision is recognised for future operating losses.

The provision for liquidated damages in respect of information technology contracts is made based on management’s 
best estimate of the anticipated liability.

Provisions are reviewed at the end of each reporting period and adjusted to reflect the current best estimate.

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2.15 

Intangible Assets

2.15.1  Goodwill

Goodwill  on  acquisition  of  subsidiaries  on  and  after  1  April  2010  represents  the  excess  of  the  consideration 
transferred, the recognised amount of any non-controlling interest in the acquiree entity and the fair value of any 
previous equity interest in the acquiree entity over the fair value of the net identifiable assets acquired, including 
contingent liabilities, at the acquisition date. Such goodwill is recognised separately as intangible asset and stated at 
cost less accumulated impairment losses.

Acquisitions completed prior to 1 April 2001
Goodwill on acquisitions of subsidiaries, associates and joint ventures completed prior to 1 April 2001 had been 
adjusted  in  full  against  ‘Other  Reserves’  within  equity.  Such  goodwill  has  not  been  retrospectively  capitalised  
and amortised.

The Group also had acquisitions where the costs of acquisition were less than the fair value of identifiable net assets 
acquired. Such differences (negative goodwill) were adjusted against ‘Other Reserves’ in the year of acquisition.

Goodwill which has been previously taken to ‘Other Reserves’, is not taken to income statement when the entity is 
disposed of or when the goodwill is impaired.

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139

 
 
 
 
 
 
 
 
 
 
  
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.15 

Intangible Assets (Cont’d)

2.15.1  Goodwill (Cont’d)

Acquisitions completed on or after 1 April 2001
Prior to 1 April 2004, goodwill on acquisitions of subsidiaries, associates and joint ventures completed on or after 
1 April 2001 was capitalised and amortised on a straight-line basis in the consolidated income statement over its 
estimated useful life of up to 20 years. In addition, goodwill was assessed for indications of impairment at the end 
of each reporting period.

Since 1 April 2004, goodwill is no longer amortised but is tested annually for impairment or whenever there is an 
indication of impairment (see Note 2.16). The accumulated amortisation for goodwill as at 1 April 2004 had been 
eliminated with a corresponding decrease in the capitalised goodwill.

A bargain purchase gain is recognised directly in the consolidated income statement.

Gains or losses on disposal of subsidiaries, associates and joint ventures include the carrying amount of capitalised 
goodwill relating to the entity sold.

2.15.2  Other intangible assets

Expenditure  on  telecommunication  and  spectrum  licences  is  capitalised  and  amortised  using  the  straight-line 
method over their estimated useful lives of 4 to 25 years. 

Other  intangible  assets  which  are  acquired  in  business  combinations  are  carried  at  fair  values  at  the  date  of 
acquisition, and amortised on a straight-line basis over the period of the expected benefits. Customer relationships 
or customer contracts, brand, and technology have estimated useful lives of 5 to 10 years. Other intangible assets 
are stated at cost less accumulated amortisation and accumulated impairment losses. 

2.16 

Impairment of Non-Financial Assets

Goodwill  on  acquisition  of  subsidiaries  is  subject  to  annual  impairment  test  or  is  more  frequently  tested  for 
impairment if events or changes in circumstances indicate that it might be impaired. Goodwill is not amortised  
(see Note 2.15.1).

Other  intangible  assets  of  the  Group,  which  have  finite  useful  lives  and  are  subject  to  amortisation,  as  well  as 
property, plant and equipment and investments in subsidiaries, associates and joint ventures, are reviewed at the 
end of each reporting period to determine whether there is any indicator for impairment, or whenever events or 
changes in circumstances indicate that the carrying amount may not be recoverable. If any such indication exists, 
the assets’ recoverable amounts are estimated. 

For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately 
identifiable cash flows (cash-generating units).

An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable 
amount. The recoverable amount is the higher of the asset’s fair value less costs to sell and value-in-use. 

An impairment loss for an asset, other than goodwill on acquisition of subsidiaries, is reversed if, and only if, there 
has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss 
was recognised. Impairment loss on goodwill on acquisition of subsidiaries is not reversed in the subsequent period.

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notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.17 

Inventories

Inventories are stated at the lower of cost and net realisable value. Cost is determined on the weighted average 
basis. Net realisable value is the estimated selling price in the ordinary course of business, less the estimated cost of 
completion and selling expenses.

Work-in-progress is stated at costs less progress payments received and receivable on uncompleted information 
technology  projects,  and  fibre  rollout.  Costs  include  third  party  hardware  and  software  costs,  direct  labour  and 
other direct expenses attributable to the project activity and associated profits recognised on projects-in-progress. 

When it is probable that total contract costs will exceed total contract revenue, the expected loss is recognised as 
an expense immediately.

In the consolidated statement of financial position, work-in-progress is included in “Trade and other receivables”, 
and the excess of progress billings over work-in-progress is included in “Trade and other payables” as applicable.

2.18  Property, Plant and Equipment

Property,  plant  and  equipment  is  stated  at  cost  less  accumulated  depreciation  and  accumulated  impairment 
losses, where applicable. The cost of self-constructed assets includes the cost of material, direct labour, capitalised 
borrowing costs and an appropriate proportion of production overheads.

Depreciation is calculated on a straight-line basis to write off the cost of the property, plant and equipment over its 
expected useful life. Property, plant and equipment under finance lease is depreciated over the shorter of the lease 
term or useful life. The estimated useful lives are as follows –

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Buildings
Transmission plant and equipment
Switching equipment
Other plant and equipment

No. of years

5 - 40
5 - 25
3 - 10
3 - 20

Other plant and equipment consist mainly of motor vehicles, office equipment, and furniture and fittings.

No  depreciation  is  provided  on  freehold  land,  long-term  leasehold  land  with  a  remaining  lease  period  of  more 
than 100 years and capital work-in-progress. Leasehold land with a remaining lease period of 100 years or less is 
depreciated in equal instalments over its remaining lease period.

In respect of capital work-in-progress, assets are depreciated from the month the asset is completed and ready  
for use.

Costs to acquire computer software which are an integral part of the related hardware are capitalised and recognised 
as assets and included in property, plant and equipment when it is probable that the costs will generate economic 
benefits beyond one year and the costs are associated with identifiable software products which can be reliably 
measured by the Group.

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141

 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.18  Property, Plant and Equipment (Cont’d)

The  cost  of  property,  plant  and  equipment  includes  expenditure  that  is  directly  attributable  to  the  acquisition 
of  the  items.  Dismantlement,  removal  or  restoration  costs  are  included  as  part  of  the  cost  if  the  obligation  for 
dismantlement, removal or restoration is incurred as a consequence of acquiring or using the asset. Costs may also 
include transfers from equity of any gains or losses on qualifying cash flow hedges of foreign currency purchases 
of property, plant and equipment. Subsequent expenditure is included in the carrying amount of an asset when it is 
probable that future economic benefits, in excess of the originally assessed standard of performance of the existing 
asset, will flow to the Group.

The residual values and useful lives of property, plant and equipment are reviewed, and adjusted as appropriate, at 
the end of each reporting period. 

On disposal of property, plant and equipment, the difference between the disposal proceeds and its carrying value 
is taken to the income statement.

2.19  Leases

2.19.1  Finance leases

Finance leases are those leasing agreements which effectively transfer to the Group substantially all the risks and 
benefits incidental to ownership of the leased items. Assets financed under such leases are treated as if they had 
been  purchased  outright  at  the  lower  of  fair  value  and  present  value  of  the  minimum  lease  payments  and  the 
corresponding leasing commitments are shown as obligations to the lessors.

Lease payments are treated as consisting of capital repayments and interest elements. Interest is charged to the 
income  statement  over  the  period  of  the  lease  to  produce  a  constant  rate  of  charge  on  the  balance  of  capital 
repayments outstanding.

2.19.2  Operating leases

Leases of assets in which a significant portion of the risks and rewards of ownership are retained by the lessor are 
classified as operating leases. Operating lease payments are recognised as expenses in the income statement on a 
straight-line basis over the period of the lease.

2.19.3  Sales of network capacity 

Sales of network capacity are accounted as finance leases where –

(i) 
(ii) 
(iii) 
(iv) 
(v) 

the purchaser’s right of use is exclusive and irrevocable;
the asset is specific and separable;
the terms of the contract are for the major part of the asset’s economic useful life;
the attributable costs or carrying value can be measured reliably; and
no significant risks are retained by the Group.

Sales of network capacity that do not meet the above criteria are accounted for as operating leases.

2.19.4  Gains or losses from sale and leaseback

Gains on sale and leaseback transactions resulting in finance leases are deferred and amortised over the lease term 
on a straight-line basis, while losses are recognised immediately in the income statement. 

Gains and losses on sale and leaseback transactions established at fair value which resulted in operating leases are 
recognised immediately in the income statement.

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notes to the 
Financial Statements

For the financial year ended 31 March 2015

2.19  Leases (Cont’d)

2.19.5  Capacity swaps

The Group may exchange network capacity with other capacity or service providers. The exchange is regarded as a 
transaction which generates revenue unless the transaction lacks commercial substance or the fair value of neither 
the capacity received nor the capacity given up is reliably measurable. 

2.20  Revenue Recognition

Revenue for the Group is recognised based on fair value for sale of goods and services rendered, net of goods and 
services tax, rebates and discounts, and after eliminating sales within the Group. 

Revenue includes the gross income received and receivable from revenue sharing arrangements entered into with 
overseas telecommunication companies in respect of traffic exchanged. 

For device repayment plans, the consideration is allocated to its separate revenue-generating activities based on 
the best estimate of the price of each activity in the arrangement. Handset sales are accounted for in accordance 
with the sale of equipment accounting policy (see below) of the Group. As the service credits under the device 
repayment plans are provided over time for services, they are recorded as a reduction of subscription revenue.

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For prepaid cards which have been sold, provisions for unearned revenue are made for services which have not 
been rendered as at the end of the reporting period. Expenses directly attributable to the unearned revenue are 
deferred until the revenue is recognised.

Revenue  on  contracts  for  system  and  network  installation  and  integration  projects,  as  well  as  fibre  rollout  are 
recognised  based  on  the  percentage  of  completion  of  the  projects  using  cost-to-cost  basis.  Revenue  from  the 
rendering of services which involve the procurement of computer equipment and third party software for installation 
is recognised upon full completion of the project.

Revenue from the sale of equipment is recognised upon the transfer of significant risks and rewards of ownership 
of the goods to the customer which generally coincides with delivery and acceptance of the goods sold.

Revenue from digital advertising services and solutions is recognised in the period when advertising services are 
delivered,  and  when  digital  advertising  impressions  are  delivered  or  click-throughs  occur.  Revenue  from  selling 
advertising space is recognised when the advertising space is filled and sold to customers.

Dividend income is recorded gross in the income statement when the right to receive payment is established.

Interest income is recognised on a time proportion basis using the effective interest method.

Rental income from operating leases is recognised on a straight-line basis over the term of the lease.

2.21  Employees’ Benefits

2.21.1  Defined contribution plans

Defined contribution plans are post-employment benefit plans under which the Group pays fixed contributions 
into  separate  entities  such  as  the  Central  Provident  Fund.  The  Group  has  no  legal  or  constructive  obligation  to 
pay further contributions if any of the funds do not hold sufficient assets to pay all employee benefits relating to 
employee services in the current and preceding financial years.

The Group’s contributions to the defined contribution plans are recognised in the income statement as expenses in 
the financial year to which they relate.

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Financial Statements

For the financial year ended 31 March 2015

2.21  Employees’ Benefits (Cont’d)

2.21.2  Employees’ leave entitlements

Employees’ entitlements to annual leave and long service leave are recognised when they accrue to employees. A 
provision is made for the estimated liability of annual leave and long service leave as a result of services rendered by 
employees up to the end of the reporting period.

2.21.3  Share-based compensation

Performance shares 
The Singtel performance share plans are accounted for either as equity-settled share-based payments or cash-
settled share-based payments. Equity-settled share-based payments are measured at fair value at the date of grant, 
whereas cash-settled share-based payments are measured at current fair value at the end of each reporting period. 
The share-based payment expense is amortised and recognised in the income statement on a straight-line basis 
over the vesting period. 

At the end of each reporting period, the Group revises its estimates of the number of equity instruments that the 
participants are expected to receive based on non-market vesting conditions. The difference is charged or credited 
to the income statement, with a corresponding adjustment to equity or liability for equity-settled and cash-settled 
share-based payments respectively.

The  dilutive  effects  of  the  Singtel  performance  share  plans  are  reflected  as  additional  share  dilution  in  the 
computation of diluted earnings per share.

2.22  Borrowing Costs

Borrowing  costs  include  interest,  amortisation  of  discounts  or  premiums  relating  to  borrowings,  amortisation 
of  ancillary  costs  incurred  in  arranging  borrowings,  and  finance  lease  charges.  Borrowing  costs  are  generally 
expensed as incurred, except to the extent that they are capitalised if they are directly attributable to the acquisition, 
construction, or production of a qualifying asset.

2.23  Customer Acquisition and Retention Costs

Customer  acquisition  and  retention  costs,  including  related  sales  and  promotion  expenses  and  activation 
commissions, are expensed as incurred.

2.24  Pre-incorporation Expenses

Pre-incorporation expenses are expensed as incurred.

2.25  Government Grants

Grants in recognition of specific expenses are recognised in the income statement over the periods necessary to 
match them with the relevant expenses they are intended to compensate. Grants related to depreciable assets are 
deferred and recognised in the income statement over the period in which such assets are depreciated and used in 
the projects subsidised by the grants.

2.26  Exceptional Items

Exceptional items refer to items of income or expense within the income statement from ordinary activities that are 
of such size, nature or incidence that their separate disclosure is considered necessary to explain the performance 
for the financial year.

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Financial Statements

For the financial year ended 31 March 2015

2.27 

Income Tax

Income tax expense comprises current and deferred tax.

The current tax is based on taxable profit for the year. Taxable profit differs from profit as reported in the income 
statement as it excludes items of income or expense that are taxable or deductible in other years and it further 
excludes items that are not taxable or tax deductible. The Group’s liability for current tax is calculated using tax rates 
(and tax laws) that have been enacted or substantively enacted in countries where the Company and its subsidiaries 
operate by, at the end of the reporting period.

Deferred  taxation  is  provided  in  full,  using  the  liability  method,  on  all  temporary  differences  at  the  end  of  the 
reporting period between the tax bases of assets and liabilities and their carrying amounts in the financial statements. 
However, if the deferred income tax arises from initial recognition of an asset or liability in a transaction other than 
a business combination that at the time of the transaction affects neither accounting nor taxable profit or loss, it is 
not accounted for. Deferred income tax is also not recognised for goodwill which is not deductible for tax purposes. 
The amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying 
amount of assets and liabilities, using tax rates (and laws) enacted or substantively enacted in countries where the 
Company and its subsidiaries operate by, at the end of the reporting period.

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Deferred  tax  liabilities  are  provided  on  all  taxable  temporary  differences  arising  on  investments  in  subsidiaries, 
associates and joint ventures, except where the timing of the reversal of the temporary difference can be controlled 
and it is probable that the temporary difference will not reverse in the foreseeable future. 

Deferred tax assets are recognised for all deductible temporary differences and carry forward of unutilised tax losses, 
to the extent that it is probable that future taxable profit will be available against which the deductible temporary 
differences and carry forward of unused losses can be utilised.

At  the  end  of  each  reporting  period,  the  Group  re-assesses  unrecognised  deferred  tax  assets  and  the  carrying 
amount of deferred tax assets. The Group recognises a previously unrecognised deferred tax asset to the extent 
that it is probable that future taxable profit will allow the deferred tax asset to be recovered. The Group conversely 
reduces the carrying amount of a deferred tax asset to the extent that it is no longer probable that sufficient future 
taxable profit will be available to allow the benefit of all or part of the deferred tax asset to be utilised.

Current and deferred tax are charged or credited directly to equity if the tax relates to items that are credited or 
charged, in the same or different period, directly to equity.

2.28  Dividends

Interim dividends are recorded in the financial year in which they are declared payable. Final dividends are recorded 
in the financial year in which the dividends are approved by the shareholders.

2.29  Segment Reporting

An operating segment is identified as the component of the Group that is regularly reviewed by the chief operating 
decision maker in order to allocate resources to the segment and to assess its performance. 

2.30   Non-current Assets (or Disposal Groups) Held for Sale

Non-current  assets  (or  disposal  groups)  are  classified  as  assets  held  for  sale  and  stated  at  the  lower  of  carrying 
amount and fair value less costs to sell if their carrying amounts are recovered principally through sale transactions 
rather than through continuing use. 

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notes to the 
Financial Statements

For the financial year ended 31 March 2015

3. 

cRiTical accOUnTinG ESTiMaTES anD JUDGEMEnTS

FRS 1, Presentation Of Financial Statements, requires disclosure of the judgements management has made in 
the process of applying the accounting policies that have the most impact on the amounts recognised in the 
financial  statements.  It  also  requires  disclosure  about  the  key  assumptions  concerning  the  future,  and  other 
key sources of estimation uncertainty at the end of the reporting period, that have a significant risk of causing a 
material adjustment to the carrying amounts of assets and liabilities within the next financial year. The estimates 
and assumptions are based on historical experience and other factors that are considered relevant. Actual results 
may differ from these estimates.

The following presents a summary of the critical accounting estimates and judgements –

3.1 

Impairment Reviews

The accounting policies for impairment of non-financial assets are stated in Note 2.16.

During an impairment review, the Group assesses whether the carrying amount of an asset or cash-generating 
unit exceeds its recoverable amount. Recoverable amount is defined as the higher of an asset’s or cash generating 
unit’s fair value less costs to sell and its value-in-use. In making this judgement, the Group evaluates the value-
in-use which is supported by the net present value of future cash flows derived from such assets using cash flow 
projections which have been discounted at an appropriate rate.

Forecasts  of  future  cash  flows  are  based  on  the  Group’s  estimates  using  historical,  sector  and  industry  trends, 
general market and economic conditions, changes in technology and other available information.

The assumptions used by management to determine the value-in-use calculations of goodwill on acquisition of 
subsidiaries, and carrying values of associates and joint ventures are stated in Note 23. 

3.2 

Impairment of Trade Receivables

The Group assesses at the end of each reporting period whether there is objective evidence that trade receivables 
have been impaired. Impairment loss is calculated based on a review of the current status of existing receivables 
and historical collections experience. Such provisions are adjusted periodically to reflect the actual and anticipated 
experience.

3.3 

Estimated Useful Lives of Property, Plant and Equipment

The Group reviews annually the estimated useful lives of property, plant and equipment based on factors such as 
business plans and strategies, expected level of usage and future technological developments. It is possible that 
future results of operations could be materially affected by changes in these estimates brought about by changes 
in the factors mentioned above. A reduction in the estimated useful lives of property, plant and equipment would 
increase the recorded depreciation and decrease the carrying value of property, plant and equipment.

3.4 

Investment in NetLink Trust

Based  on  facts  and  circumstances  as  disclosed  in  Note  26,  although  the  Company  holds  100%  of  the  units  in 
NetLink Trust, the Company does not control but has significant influence in the trust in accordance with FRS 28, 
Investments in Associates and Joint Ventures. Therefore, NetLink Trust has been accounted for as an associate of 
the Group.

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Financial Statements

For the financial year ended 31 March 2015

3.5 

Taxation

3.5.1  Deferred tax asset

The Group reviews the carrying amount of deferred tax asset at the end of each reporting period. Deferred tax asset 
is recognised to the extent that it is probable that future taxable profit will be available against which the temporary 
differences can be utilised. This involves judgement regarding the future financial performance of the particular 
legal entity or tax group in which the deferred tax asset has been recognised. 

3.5.2 

Income taxes
The Group is subject to income taxes in numerous jurisdictions. Judgement is involved in determining the group-
wide  provision  for  income  taxes.  There  are  certain  transactions  and  computations  for  which  the  ultimate  tax 
determination is uncertain during the ordinary course of business. The Group recognises liabilities for expected 
tax issues based on estimates of whether additional taxes will be due. Where the final outcome of these matters is 
different from the amounts that were initially recognised, such differences will impact the income tax and deferred 
tax provisions in the period in which such determination is made. 

3.6 

Fair values of derivative financial instruments

The Group uses valuation techniques to determine the fair values of financial instruments. The valuation techniques 
used  for  different  financial  instruments  are  selected  to  reflect  how  the  market  would  be  expected  to  price  the 
instruments, using inputs that reasonably reflect the risk-return factors inherent in the instruments. Depending upon 
the characteristics of the financial instruments, observable market factors are available for use in most valuations, 
while others involve a greater degree of judgment and estimation.

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3.7 

Share-based Payments

Equity-settled share-based payments are measured at fair value at the date of grant, whereas cash-settled share-
based  payments  are  measured  at  current  fair  value  at  the  end  of  each  reporting  period.  In  addition,  the  Group 
revises the estimated number of equity instruments that participants are expected to receive based on non-market 
vesting conditions at the end of each reporting period.

The assumptions of the valuation model used to determine fair values are set out in Note 5.3.

3.8 

Contingent Liabilities

The Group consults with its legal counsel on matters related to litigation, and other experts both within and outside 
the Group with respect to matters in the ordinary course of business.

As at 31 March 2015, the Group was involved in various legal proceedings where it has been vigorously defending 
its claims as disclosed in Note 41.

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Financial Statements

For the financial year ended 31 March 2015

4. 

OPERaTinG REVEnUE

Mobile communications
Data and Internet
  Managed services
  Business solutions
Infocomm Technology
Sale of equipment
National telephone
International telephone
Digital businesses
Pay television
Others

Operating revenue

Operating revenue
Other income (see Note 6)
Interest and investment income (see Note 10)

Total revenue

5. 

OPERaTinG EXPEnSES

Selling and administrative costs (1)
Traffic expenses
Staff costs
Cost of equipment sold 
Repairs and maintenance
Other cost of sales 

2015
S$ Mil

 7,242.3 
3,099.6
1,801.0
603.4
2,404.4
 1,554.6 
 1,356.8 
 627.6 
 333.2 
 301.8 
 302.6 

Group

2014
S$ Mil

 7,249.9 
3,137.3
1,701.0
567.8
2,268.8
 1,244.0 
 1,502.5 
 688.9 
 164.6 
 251.7 
 340.4 

 17,222.9 

 16,848.1 

 17,222.9 
 151.4 
 92.4 

 16,848.1 
 107.6 
 113.0 

 17,466.7 

 17,068.7

2015
S$ Mil

 4,000.9 
 2,548.5 
 2,461.1 
 2,147.3 
 339.3 
 786.5 

Group

2014
S$ Mil

 3,952.4 
 2,576.1 
 2,285.3 
 1,764.3 
 337.4 
 884.8 

 12,283.6 

 11,800.3

Note:
(1) 

Includes mobile and broadband subscriber acquisition and retention costs, supplies and services, as well as rentals of properties and mobile 
base stations.

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notes to the 
Financial Statements

For the financial year ended 31 March 2015

5.1 

Staff Costs

Staff costs included the following -

  Contributions to defined contribution plans
  Performance share expense

-  equity-settled arrangements
-  cash-settled arrangements

5.2 

Key Management Personnel Compensation

Key management personnel compensation (1)
Executive director (2)
Other key management personnel (3) 

Directors’ remuneration (4)

Group

2015
S$ Mil

2014
S$ Mil

 223.6 

 208.2 

 24.4 
 28.3 

 22.1 
 11.0

Group

2015
S$ Mil

2014
S$ Mil

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10.4

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 2.5 

18.5

 4.7 
 10.9 

 15.6 
 2.1 

 17.7

Notes:
(1)  Comprise  base  salary,  annual  wage  supplement,  bonus,  contributions  to  defined  contribution  plans  and  other  cash  benefits,  but  exclude 

performance share expense disclosed below. 

(2)  The Group Chief Executive Officer, an executive director of Singtel, was awarded up to 1,524,760 (2014: 1,516,229) ordinary shares of Singtel 
pursuant to Singtel performance share plans during the year, subject to certain performance criteria including other terms and conditions being 
met. The performance share expense computed in accordance with FRS 102, Share-based Payment, was S$6.0 million (2014: S$3.7 million).
(3)  The other key management personnel of the Group comprise the Group Chief Corporate Officer (formerly the Group Chief Financial Officer),  
the Chief Executive Officer of Consumer Australia (formerly the Chief Executive Officer of Group Digital Life) and the Chief Executive Officer of 
Group Enterprise. In the previous year, the other key management personnel of the Group comprised the Group Chief Financial Officer, and 
the Chief Executive Officers of Group Consumer, Group Enterprise and Group Digital Life. 
The other key management personnel were awarded up to 1,939,323 (2014: 3,152,785) ordinary shares of Singtel pursuant to Singtel performance 
share plans during the year, subject to certain performance criteria including other terms and conditions being met. The performance share 
expense computed in accordance with FRS 102, Share-based Payment, was S$7.5 million (2014: S$7.3 million). 

(4)  This comprised directors’ fees of S$2.5 million (2014: S$2.1 million) and car-related benefits of Chairman of S$18,089 (2014: S$16,511).

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Financial Statements

For the financial year ended 31 March 2015

5.3 

Share-based Payments

5.3.1  Performance share plans

Prior to 1 April 2012, two categories of awards – General Awards and Senior Management Awards – were given to 
selected employees of Singtel and its subsidiaries on an annual basis. The grants are conditional on the achievement 
of targets set for a three-year performance period. The final number of performance shares to be released to the 
recipients will depend on the level of achievement of the targets over the three-year performance period. 

The General Awards are generally settled by delivery of Singtel shares, while the Senior Management Awards are 
settled by Singtel shares or cash, at the option of the recipient.

With effect from 1 April 2012, General Awards and Senior Management Awards are no longer given. Instead, Restricted 
Share Awards and Performance Share Awards are given to selected employees of Singtel and its subsidiaries. The 
awards are conditional upon the achievement of predetermined performance targets over the performance period, 
which is two years for the Restricted Share Awards and three years for the Performance Share Awards. Both awards 
are generally settled by delivery of Singtel shares, with the awards for certain senior employees to be settled by 
Singtel shares or cash, at the option of the recipient. 

Additionally,  early  vesting  of  the  performance  shares  can  also  occur  under  special  circumstances  approved  by 
the Executive Resource and Compensation Committee such as retirement, redundancy, illness and death while in 
employment.

Though the performance shares are awarded by Singtel, the respective subsidiaries bear all costs and expenses in 
any way arising out of, or connected with, the grant and vesting of the awards to their employees.

The  fair  values  of  the  performance  shares  are  estimated  using  a  Monte-Carlo  simulation  methodology  at  the 
measurement  dates,  which  are  the  grant  value  dates  for  equity-settled  awards,  and  at  the  end  of  the  reporting 
period for cash-settled awards.

General Awards 
The  movements  of  the  number  of  performance  shares  for  the  General  Awards  during  the  financial  year  were  
as follows –

Group and Company 
2015

Date of grant 

Singtel PSP 2003

Fy 2012 (1)
  2 June 2011
  September 2011 to March 2012

Note: 
(1) 

“FY 2012” denotes financial year ended 31 March 2012.

Outstanding
 as at
 1 April 2014
 ‘000

Vested
‘000

Cancelled
‘000

Outstanding
 as at
 31 March 2015
 ‘000

 17,336 
 167 

 (10,455)
 (100)

 (6,881)
 (67)

17,503

 (10,555)

 (6,948)

–
–

–

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For the financial year ended 31 March 2015

5.3.1  Performance share plans (Cont’d)

Group and Company
2014

Date of grant 

Singtel PSP 2003

Fy 2011
  3 June 2010
  September 2010 to March 2011

Fy 2012
  2 June 2011
  September 2011 to March 2012

General Awards 

Fair value at grant date

Assumptions under Monte-Carlo Model  
  Expected volatility

  Singtel
  MSCI Asia Pacific Telco Index

  MSCI Asia Pacific Telco Component Stocks  

  Historical volatility period

From

  To

  Risk free interest rates

  Yield of Singapore Government Securities on 

Outstanding
as at
1 April 2013
‘000

Vested
‘000

Cancelled
‘000

Outstanding
as at
31 March 2014
‘000

 16,933 
 390 

 (9,452)
 (201)

 (7,481)
 (189)

–
–

 19,402 
 229 

 (79)
–

 (1,987)
 (62)

 17,336 
 167 

36,954

 (9,732)

 (9,719)

17,503

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Singtel PSP 2003

2 June 2011

S$1.81

30.3%
19.3%

July 2001
June 2011

2 June 2011

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For the financial year ended 31 March 2015

5.3.1  Performance share plans (Cont’d)

Senior Management Awards - cash-settled arrangements
The movements of the number of performance shares for the Senior Management Awards, the fair value of the 
grants at the end of the reporting period and the assumptions of the fair value model for the relevant grants were  
as follows –

Group and Company 
2015

Senior Management Awards
Number of performance shares (‘000)
  Outstanding as at 1 April 2014
  Vested

  Outstanding and unvested as at 31 March 2015

2014

Senior Management Awards
Number of performance shares (‘000)
  Outstanding as at 1 April 2013
  Vested
  Cancelled

  Outstanding and unvested as at  

  31 March 2014

Date of grant

Singtel PSP 2003

2 June 2011

 2,922 
 (2,922)

–

Date of grant 

Singtel PSP 2003

3 June 2010

2 June 2011

Group And 
Company

 3,148 
 (2,798)
 (350)

 2,922 
–
–

 6,070 
 (2,798)
 (350)

–

2,922

 2,922 

Fair value at 31 March 2014

S$3.65

Assumptions under Monte-Carlo Model  
  Expected volatility

  Singtel
  MSCI Asia Pacific Telco Index
  MSCI Asia Pacific Telco Component Stocks

17.8%
12.9%
 800 days 
historical 
volatility 
preceding 
March 2014

  Risk free interest rates

  Yield of Singapore Government Securities on

31 March 2014

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D

2

0

1

5

153

 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

5.3.1  Performance share plans (Cont’d)

Restricted Share Awards 
The movements of the number of performance shares for the Restricted Share Awards during the financial year 
were as follows –

Group and Company 
2015

Date of grant 

Fy 2013
  26 June 2012 
  October 2012 to March 2013 

Fy 2014
  21 June 2013
  September 2013 to March 2014

Fy 2015
  23 June 2014
  September 2014 to March 2015

Group and Company
2014

Date of grant 

Fy 2013
 26 June 2012
 October 2012 to March 2013

Fy 2014
 21 June 2013
 September 2013 to March 2014

Outstanding 
as at 
1 April 2014 
‘000

Awarded 
from targets 
exceeded 
‘000

 Granted 
‘000

Vested 
‘000

Cancelled 
‘000

Outstanding 
as at 
31 March 2015 
‘000

 4,660 
 69 

 4,721 
 12 

–
–

–
–

–
–

 5,238 
 45 

1,309
21

 (1,599)
 (23)

 (206)
–

 4,164 
 67 

–
–

–
–

 (89)
–

 (393)
–

 4,239 
 12 

 (6)
–

 (159)
–

 5,073 
 45 

F
i
n
a
n
c
a
l
S

i

9,462

 5,283 

 1,330 

 (1,717)

 (758)

13,600

Outstanding
as at
1 April 2013
‘000

 Granted 
‘000

Vested
‘000

Cancelled
‘000

Outstanding
as at
31 March 2014
‘000

 5,321 
 69 

–
–

–
–

 4,953 
 12 

 (58)
–

 (23)
–

 (603)
–

 (209)
–

 4,660 
 69 

 4,721 
 12 

5,390

 4,965 

 (81)

 (812)

9,462

I

L
I
M
T
E
D

2
0
1
5

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

152

153

 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

5.3.1  Performance share plans (Cont’d)

The fair values of the Restricted Share Awards and the assumptions of the fair value model for the grants were  
as follows –

Equity-settled

Fair value at grant date

Assumptions under Monte-Carlo Model
  Expected volatility

  Singtel
  MSCI Asia Pacific Telco Index
  MSCI Asia Pacific Telco Component Stocks

26 June 2012

21 June 2013

23 June 2014

Date of grant

S$2.61

S$3.28

S$3.48

16.6%
7.2%
36 months 
historical 
volatility 
preceding 
May 2012

13.4%
8.2%
36 months 
historical 
volatility 
preceding 
May 2013

15.2%
9.5%
36 months 
historical 
volatility 
preceding 
May 2014

  Risk free interest rates

  Yield of Singapore Government Securities on 

30 May 2012

5 June 2013

4 June 2014

Cash-settled 
2015

26 June 2012

21 June 2013

23 June 2014

Date of grant

Fair value at 31 March 2015

S$4.38

S$4.29

S$4.11

Assumptions under Monte-Carlo Model  
  Expected volatility

  Singtel
  MSCI Asia Pacific Telco Index
  MSCI Asia Pacific Telco Component Stocks

15.2%
10.6%

15.2%
10.6%
36 months historical volatility  
preceding March 2015

15.2%
10.6%

  Risk free interest rates

  Yield of Singapore Government Securities on 

31 March 2015

31 March 2015

31 March 2015

154

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

155

 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

5.3.1  Performance share plans (Cont’d)

Cash-settled
2014

Fair value at 31 March 2014

Assumptions under Monte-Carlo Model  
  Expected volatility

  Singtel
  MSCI Asia Pacific Telco Index
  MSCI Asia Pacific Telco Component Stocks

Date of grant

26 June 2012

21 June 2013

S$3.52

S$3.39

15.4%
9.6%

15.4%
9.6%

36 months historical volatility 
preceding March 2014

  Risk free interest rates

  Yield of Singapore Government Securities on 

31 March 2014

31 March 2014

F
i
n
a
n
c
a
l
S

i

Performance Share Awards 
The movements of the number of performance shares for the Performance Share Awards during the financial year 
were as follows –

Group and Company
2015

Date of grant 

Fy 2013
  26 June 2012
  October 2012 to March 2013

Fy 2014
  21 June 2013
  September 2013 to March 2014

Fy 2015
  23 June 2014
  September 2014 to March 2015

Outstanding
as at
1 April 2014
‘000

 Granted 
‘000

Vested 
‘000

Cancelled 
‘000

Outstanding
as at
31 March 2015
‘000

 7,058 
 157 

 9,186 
 15 

–
–

–
–

 (40)
–

 (204)
–

 6,814 
 157 

 (8)
–

 (768)
–

 8,410 
 15 

–
–

 8,528 
 235 

–
–

 (214)
–

 8,314 
 235 

16,416

 8,763 

 (48)

 (1,186)

23,945

I

L
I
M
T
E
D

2
0
1
5

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

154

155

 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

5.3.1  Performance share plans (Cont’d)

Group and Company
2014

Date of grant 

Fy 2013
  26 June 2012
  October 2012 to March 2013

Fy 2014
  21 June 2013
  September 2013 to March 2014

Outstanding
as at
1 April 2013
‘000

 Granted
‘000

Cancelled
‘000

Outstanding
as at
31 March 2014
‘000

 7,470 
 157 

–
–

 (412)
–

 7,058 
 157 

–
–

 9,391 
 15 

 (205)
–

 9,186 
 15 

7,627

 9,406 

 (617)

16,416

The fair values of the Performance Share Awards and the assumptions of the fair value model for the grants were  
as follows –

Equity-settled

Fair value at grant date

Assumptions under Monte-Carlo Model  
  Expected volatility

  Singtel
  MSCI Asia Pacific Telco Index
  MSCI Asia Pacific Telco Component Stocks

26 June 2012

21 June 2013

23 June 2014

Date of grant

S$1.78

S$2.16

S$2.36

16.6%
7.2%
36 months
historical 
volatility 
preceding 
May 2012

13.4%
8.2%
36 months 
historical 
volatility 
preceding 
May 2013

15.2%
9.5%
36 months 
historical 
volatility 
preceding 
May 2014

  Risk free interest rates

  Yield of Singapore Government Securities on 

30 May 2012

5 June 2013

4 June 2014

156

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

157

 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

5.3.1  Performance share plans (Cont’d)

Cash-settled 
2015

26 June 2012

21 June 2013

23 June 2014

Date of grant

Fair value at 31 March 2015

S$4.36

S$3.66

S$3.72

Assumptions under Monte-Carlo Model  
  Expected volatility

  Singtel
  MSCI Asia Pacific Telco Index
  MSCI Asia Pacific Telco Component Stocks

15.2%
10.6%

15.2%
10.6%
36 months historical volatility  
preceding March 2015

15.2%
10.6%

  Risk free interest rates

  Yield of Singapore Government Securities on 

31 March 2015

31 March 2015

31 March 2015

F
i
n
a
n
c
a
l
S

i

Cash-settled
2014

Fair value at 31 March 2014

Assumptions under Monte-Carlo Model  
  Expected volatility

  Singtel
  MSCI Asia Pacific Telco Index
  MSCI Asia Pacific Telco Component Stocks

Date of grant

26 June 2012

21 June 2013

S$2.95

S$1.84

15.4%
9.6%

15.4%
9.6%

36 months historical volatility 
preceding March 2014

  Risk free interest rates

  Yield of Singapore Government Securities on 

31 March 2014

31 March 2014

5.4 

Structured Entity

The Trust’s purpose is to purchase the Company’s shares from the open market for delivery to the recipients upon 
vesting of the share-based payments awards. 

As at the end of the reporting period, the Trust held the following assets –

Cost of Singtel shares, net of vesting
Cash at bank

Group

Company

2015
S$ Mil

 32.7 
 0.4 

2014
S$ Mil

 34.6 
 0.6 

2015
S$ Mil

 29.7 
 0.4 

2014
S$ Mil

 28.4 
 0.5 

I

L
I
M
T
E
D

2
0
1
5

 33.1 

 35.2 

 30.1 

 28.9

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

156

157

 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

5.4 

Structured Entity (Cont’d)

The details of Singtel shares held by the Trust were as follows –

Group

Balance as at 1 April
Purchase of Singtel shares
Vesting of shares

Number of shares

Amount

2015
‘000

 10,127 
 8,561 
 (10,059)

2014
‘000

 12,310 
 5,161 
 (7,344)

2015
S$ Mil

 34.6 
 32.8 
 (34.7)

2014
S$ Mil

 39.5 
 19.0 
 (23.9)

Balance as at 31 March

 8,629 

 10,127 

 32.7 

 34.6

Upon  consolidation  of  the  Trust  in  the  consolidated  financial  statements,  the  weighted  average  cost  of  vested 
Singtel shares is taken to ‘Capital Reserve - Performance Shares’ whereas the weighted average cost of unvested 
shares is taken to ‘Treasury Shares’ within equity. See Note 2.3. 

5.5  Other Operating Expense Items

Operating expenses included the following -
  Auditors’ remuneration

-  Deloitte & Touche LLP, Singapore 
-  Deloitte Touche Tohmatsu, Australia
-  Other Deloitte & Touche offices

  Non-audit fees paid to 

-  Deloitte & Touche LLP, Singapore (1)
-  Deloitte Touche Tohmatsu, Australia (1)
-  Other Deloitte & Touche offices

Impairment of trade receivables

  Allowance for inventory obsolescence 

Inventory written off

  Provision for liquidated damages and warranties
  Operating lease payments for properties and mobile base stations

Group

2015
S$ Mil

2014
S$ Mil

 1.4 
 1.1 
 1.1 

 0.2 
 0.5 
 0.1 

 97.3 
 2.7 
 2.2 
 4.3 
 398.9 

 1.4 
 1.1 
 0.3 

 0.3 
 1.1 
 0.1 

 137.4 
 27.9 
 2.1 
 0.1 
 380.6

Note:
(1)  The non-audit fees for the current financial year ended 31 March 2015 included S$0.1 million (2014: S$0.2 million) and S$0.4 million (2014: S$0.4 
million) paid to Deloitte & Touche LLP, Singapore, and Deloitte Touche Tohmatsu, Australia, respectively in respect of certification and review 
for regulatory purposes. 

The Audit Committee had undertaken a review of the non-audit services provided by the auditors, Deloitte & Touche 
LLP, and in the opinion of the Audit Committee, these services did not affect the independence of the auditors.

158

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

159

 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
notes to the 
Financial Statements

For the financial year ended 31 March 2015

6. 

OTHER incOME

Access fees from network facilities 
Rental income
Bad trade receivables recovered
Net foreign exchange losses - trade related
Net gains on disposal of property, plant and equipment
Others

7. 

DEPREciaTiOn anD aMORTiSaTiOn

Depreciation of property, plant and equipment
Amortisation of intangible assets
Amortisation of deferred gain on sale of a joint venture

8. 

EXcEPTiOnal iTEMS

Group

2015
S$ Mil

 64.8 
 3.8 
 3.1 
 (0.6)
 2.7 
 77.6 

2014
S$ Mil

 52.5 
 3.9 
 3.0 
 (10.3)
 2.6 
 55.9 

 151.4 

 107.6

Group

2015
S$ Mil

 1,964.8 
 199.7 
 (3.1)

2014
S$ Mil

 1,964.4 
 171.4 
 (3.1)

 2,161.4 

 2,132.7

Group

2015
S$ Mil

2014
S$ Mil

F
i
n
a
n
c
a
l
S

i

Exceptional gains
  Gain on dilution of interest in an associate (Singapore Post Limited) 
  Gain on sale of AFS investments
  Gain on dilution of interest in other associates and joint ventures
  Gain on dilution of interest in a joint venture (Bharti Airtel Limited) 
  Gain on disposal of a subsidiary 

Exceptional losses
  Ex-gratia costs on staff restructuring 

Impairment of AFS investments
Impairment of other non-current assets

  Write-off of other non-current assets

Loss on sale of AFS investment

  Accrued penalty charges for network incidents 

 65.4 
 37.9 
 3.5 
–
–
 106.8 

 (42.9)
 (25.3)
 (12.9)
 (2.2)
 (8.7)
–
 (92.0)

–
 6.6 
 5.3 
 149.7 
 1.0 
 162.6 

 (9.3)
 (22.4)
 (10.9)
–
–
 (6.0)
 (48.6)

I

L
I
M
T
E
D

2
0
1
5

 14.8 

 114.0

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

158

159

 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

9. 

SHARE OF RESULTS OF ASSOCIATES AND JOINT VENTURES

Share of ordinary results
–   joint ventures
–   associates

Group

2015
S$ Mil

2014
S$ Mil

2,504.4 
111.8 
2,616.2 

2,125.7 
75.1 
2,200.8 

Share of net exceptional losses of associates and joint ventures (post-tax) (1)

(69.1)

(86.8)

Share of tax of ordinary results

–   joint ventures
–   associates

Note:
(1) Share of net exceptional losses comprised –

Accelerated depreciation (post-tax)
  Exceptional tax charge and other items
  Gain on sale of asset

10. 

INTEREST AND INVESTMENT INCOME (NET)

Interest income from
–   bank deposits 
–   others

Dividends from joint ventures 
Gross dividends from AFS investments

Net foreign exchange gains/ (losses) – non-trade related
Other fair value gains 
Fair value (losses)/ gains on fair value hedges 

–   hedged items 
–   hedging instruments

Fair value (losses)/ gains on cash flow hedges 

–   hedged items 
–   hedging instruments

160

“*” denotes loss of less than S$50,000.

(790.1)
(21.7)
(811.8)

(705.0)
(16.4)
(721.4)

1,735.3 

1,392.6 

(10.5)
(58.6)
–

(69.1)

2015
S$ Mil

8.8 
37.4 
46.2 

41.5 
4.7 

92.4 

8.2 
3.5 

(132.9)
121.6 
(11.3)

(363.8)
363.8 
* 

Group

(60.7)
(33.7)
7.6 

(86.8)

2014
S$ Mil

15.4 
33.8 
49.2 

58.5 
5.3 

113.0 

(0.1)
12.2 

149.1 
(147.8)
1.3 

(336.0)
334.1 
(1.9)

92.8 

124.5 

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

161

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

11. 

FINANCE COSTS

Interest expense on

–   bonds
–   bank loans
–   others

Less: Amounts capitalised 

Effects of hedging using interest rate swaps
Unwinding of discounts (including adjustments)

Group

2015
S$ Mil

 255.1 
 28.8 
 27.3 
 311.2 

 (6.7)
 304.5 

 0.5 
 4.2 

2014
S$ Mil

245.4 
29.9 
30.3 
305.6 

(18.1)
287.5 

13.8 
4.6 

 309.2 

305.9 

F
I
N
A
N
C
A
L
S

I

The interest rate applicable to the capitalised borrowings was 6.1 per cent as at 31 March 2015 (March 2014: 7.6 per cent).

12. 

TAXATION

12.1  Tax Expense

Current income tax
–   Singapore
–   Overseas

Deferred tax expense

Tax expense attributable to current year’s profit

Recognition of deferred tax credit (1)

Adjustments in respect of prior year (2) –
  Current income tax 
–   over provision 

  Deferred income tax 
–   under provision 

Withholding and dividend distribution taxes on dividend  

income from joint ventures

Group

2015
S$ Mil

 237.7 
 354.1 
 591.8 

 3.4 

 595.2 

 (47.6)

2014
S$ Mil

153.6 
328.6 
482.2 

120.0 

602.2 

–

 (13.6)

(41.3)

 11.3 

18.0 

 133.2 

 678.5 

112.1 

691.0 

I

L
I
M
T
E
D

2
0
1
5

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

160

Notes:
(1)  This relates to deferred tax credit recognised on certain property, plant and equipment transferred to an associate. 
(2)  This included certain tax credits upon finalisation of earlier years’ tax assessments.

161

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

12.1  Tax Expense (Cont’d)

The tax expense on profits was different from the amount that would arise using the Singapore standard rate of 
income tax due to the following –

Profit before tax
Less: Share of results of associates and joint ventures

Tax calculated at tax rate of 17 per cent (2014: 17 per cent)
Effects of –
Different tax rates of other countries
Income not subject to tax
Expenses not deductible for tax purposes
Deferred tax asset not recognised
Deferred tax asset previously not recognised now recognised
Others

2015
S$ Mil

4,463.0 
(1,735.3)
2,727.7 

Group

2014
S$ Mil

4,347.9 
(1,392.6)
2,955.3 

463.7 

502.4 

90.9 
(21.3)
40.9 
24.7 
(0.2)
(3.5)

109.1 
(59.4)
51.1 
5.3 
(2.2)
(4.1)

Tax expense attributable to current year’s profit

595.2 

602.2 

162

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

163

 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

12.2  Deferred Taxes

The  movements  of  the  deferred  tax  assets  and  liabilities  (prior  to  offsetting  of  balances  within  the  same  tax 
jurisdiction) during the financial year were as follows –

Group – 2015
Deferred tax assets

 Provisions
S$ Mil 

Balance as at 1 April 2014
(Charged)/ Credited to  
income statement 

Charged to other  

comprehensive income 
Transfer from/ (to) current tax
Translation differences

61.6 

(7.5)

 – 
 3.4 
 (9.2)

TWDV (1) in
excess of NBV (2)  
of depreciable
assets
S$ Mil

Tax losses
and unutilised
capital
allowances
S$ Mil

Others
S$ Mil 

 Total
S$ Mil 

280.6 

 20.2 

 470.6 

 833.0 

(22.6)

– 
– 
(26.7)

 –

 – 
 – 
 1.8 

 65.9 

 35.8 

 (1.1)
 (0.5)
 (21.4)

 (1.1)
 2.9 
 (55.5)

Balance as at 31 March 2015

 48.3 

231.3 

 22.0 

 513.5 

 815.1 

F
I
N
A
N
C
A
L
S

I

Group – 2015
Deferred tax liabilities

Balance as at 1 April 2014
Acquisition of subsidiaries
(Charged)/ Credited to income statement 
Transfer from current tax 
Translation differences 

Accelerated
tax
depreciation
S$ Mil 

 (401.3)
 – 
 (15.3)
 (0.1)
 (0.1)

Offshore
interest and
dividend
not
remitted
S$ Mil 

 (5.3)
 – 
 – 
 – 
 – 

Others
S$ Mil 

 (42.8)
 (62.3)
 1.5 
 – 
 (7.3)

Total
S$ Mil 

 (449.4)
 (62.3)
 (13.8)
 (0.1)
 (7.4)

Balance as at 31 March 2015

 (416.8)

 (5.3)

 (110.9)

 (533.0)

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

I

L
I
M
T
E
D

2
0
1
5

162

163

 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

12.2  Deferred Taxes (Cont’d)

Group – 2014
Deferred tax assets

 Provisions
S$ Mil 

Balance as at 1 April 2013
Charged to income statement 
Charged to other comprehensive 

income 

Transfer from current tax
Translation differences

 81.4 
 (12.2)

 – 
 0.8 
 (8.4)

TWDV (1) in
excess of NBV (2)  
of depreciable
assets
S$ Mil

Tax losses
and unutilised
capital
allowances
S$ Mil

324.1
 (10.9)

 – 
 – 
 (32.6)

 20.5 
 – 

 – 
 0.1 
 (0.4)

Others
S$ Mil 

 529.1 
 (27.2)

 (9.8)
 3.1 
 (24.6)

 Total
S$ Mil 

 955.1 
 (50.3)

 (9.8)
 4.0 
 (66.0)

Balance as at 31 March 2014

 61.6 

 280.6 

 20.2 

 470.6 

 833.0 

Group – 2014
Deferred tax liabilities

Balance as at 1 April 2013
Acquisition of subsidiaries
(Charged)/ Credited to income statement 
Transfer from current tax 
Translation differences 

Balance as at 31 March 2014

Accelerated
tax
depreciation
S$ Mil 

Offshore
interest and
dividend not
remitted
S$ Mil 

 (255.5)
 – 
 (104.7)
 (40.5)
 (0.6)

 (401.3)

 (5.3)
 – 
 – 
 – 
 – 

 (5.3)

Others
S$ Mil 

 (48.5)
 1.6 
 6.9 
 (3.1)
 0.3 

Total
S$ Mil 

 (309.3)
 1.6 
 (97.8)
 (43.6)
 (0.3)

 (42.8)

 (449.4)

164

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

165

 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

12.2  Deferred Taxes (Cont’d)

Company – 2015
Deferred tax assets

Balance as at 1 April 2014
Credited to income statement 

Balance as at 31 March 2015

Company – 2015
Deferred tax liabilities

Balance as at 1 April 2014
Charged to income statement

Balance as at 31 March 2015

Company – 2014
Deferred tax assets

Balance as at 1 April 2013
Charged to income statement 

Balance as at 31 March 2014

Company – 2014
Deferred tax liabilities

Balance as at 1 April 2013
Charged to income statement
Transfer from current tax

Balance as at 31 March 2014

Notes:
(1)  TWDV – Tax written down value
(2)  NBV – Net book value

Provisions
S$ Mil

Others
S$ Mil

 0.5 
 – 

 0.5 

 1.4 
 5.4 

 6.8 

 Accelerated tax
depreciation
S$ Mil

(244.4)
(11.8)

Total
S$ Mil

 1.9 
 5.4 

 7.3 

 Total
S$ Mil

(244.4)
(11.8)

(256.2)

(256.2)

Provisions
S$ Mil

Others
S$ Mil

 0.5 
 – 

 0.5 

 1.6 
 (0.2) 

1.4

 Accelerated tax
depreciation
S$ Mil

 (116.1)
 (66.3)
 (62.0)

Total
S$ Mil

2.1
 (0.2) 

1.9

 Total
S$ Mil

 (116.1)
 (66.3)
 (62.0)

 (244.4)

 (244.4)

F
I
N
A
N
C
A
L
S

I

Deferred tax assets and liabilities are offset when there is a legally enforceable right to set-off current tax assets 
against current tax liabilities, and when deferred income taxes relate to the same fiscal authority.

I

L
I
M
T
E
D

2
0
1
5

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

164

165

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

12.2  Deferred Taxes (Cont’d)

The amounts, determined after appropriate offsetting, are shown in the statements of financial position as follows –

Deferred tax assets
Deferred tax liabilities

Group

Company

2015
S$ Mil

 803.8 
 (521.7)

2014
S$ Mil

 828.5 
 (444.9)

2015
S$ Mil

 – 
 (248.9)

2014
S$ Mil

 – 
 (242.5)

 282.1 

 383.6 

 (248.9)

 (242.5)

Deferred tax assets are recognised to the extent that realisation of the related tax benefits through future taxable 
profits is probable.

As at 31 March 2015, the subsidiaries of the Group had estimated unutilised income tax losses of approximately 
S$221 million (2014: S$112 million), unutilised investment allowances of S$53 million (2014: S$56 million), unutilised 
capital  tax  losses  of  S$92  million  (2014:  S$103  million)  and  unabsorbed  capital  allowances  of  approximately  
S$5.4 million (2014: S$16 million). 

These unutilised income tax losses and investment allowances, and unabsorbed capital allowances are available 
for set-off against future taxable profits, subject to the agreement of the relevant tax authorities and compliance 
with certain provisions of the income tax regulations of the respective countries in which the subsidiaries operate. 
The unutilised capital tax losses are available for set-off against future capital gains of a similar nature subject to 
compliance with certain statutory tests in Australia.

As at the end of the reporting period, the potential tax benefits arising from the following items were not recognised 
in the financial statements due to uncertainty on their recoverability –

Unutilised income tax losses and investment allowances,  

and unabsorbed capital allowances

Unutilised capital tax losses

Group 

2015
S$ Mil

2014
S$ Mil

 279.1 

 183.9 

 92.2 

 102.7 

166

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

167

 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

13. 

EARNINGS PER SHARE

Weighted average number of ordinary shares in issue for  

calculation of basic earnings per share (1)

Group

2015
‘000

2014
‘000

 15,936,654 

 15,934,007 

Adjustment for dilutive effects of performance share plans

 40,354 

 35,766 

Weighted average number of ordinary shares for calculation of 

diluted earnings per share

 15,977,008 

 15,969,773 

Note:
(1)  Adjusted to exclude the number of performance shares held by the Trust.

‘Basic earnings per share’ is calculated by dividing the Group’s profit attributable to shareholders of the Company by 
the weighted average number of ordinary shares in issue during the financial year.

For ‘Diluted earnings per share’, the weighted average number of ordinary shares in issue included the number of 
additional shares outstanding if the potential dilutive ordinary shares arising from the performance shares granted 
by the Group were issued. Adjustment is made to earnings for the dilutive effect arising from the associates and joint 
ventures’ dilutive shares.

F
I
N
A
N
C
A
L
S

I

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

I

L
I
M
T
E
D

2
0
1
5

166

167

 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

14. 

RELATED PARTY TRANSACTIONS

In  addition  to  the  related  party  information  disclosed  elsewhere  in  the  financial  statements,  the  Group  had  the 
following significant transactions and balances with related parties – 

Income
Subsidiaries of ultimate holding company 
  Telecommunications
  Rental and maintenance

Associates and joint ventures
  Telecommunications
Interest on loan 

Expenses
Subsidiaries of ultimate holding company 
  Telecommunications
  Utilities

Associates and joint ventures
  Telecommunications
  Transmission capacity
  Postal
  Rental

Acquisition of shares in a joint venture

Due from subsidiaries of ultimate holding company

Due to subsidiaries of ultimate holding company

Group 

2015
S$ Mil

2014
S$ Mil

 100.7 
 29.5 

 157.3 
 35.3 

 61.4 
 109.4 

 193.4 
 18.7 
 8.7 
 4.0 

 112.1 
 29.6 

 215.5 
 31.8 

 65.7 
 111.3 

 100.6 
 25.9 
 9.1 
 3.1 

 – 

 383.6 

 18.3 

 15.8 

 17.2 

 8.1 

All the above transactions were on normal commercial terms and conditions and market rates.

Please refer to Note 5.2 for information on key management personnel compensation.

168

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

169

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

15. 

CASH AND CASH EQUIVALENTS

Fixed deposits
Cash and bank balances

Group

Company

2015
S$ Mil

 148.5 
 414.3 

2014
S$ Mil

 89.3 
 533.2 

2015
S$ Mil

 26.1 
 57.4 

2014
S$ Mil

 26.2 
 78.8 

 562.8 

 622.5 

 83.5 

 105.0 

The carrying amounts of the cash and cash equivalents approximate their fair values.

Cash and cash equivalents denominated in the non-functional currencies of the Group were as follows –

USD
EUR
HKD

The maturities of the fixed deposits were as follows –

Less than three months
Over three months

F
I
N
A
N
C
A
L
S

I

2015
S$ Mil

 133.0 
 6.6 
 5.6 

2015
S$ Mil

 131.1 
 17.4 

 148.5 

Group

Company

2014
S$ Mil

 62.2 
 9.2 
 3.1 

2015
S$ Mil

 29.6 
 1.5 
 0.1 

Group

Company

2014
S$ Mil

 88.6 
 0.7 

 89.3 

2015
S$ Mil

 26.1 
 – 

 26.1 

2014
S$ Mil

 27.3 
 5.8 
0.5 

2014
S$ Mil

 26.2 
 – 

 26.2 

As at 31 March 2015, the weighted average effective interest rate of the fixed deposits of the Group and Company 
were 0.9 per cent (2014: 1.6 per cent) per annum and 0.3 per cent (2014: 0.3 per cent) per annum respectively.

The exposure of cash and cash equivalents to interest rate risks is disclosed in Note 37.3.

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

I

L
I
M
T
E
D

2
0
1
5

168

169

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

16. 

TRADE AND OTHER RECEIVABLES

Trade receivables
Less:  Allowance for impairment of  
trade receivables

Group

Company

2015
S$ Mil

2014
S$ Mil

2015
S$ Mil

 2,972.7 

 2,634.9 

 490.2 

 (236.9)
 2,735.8 

 (274.7)
 2,360.2 

 (79.7)
 410.5 

2014
S$ Mil

 467.0 

 (82.8)
 384.2 

Other receivables

 458.6 

 399.7 

 14.7 

 19.1 

Loans to subsidiaries
Less:  Allowance for impairment of loans due

Amount due from subsidiaries
–   trade
–   non–trade
Less:  Allowance for impairment of amount due

Amount due from associates and joint ventures
–   trade
–   non–trade

Prepayments
Amount due from an associate  

for fibre rollout and maintenance

Interest receivable
Others

 – 
 – 
 – 

 – 
 – 
 – 
 – 

 – 
 – 
 – 

 – 
 – 
 – 
 – 

 13.8 
 158.8 
 172.6 

 9.3 
 149.3 
 158.6 

 393.3 

 375.4 

 26.7 
 86.1 
 12.1 

 171.4 
 82.0 
 8.5 

 126.7 
 (12.7)
 114.0 

 567.5 
 1,272.2 
 (45.4)
 1,794.3 

 0.2 
 – 
 0.2 

 36.7 

 26.7 
 45.3 
 – 

 121.8 
 (12.9)
 108.9 

 1,150.7 
 719.2 
 (45.4)
 1,824.5 

 2.4 
 2.1 
 4.5 

 33.5 

 171.4 
 39.7 
– 

 3,885.2 

 3,555.8 

 2,442.4 

 2,585.8 

As  at  31  March  2015,  the  effective  interest  rate  of  an  amount  due  from  a  subsidiary  of  S$1,080.5  million  (2014: 
S$584.7 million) was 0.01 per cent (2014: 0.01 per cent) per annum. The loans to subsidiaries and amounts due from 
other subsidiaries, associates and joint ventures were unsecured, interest-free and repayable on demand. 

Trade  receivables  are  non-interest  bearing  and  are  generally  on  14-day  to  30-day  terms,  while  balances  due  
from  carriers  are  on  60-day  terms,  and  certain  balances  in  respect  of  information  technology  services  are  on  
90-day terms. 

The maximum exposure to credit risk for trade receivables by type of customer was as follows –

Individuals
Corporations and others

170

Group

Company

2015
S$ Mil

 1,011.2 
 1,724.6 

2014
S$ Mil

 741.3 
 1,618.9 

2015
S$ Mil

 152.9 
 257.6 

2014
S$ Mil

 158.0 
 226.2 

 2,735.8 

 2,360.2 

 410.5 

 384.2 

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

171

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

16. 

TRADE AND OTHER RECEIVABLES (Cont’d)

The age analysis of trade receivables before allowance for impairment was as follows –

Not past due or less than 60 days overdue 
Past due 
–   61 to 120 days
–   more than 120 days 

Group

Company

2015
S$ Mil

2014
S$ Mil

2015
S$ Mil

2014
S$ Mil

 2,546.3 

 2,246.2 

 321.5 

 325.9 

 134.6 
 291.8 

 189.2 
 199.5 

 32.9 
 135.8 

 31.9 
 109.2 

 2,972.7 

 2,634.9 

 490.2 

 467.0 

Based on historical collections experience, the Group believes that no allowance for impairment is necessary in 
respect of certain trade receivables which are not past due as well as certain trade receivables which are past due 
but not impaired.

F
I
N
A
N
C
A
L
S

I

The movement in the allowance for impairment of trade receivables was as follows – 

Balance as at 1 April 
Acquisition of subsidiary
Allowance for impairment 
Utilisation of allowance for impairment
Write-back of allowance for impairment
Translation differences

Group

Company

2015
S$ Mil

 274.7 
 0.7 
 108.8 
 (115.2)
 (11.5)
 (20.6)

2014
S$ Mil

 318.3 
 – 
 150.7 
 (158.2)
 (13.3)
 (22.8)

2015
S$ Mil

 82.8 
 – 
 33.8 
 (29.6)
 (7.3)
 – 

2014
S$ Mil

 75.6 
 – 
 33.5 
 (26.3)
 – 
 – 

Balance as at 31 March

 236.9 

 274.7 

 79.7 

 82.8 

17. 

INVENTORIES 

Equipment held for resale
Maintenance and capital works’ inventories
Work-in-progress for fibre rollout  

and maintenance

Group

Company

2015
S$ Mil

 266.6 
 22.2 

2014
S$ Mil

 152.5 
 16.9 

 1.0 

 0.2 

2015
S$ Mil

 3.1 
 22.7 

 1.0 

 289.8 

 169.6 

 26.8 

2014
S$ Mil

 2.5 
 16.8 

 0.2 

 19.5 

I

L
I
M
T
E
D

2
0
1
5

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

170

171

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

18. 

PROPERTY, PLANT AND EQUIPMENT

Freehold
land
S$ Mil

Leasehold
land
S$ Mil

Buildings
S$ Mil

 Transmission
plant and
equipment
S$ Mil

 Switching
equipment
S$ Mil

 Other
plant and
equipment
S$ Mil

 Capital
work-in-
progress
S$ Mil

 Total
S$ Mil

Group – 2015

Cost

Balance as at 1 April 2014

 24.5 

 249.2 

 795.2 

 18,381.0 

 3,019.3 

 5,983.4 

 1,081.9  29,534.5 

Additions (net of rebates)

Disposals/ Write-offs

Acquisition of subsidiaries

Reclassifications/ 
Adjustments

 – 

 – 

 – 

 – 

 – 

 – 

 – 

 1.2 

 (0.1)

 – 

 180.8 

 45.0 

 197.4 

 1,975.2 

 2,399.6 

 (166.9)

 (121.7)

 (110.9)

 – 

 – 

 2.8 

 – 

 – 

 (399.6)

 2.8 

 15.7 

 8.9 

 1,318.0 

 98.1 

 210.3 

 (1,771.6)

 (120.6)

Translation differences

 (2.5)

 1.2 

 (30.5)

 (1,488.1)

 (120.9)

 (393.2)

 (86.2)  (2,120.2)

Balance as at  

31 March 2015

Accumulated depreciation

Balance as at 1 April 2014

Depreciation charge  

for the year

Disposals/ Write-offs

Reclassifications/ 
Adjustments

Translation differences

Balance as at  

31 March 2015

 22.0 

 266.1 

 774.7 

 18,224.8 

 2,919.8 

 5,889.8 

 1,199.3   29,296.5 

 – 

 – 

 – 

 – 

 – 

 64.4 

 283.1 

 11,726.3 

 2,183.3 

 4,148.9 

 –   18,406.0 

 4.5 

 – 

 – 

 1.0 

 18.5 

 (0.1)

 1,170.5 

 179.5 

 591.8 

 (150.9)

 (120.2)

 (102.7)

 – 

 – 

 1,964.8 

 (373.9)

 – 

 – 

 – 

 (91.5)

 (0.1)

 (966.1)

 (74.0)

 (292.9)

 – 

 (91.5)

 – 

 (1,332.1)

 – 

 69.9 

 301.4 

 11,779.8 

 2,168.6 

 4,253.6 

 –   18,573.3 

Accumulated impairment

Balance as at 1 April 2014

Impairment charge  

for the year 

Disposals

Translation differences

 – 

 – 

 – 

 – 

 2.0 

 7.3 

 7.7 

 5.2 

 10.0 

 – 

 – 

 – 

 – 

 – 

 – 

 – 

 (0.1)

 – 

 – 

 – 

 – 

 9.7 

 (1.2)

 (0.6)

 – 

 – 

 – 

 – 

 32.2 

 9.7 

 (1.3)

 (0.6)

Balance as at  

31 March 2015

Net Book Value as at  
31 March 2015

 – 

 2.0 

 7.3 

 7.6 

 5.2 

 17.9 

 – 

 40.0 

 22.0 

 194.2 

 466.0 

 6,437.4 

 746.0 

 1,618.3 

 1,199.3   10,683.2 

172

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

173

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

18. 

PROPERTY, PLANT AND EQUIPMENT (Cont’d)

Freehold
land
S$ Mil

Leasehold
land
S$ Mil

Buildings
S$ Mil

 Transmission
plant and
equipment
S$ Mil

 Switching
equipment
S$ Mil

 Other
plant and
equipment
S$ Mil

 Capital
work-in-
progress
S$ Mil

 Total
S$ Mil

Group – 2014

Cost

Balance as at 1 April 2013

 27.3 

 248.8 

 798.5 

 18,606.0 

 2,970.8 

 5,937.6 

 1,172.9   29,761.9 

Additions (net of rebates)

Disposals/ Write-offs

Disposal of subsidiary

Reclassifications/ 
Adjustments

 – 

 – 

 – 

 – 

Translation differences

 (2.8)

 0.2 

 1.8 

 – 

 – 

 – 

 – 

 – 

 0.2 

 25.3 

 (30.4)

 205.5 

 (220.3)

 81.7 

 139.0 

 1,783.3 

 2,211.5 

 (41.1)

 (106.0)

 (1.3)

 (368.7)

 – 

 – 

 (1.3)

 – 

 (1.3)

 1,223.2 

 135.7 

 408.9 

 (1,807.0)

 (13.9)

 (1,433.4)

 (127.8)

 (394.8)

 (66.0)

 (2,055.0)

Balance as at  

31 March 2014

Accumulated depreciation

Balance as at 1 April 2013

Depreciation charge  

for the year

Disposals/ Write-offs

Disposal of subsidiary

Reclassifications/ 
Adjustments

Translation differences

Balance as at  

31 March 2014

 24.5 

 249.2 

 795.2 

 18,381.0 

 3,019.3 

 5,983.4 

 1,081.9   29,534.5 

 – 

 – 

 – 

 – 

 – 

 – 

 60.1 

 263.2 

 11,648.0 

 2,121.7 

 3,916.7 

 –   18,009.7 

 4.1 

 19.0 

 1,162.4 

 176.6 

 602.3 

 – 

 – 

 – 

 0.2 

 – 

 – 

 – 

 0.9 

 (195.8)

 (40.6)

 – 

 – 

 (98.5)

 (0.8)

 1.3 

 0.1 

 (11.4)

 (889.6)

 (74.5)

 (259.4)

 – 

 – 

 – 

 – 

 – 

 1,964.4 

 (334.9)

 (0.8)

 (10.0)

 (1,222.4)

 – 

 64.4 

 283.1 

 11,726.3 

 2,183.3 

 4,148.9 

 –   18,406.0 

Accumulated impairment

Balance as at 1 April 2013

Impairment charge  

for the year 

Disposals

Balance as at  

31 March 2014

 – 

 – 

 – 

 – 

 2.0 

 7.3 

 8.4 

 5.2 

 4.4 

 – 

 – 

 – 

 – 

 – 

 (0.7)

 – 

 – 

 7.0 

 (1.4)

 2.0 

 7.3 

 7.7 

 5.2 

 10.0 

 – 

 – 

 – 

 – 

 27.3 

 7.0 

 (2.1)

 32.2 

Net Book Value as at  
31 March 2014

 24.5 

 182.8 

 504.8 

 6,647.0 

 830.8 

 1,824.5 

 1,081.9   11,096.3 

I

L
I
M
T
E
D

2
0
1
5

F
I
N
A
N
C
A
L
S

I

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

172

173

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

18. 

PROPERTY, PLANT AND EQUIPMENT (Cont’d)

Freehold
land
S$ Mil

Leasehold
land
S$ Mil

Buildings
S$ Mil

 Transmission
plant and
equipment
S$ Mil

 Switching
equipment
S$ Mil

 Other
plant and
equipment
S$ Mil

 Capital
work-in-
progress
S$ Mil

 Total
S$ Mil

Company – 2015

Cost

Balance as at 1 April 2014

 0.4 

 212.5 

 431.6 

 3,113.3 

 1,063.2 

 1,408.8 

 217.5 

 6,447.3 

Additions  

(net of rebates)

Disposals/ Write-offs

Reclassifications 

Balance as at  

31 March 2015

 – 

 – 

 – 

 – 

 – 

 15.7 

 – 

 (0.1)

 – 

 64.1 

 13.1 

 57.6 

 238.9 

 373.7 

 (81.4)

 (101.3)

 (40.5)

 – 

 (223.3)

 47.5 

 23.1 

 60.1 

 (146.4)

 – 

 0.4 

 228.2 

 431.5 

 3,143.5 

 998.1 

 1,486.0 

 310.0 

 6,597.7 

Accumulated depreciation

Balance as at 1 April 2014

Depreciation charge  

for the year

Disposals/ Write-offs

 – 

 – 

 – 

 48.5 

 245.6 

 2,185.5 

 943.8 

 968.2 

 – 

 4,391.6 

 2.6 

 – 

 11.3 

 (0.1)

 161.2 

 52.7 

 121.2 

 (69.1)

 (101.2)

 (37.0)

 – 

 – 

 349.0 

 (207.4)

Balance as at  

31 March 2015

Accumulated impairment

Balance as at 1 April 2014

Additions 

Disposals/ Write-offs

Balance as at  

31 March 2015

Net Book Value as at  
31 March 2015

 – 

 51.1 

 256.8 

 2,277.6 

 895.3 

 1,052.4 

 – 

 4,533.2 

 – 

 – 

 – 

 2.0 

 7.2 

 – 

 – 

 – 

 – 

 6.2 

 – 

 (0.1)

 1.2 

 – 

 – 

 1.6 

 0.4 

 (1.2)

 – 

 – 

 – 

 18.2 

 0.4 

 (1.3)

 – 

 2.0 

 7.2 

 6.1 

 1.2 

 0.8 

 – 

 17.3 

 0.4 

 175.1 

 167.5 

 859.8 

 101.6 

 432.8 

 310.0 

 2,047.2 

174

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

175

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

18. 

PROPERTY, PLANT AND EQUIPMENT (Cont’d)

Company – 2014

Cost
Balance as at 1 April 2013
Additions (net of rebates)
Disposals/ Write-offs
Reclassifications 

Balance as at  

31 March 2014

Freehold
land
S$ Mil

Leasehold
land
S$ Mil

Buildings
S$ Mil

 Transmission
plant and
equipment
S$ Mil

 Switching
equipment
S$ Mil

 Other
plant and
equipment
S$ Mil

 Capital
work-in-
progress
S$ Mil

 Total
S$ Mil

 0.4 
 – 
 – 
 – 

 212.5 
 – 
 – 
 – 

 431.6 
 – 
 – 
 – 

 3,004.4 
 86.9 
 (130.1)
 152.1 

 1,036.3 
 28.4 
 (37.0)
 35.5 

 1,263.0 
 76.4 
 (34.4)
 103.8 

 347.7 
 161.2 
 – 
 (291.4)

 6,295.9 
 352.9 
 (201.5)
 – 

 0.4 

 212.5 

 431.6 

 3,113.3 

 1,063.2 

 1,408.8 

 217.5 

 6,447.3 

Accumulated depreciation
Balance as at 1 April 2013
Depreciation charge  

for the year

Disposals/ Write-offs

 – 

 – 
 – 

 46.3 

 233.9 

 2,136.4 

 927.0 

 891.0 

 – 

 4,234.6 

 2.2 
 – 

 11.7 
 – 

 159.3 
 (110.2)

 53.4 
 (36.6)

 110.3 
 (33.1)

 – 
 – 

 336.9 
 (179.9)

F
I
N
A
N
C
A
L
S

I

Balance as at  

31 March 2014

Accumulated impairment
Balance as at 1 April 2013
Additions 
Disposals/ Write-offs

Balance as at  

31 March 2014

Net Book Value as at  
31 March 2014

 – 

 48.5 

 245.6 

 2,185.5 

 943.8 

 968.2 

 – 

 4,391.6 

 – 
 – 
 – 

 2.0 
 – 
 – 

 7.2 
 – 
 – 

 6.9 
 – 
 (0.7)

 1.2 
 – 
 – 

 0.4 
 1.2 
 – 

 – 
 – 
 – 

 17.7 
 1.2 
 (0.7)

 – 

 2.0 

 7.2 

 6.2 

 1.2 

 1.6 

 – 

 18.2 

 0.4 

 162.0 

 178.8 

 921.6 

 118.2 

 439.0 

 217.5 

 2,037.5 

Property, plant and equipment included the following –

Net book value of property, plant and equipment

Group

Company

2015
S$ Mil

2014
S$ Mil

2015
S$ Mil

2014
S$ Mil

Assets acquired under finance leases

Interest charges capitalised during the year

 78.5 

 4.0 

 90.5 

 18.1 

 44.2 

 51.0 

 – 

 – 

Staff costs capitalised during the year

 215.6 

 196.2 

 21.1 

 15.1 

I

L
I
M
T
E
D

2
0
1
5

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

174

175

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

19. 

INTANGIBLE ASSETS

Goodwill on acquisition of subsidiaries
Telecommunications and spectrum licences
Technology and brand
Customer relationships and others

19.1  Goodwill on Acquisition of Subsidiaries

Balance as at 1 April 
Acquisition of subsidiaries 
Translation differences

Balance as at 31 March

Group

Company

2015
S$ Mil

 10,123.0 
 1,488.2 
 296.9 
 40.5 

2014
S$ Mil

 9,703.6 
 832.3 
 160.4 
 43.4 

 11,948.6 

 10,739.7 

2015
S$ Mil

 – 
 0.7 
 – 
 – 

 0.7 

2014
S$ Mil

 – 
 1.0 
 – 
 – 

 1.0 

2015
S$ Mil

 9,703.6 
 367.3 
 52.1 

Group

2014
S$ Mil

 9,699.2 
 9.5 
 (5.1)

 10,123.0 

 9,703.6 

19.2  Telecommunications and Spectrum Licences

Group

Company

Balance as at 1 April 
Additions
Amortisation for the year
Disposals/ Write-offs
Impairment charge for the year
Translation differences

2015
S$ Mil

 832.3 
 933.2 
 (148.2)
 (3.1)
 – 
 (126.0)

2014
S$ Mil

 824.5 
 227.3 
 (136.4)
 (3.7)
 (3.9)
 (75.5)

Balance as at 31 March

 1,488.2 

 832.3 

Cost
Accumulated amortisation
Accumulated impairment

 2,399.6 
 (905.2)
 (6.2)

 1,678.2 
 (839.7)
 (6.2)

Net book value as at 31 March

 1,488.2 

 832.3 

2015
S$ Mil

 1.0 
 – 
 (0.3)
 – 
 – 
 – 

 0.7 

 8.4 
 (7.7)
 – 

 0.7 

2014
S$ Mil

 1.3 
 – 
 (0.3)
 – 
 – 
 – 

 1.0 

 8.4 
 (7.4)
 – 

 1.0 

176

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

177

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

19.3  Technology and Brand

Balance as at 1 April 
Acquisition of subsidiaries
Additions 
Amortisation for the year
Impairment charge for the year 
Translation differences

Balance as at 31 March

Cost
Accumulated amortisation
Accumulated impairment 

Net book value as at 31 March

19.4  Customer Relationships and Others

Balance as at 1 April
Acquisition of subsidiaries 
Additions
Amortisation for the year
Disposals
Translation differences

Balance as at 31 March

Cost
Accumulated amortisation

2015
S$ Mil

 160.4 
 149.1 
 4.9 
 (43.1)
 (3.2)
 28.8 

Group

2014
S$ Mil

 182.6 
 – 
 4.3 
 (28.5)
 – 
 2.0 

 296.9 

 160.4 

 394.6 
 (94.5)
 (3.2)

 212.2 
 (51.8)
 – 

 296.9 

 160.4 

Group

2015
S$ Mil

 43.4 
 8.1 
 1.6 
 (8.4)
 – 
 (4.2)

 40.5 

 100.0 
 (59.5)

2014
S$ Mil

 3.1 
 – 
 47.2 
 (6.5)
 (0.1)
 (0.3)

 43.4 

 97.6 
 (54.2)

Net book value as at 31 March

 40.5 

 43.4 

I

L
I
M
T
E
D

2
0
1
5

F
I
N
A
N
C
A
L
S

I

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

176

177

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

20. 

SUBSIDIARIES

Unquoted equity shares, at cost
Shareholders’ advances 
Deemed investment in a subsidiary 

Less: Allowance for impairment losses

Group

2015
S$ Mil

2014
S$ Mil

7,109.6 
6,423.3 
32.5 
13,565.4 
(50.4)

 7,070.3 
 6,423.3 
 32.5 
 13,526.1 
 (41.6)

 13,515.0 

 13,484.5 

The  advances  given  to  subsidiaries  were  interest-free  except  for  an  amount  of  S$678.3  million  (2014:  
S$678.3  million)  where  the  effective  interest  rate  at  the  end  of  the  reporting  period  was  0.8  per  cent  (2014:  
0.6 per cent) per annum. The advances were unsecured with settlement neither planned nor likely to occur in the 
foreseeable future. 

The deemed investment in a subsidiary, Singtel Group Treasury Pte. Ltd. (“SGT”), arose from financial guarantees 
provided by the Company for loans drawn down by SGT prior to 1 April 2010. 

The significant subsidiaries of the Group are set out in Note 45.1 to Note 45.3.

21. 

ASSOCIATES

Quoted equity shares, at cost
Unquoted equity shares, at cost
Shareholder’s loan (unsecured)

Goodwill on consolidation adjusted against 

shareholders’ equity

Share of post-acquisition reserves (net of dividends, 

and accumulated amortisation of goodwill)

Translation differences

Less: Allowance for impairment losses

2015
S$ Mil

 74.3 
 143.2 
 1.7 
 219.2 

 (28.3)

 130.2 
 (14.2)
 87.7 

 (31.7)

Group

Company

2014
S$ Mil

 74.3 
 143.2 
 1.7 
 219.2 

 (28.3)

 45.2 
 (26.1)
 (9.2)

 (31.7)

2015
S$ Mil

 24.7 
 578.8 
 – 
 603.5 

 – 

 – 
 – 
 – 

 – 

2014
S$ Mil

 24.7 
 578.8 
 – 
 603.5 

 – 

 – 
 – 
 – 

 – 

 275.2 

 178.3 

 603.5 

 603.5 

As at 31 March 2015,

(i) 

(ii) 

The  market  values  of  the  quoted  equity  shares  in  associates  held  by  the  Group  and  Company  were  
S$1.02 billion (2014: S$722.7 million) and S$968.2 million (2014: S$671.8 million) respectively.

The  Group’s  proportionate  interest  in  the  capital  commitments  of  the  associates  was  S$76.8  million  
(2014: S$60.6 million).

178

The details of associates are set out in Note 45.4.

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

179

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

21. 

ASSOCIATES (Cont’d)

The Group does not have any individually significant associates. The aggregate summarised financial information of 
associates which are not individually significant are as follows –

Share of profit after tax
Share of other comprehensive income 

Share of total comprehensive income 

22. 

JOINT VENTURES

Group

2015
S$ Mil

 39.1 
 0.4 

 39.5 

Group

Company

Quoted equity shares, at cost
Unquoted equity shares, at cost

2015
S$ Mil

 2,798.4 
 4,179.3 
 6,977.7 

2014
S$ Mil

 2,798.4 
 4,185.3 
 6,983.7 

Goodwill on consolidation adjusted against 

shareholders’ equity

 (1,225.9)

 (1,225.9)

Share of post-acquisition reserves (net of dividends, 
and accumulated amortisation of goodwill)

Translation differences

 7,887.4 
 (3,038.2)
 3,623.3 

 7,509.3 
 (3,287.2)
 2,996.2 

Less: Allowance for impairment losses

 (30.0)

 (30.0)

2015
S$ Mil

 – 
 22.1 
 22.1 

 – 

 – 
 – 
 – 

 – 

F
I
N
A
N
C
A
L
S

I

2014
S$ Mil

 11.4 
 0.1 

 11.5 

2014
S$ Mil

 – 
 24.1 
 24.1 

 – 

 – 
 – 
 – 

 – 

 10,571.0 

 9,949.9 

 22.1 

 24.1 

As at 31 March 2015, 

(i) 

(ii) 

(iii) 

The  market  value  of  the  quoted  equity  shares  in  joint  ventures  held  by  the  Group  was  S$22.04  billion  
(2014: S$17.56 billion).

The  Group’s  proportionate  interest  in  the  capital  commitments  of  joint  ventures  was  S$3.48  billion  
(2014: S$2.55 billion).

The Group’s shares representing 24.8% (2014: 24.8%) equity interest in a joint venture are placed in an escrow 
account under a deed of undertaking whereby under certain events of default,  the  joint  venture partner 
could be entitled to these shares. 

The details of joint ventures are set out in Note 45.5.

Optus  holds  a  31.25%  (2014:  31.25%)  interest  in  an  unincorporated  joint  operation  to  maintain  an  optical  fibre 
submarine cable between Western Australia and Indonesia. 

In addition, Optus has an interest in an unincorporated joint operation to share certain 3G network sites and radio 
infrastructure across Australia whereby it holds an interest of 50% (2014: 50%) in the assets, with access to the shared 
network and shares 50% (2014: 50%) of the cost of building and operating the network.

I

L
I
M
T
E
D

2
0
1
5

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

178

179

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

22. 

JOINT VENTURES (Cont’d)

The  Group’s  property,  plant  and  equipment  included  the  Group’s  interest  in  the  property,  plant  and  equipment 
employed in the unincorporated joint operations of S$644.4 million (2014: S$541.2 million).

The  carrying  amounts  of  the  Group’s  significant  joint  ventures  namely  Bharti  Airtel  Limited  (“Airtel”),  PT 
Telekomunikasi Selular (“Telkomsel”), Globe Telecom, Inc. (“Globe”) and Advanced Info Service Public Company 
Limited (“AIS”), are as follows –

Airtel 

Telkomsel 

Globe 

AIS

Other joint ventures 

Group

2015
S$ Mil

2014
S$ Mil

5,323.3 

4,889.6 

3,410.1 

3,433.8 

1,049.8 

900.0 

686.3 

624.2 

101.5 

102.3 

10,571.0 

9,949.9 

180

S

I

N

G

A

P

O

R

E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

181

 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

22. 

JOINT VENTURES (Cont’d)

The  summarised  financial  information  of  the  significant  joint  ventures  based  on  their  financial  statements 
and  a  reconciliation  with  the  carrying  amounts  of  the  investments  in  the  consolidated  financial  statements  are  
as follows –

Group - 2015

Statement of comprehensive income 
Revenue 
Depreciation and amortisation 
Interest income
Interest expense 
Income tax expense 

Profit after tax 
Other comprehensive (loss)/ income
Total comprehensive income

Statement of financial position 
Current assets
Non-current assets
Current liabilities
Non-current liabilities
Net assets 
Less: Non-controlling interests 

Airtel
S$ Mil

Telkomsel
S$ Mil

Globe 
S$ Mil

AIS
S$ Mil

 19,397.7 
 (3,272.9)
 523.8 
 (1,552.3)
 (1,136.4)

 1,091.9 
 (837.9)
 254.0 

 5,884.3 
 37,157.4 
 (13,947.7)
 (14,406.3)
 14,687.7 
 (1,066.8)

 7,251.2 
 (1,246.9)
 73.8 
 (66.8)
 (690.6)

 2,115.9 
 (9.4)
 2,106.5 

 2,771.7 
 5,945.8 
 (2,121.3)
 (863.3)
 5,732.9 
 – 

 3,111.4 
 (560.6)
 20.8 
 (78.0)
 (189.1)

 425.6 
 (8.3)
 417.3 

 1,435.1 
 4,080.1 
 (1,803.0)
 (1,989.2)
 1,723.0 
 (0.2)

 6,090.3 
 (799.0)
 15.6 
 (68.6)
 (398.6)

 1,449.3 
 0.1 
 1,449.4 

 2,044.6 
 3,820.4 
 (2,698.0)
 (1,516.8)
 1,650.2 
 (4.8)

F
I
N
A
N
C
A
L
S

I

Net assets attributable to equity holders

 13,620.9 

 5,732.9 

 1,722.8 

 1,645.4 

Proportion of the Group’s ownership 
Group’s share of net assets 
Goodwill capitalised
Other adjustments 

32.4%
 4,413.2 
 866.7 
 43.4 

35.0%
 2,006.5 
 1,403.6 
 – 

47.2%
 813.2 
 391.0 
 (154.4)

23.3%
 383.7 
 305.0 
 (2.4)

Carrying amount of the investment 

 5,323.3 

 3,410.1 

 1,049.8 

 686.3 

Other items
Cash and cash equivalents 
Non-current financial liabilities excluding trade  

and other payables and provisions 
Current financial liabilities excluding trade  

and other payables and provisions

 257.6 

 1,402.1 

 513.3 

 989.5 

 (13,490.0)

 (653.8)

 (1,815.9)

 (1,423.9)

 (4,661.1)

 (254.2)

 (172.2)

 (136.1)

Group’s share of market value

11,214.8

 NA 

 3,882.2 

 6,942.4 

Dividends received during the year

 42.5 

 665.7 

 105.6 

 313.7 

I

L
I
M
T
E
D

2
0
1
5

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
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E
P
O
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180

181

 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

22. 

JOINT VENTURES (Cont’d)

Group – 2014

Statement of comprehensive income 
Revenue 
Depreciation and amortisation 
Interest income
Interest expense 
Income tax expense 

Profit after tax 
Other comprehensive income/ (loss)
Total comprehensive income 

Statement of financial position 
Current assets
Non-current assets
Current liabilities
Non-current liabilities
Net assets 
Less: Non-controlling interests 

Airtel
S$ Mil

Telkomsel
S$ Mil

Globe 
S$ Mil

AIS
S$ Mil

 17,910.9 
 (3,271.2)
 221.3 
 (1,239.5)
 (1,005.8)

 578.6 
 322.1 
 900.7 

 4,707.3 
 33,811.2 
 (11,945.0)
 (13,122.7)
 13,450.8 
 (885.3)

 7,076.7 
 (1,253.5)
 65.7 
 (85.1)
 (663.9)

2,013.6
46.3
 2,059.9 

 2,332.7 
 6,085.2 
 (1,669.5)
 (947.9)
 5,800.5 
 – 

 2,813.9 
 (700.0)
 19.5 
 (82.7)
 (88.5)

 210.4 
 (6.4)
 204.0 

 979.1 
 3,518.0 
 (1,526.2)
 (1,856.2)
 1,114.7 
 – 

 5,908.2 
 (678.8)
 17.5 
 (38.4)
 (397.8)

 1,436.5 
 0.3 
 1,436.8 

 1,386.3 
 3,116.7 
 (2,215.7)
 (799.8)
 1,487.5 
 (5.3)

Net assets attributable to equity holders

 12,565.5 

 5,800.5 

 1,114.7 

 1,482.2 

Proportion of the Group’s ownership 
Group’s share of net assets 
Goodwill capitalised
Other adjustments 

32.4%
 4,068.7 
 830.9 
 (10.0)

35.0%
 2,030.2 
 1,403.6 
 – 

47.2%
 526.4 
 383.4 
 (9.8)

23.3%
 345.7 
 280.8 
 (2.3)

Carrying amount of the investment 

 4,889.6 

 3,433.8 

 900.0 

 624.2 

Other items
Cash and cash equivalents 
Non-current financial liabilities excluding trade  

and other payables and provisions 
Current financial liabilities excluding trade  

and other payables and provisions

 1,047.4 

 1,415.6 

 182.8 

 513.1 

 (12,165.7)

 (625.3)

 (1,729.0)

 (107.7)

 (4,418.7)

 (126.2)

 (176.6)

 (592.0)

Group’s share of market value

8,510.7

 NA 

 2,953.2 

6,097.2

Dividends received during the year

 11.7 

 589.4 

 127.4 

 325.4 

‘NA’ denotes Not Applicable

182

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183

 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

22. 

JOINT VENTURES (Cont’d)

The aggregate information of the Group’s investments in joint ventures which are not individually significant are  
as follows –

Share of profit after tax 
Share of other comprehensive income/ (loss)

Share of total comprehensive income 

Group

2015
S$ Mil

 10.1 
 0.1 

 10.2 

2014
S$ Mil

 11.9 
 (0.2)

 11.7 

Aggregate carrying value 

101.5

102.3

23. 

IMPAIRMENT REVIEWS

Goodwill arising on acquisition of subsidiaries 

F
I
N
A
N
C
A
L
S

I

The carrying values of the Group’s goodwill on acquisition of subsidiaries as at 31 March 2015 were assessed for 
impairment during the financial year. 

Goodwill is allocated for impairment testing purposes to the individual entity which is also the cash generating  
unit (“CGU”). 

The Group is structured into three business segments, Group Consumer, Group Enterprise and Group Digital Life. 
Based on the relative fair value approach, the goodwill of Optus was fully allocated to Consumer Australia included 
in the Group Consumer segment for the purpose of goodwill impairment test.

Group

Carrying value of goodwill in –

Terminal  
growth rate (1)

Pre-tax 
discount rate

2015
S$ Mil

2014
S$ Mil

2015

2014

2015

2014

-   Optus Group 

9,284.8 

9,298.8

3.0%

3.0%

10.4%

11.6%

-   Amobee, Inc. 

727.6 

322.7

4.8%

3.5%

15.8%

16.1%

-   SCS Computer Systems Pte. Ltd.

82.2 

82.2

2.0%

2.0%

8.0%

8.1%

Note:
(1)  Weighted average growth rate used to extrapolate cash flows beyond the terminal year.

The recoverable values of cash generating units including goodwill are determined based on value-in-use calculations.

The value-in-use calculations apply a discounted cash flow model using cash flow projections based on financial 
budgets and forecasts approved by management. The Group has used cash flow projections of five years except for 
Amobee which was based on cash flow projections of ten years, given that it is at the start-up phase of the business. 
Cash flows beyond the terminal year are extrapolated using the estimated growth rates stated in the table above. 
Key assumptions used in the calculation of value-in-use are growth rates, operating margins, capital expenditure 
and discount rates.

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182

183

 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

23. 

IMPAIRMENT REVIEWS (Cont’d)

The terminal growth rates used do not exceed the long term average growth rates of the respective industry and 
country in which the entity operates and are consistent with forecasts included in industry reports. 

The discount rates applied to the cash flow projections are based on Weighted Average Cost of Capital (WACC) 
where the cost of a company’s debt and equity capital are weighted to reflect its capital structure. 

As at 31 March 2015, no impairment charge was required for goodwill arising from acquisition of subsidiaries, with 
any reasonably possible change to the key assumptions applied not likely to cause the recoverable values to be 
below their carrying values.

24. 

AVAILABLE-FOR-SALE (“AFS”) INVESTMENTS

Balance as at 1 April 
Additions 
Disposals/ Write-offs
Provision for impairment
Write-off against provision for impairment
Net fair value gains/ (losses) included in  

‘Other Comprehensive Income’

Translation differences

Group

Company

2015
S$ Mil

 291.3 
 34.2 
 (87.2)
 (25.3)
 32.4 

 21.8 
 1.1 

2014
S$ Mil

 240.4 
 55.0 
 (9.2)
 (22.4)
 – 

 26.3 
 1.2 

2015
S$ Mil

 54.9 
 – 
 – 
 – 
 – 

 (11.3)
 – 

2014
S$ Mil

 66.4 
 – 
 – 
 – 
 – 

 (11.5)
 – 

Balance as at 31 March

 268.3 

 291.3 

 43.6 

 54.9 

AFS investments included the following –

Quoted equity securities

-   Thailand
-   United States
-   Singapore

Unquoted
  Equity securities 
  Others

Group

Company

2015
S$ Mil

 24.5 
 67.2 
 9.1 
 100.8 

 153.1 
 14.4 
 167.5 

2014
S$ Mil

 34.6 
 19.2 
 9.1 
 62.9 

 181.7 
 46.7 
 228.4 

2015
S$ Mil

 24.5 
 0.5 
 9.1 
 34.1 

 9.5 
 – 
 9.5 

 268.3 

 291.3 

 43.6 

2014
S$ Mil

 34.6 
 0.7 
 9.1 
 44.4 

 10.5 
 – 
 10.5 

 54.9 

184

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I

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S

A

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U

A

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2

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1

5

185

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

25. 

DERIVATIVE FINANCIAL INSTRUMENTS

Balance as at 1 April
Fair value gains/ (losses)

- 
- 

included in income statement 
included in ‘Hedging Reserve’

Translation differences

Group

Company

2015
S$ Mil

2014
S$ Mil

2015
S$ Mil

2014
S$ Mil

 (122.9)

 (470.5)

 (198.9)

 (161.7)

 486.6 
 138.7 
 (12.7)

 196.8 
 120.0 
 30.8 

 126.0 
 117.1 
 – 

 (62.8)
 25.6 
 – 

Balance as at 31 March

 489.7 

 (122.9)

 44.2 

 (198.9)

Disclosed as -
  Current asset
  Non-current asset
  Current liability
  Non-current liability

25.1  Fair Values

 29.8 
 742.1 
 (16.8)
 (265.4)

 3.4 
 298.0 
 (11.5)
 (412.8)

 29.9 
 463.5 
 (1.9)
 (447.3)

 2.5 
 160.5 
 (2.3)
 (359.6)

F
I
N
A
N
C
A
L
S

I

 489.7 

 (122.9)

 44.2 

 (198.9)

The fair values of the currency and interest rate swap contracts exclude accrued interest of S$20.0 million (2014: 
S$17.8 million). The accrued interest is separately disclosed in Note 16 and Note 28.

The fair values of the derivative financial instruments were as follows –

2015

Fair value and cash flow hedges
  Cross currency swaps
Interest rate swaps
Forward foreign exchange contracts

Derivatives that do not qualify  

for hedge accounting
  Cross currency swaps
Interest rate swaps
Forward foreign exchange contracts

Disclosed as -
  Current
  Non-current

Group

Fair values 

Company

Fair values

Assets
S$ Mil

Liabilities
S$ Mil

Assets
S$ Mil

Liabilities
S$ Mil

662.4
52.8
51.7

–
4.7 
0.3

65.5 
188.4 
15.2 

– 
13.0 
0.1 

33.2 
–
32.4 

362.5 
65.0 
0.3 

12.8 
8.1 
0.2 

362.5 
65.4 
0.2 

771.9

282.2 

493.4 

449.2 

29.8
742.1

16.8 
265.4 

29.9 
463.5 

1.9 
447.3 

771.9

282.2 

493.4 

449.2

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0
1
5

S
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184

185

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

25.1  Fair Values (Cont’d)

2014

Fair value and cash flow hedges
  Cross currency swaps
Interest rate swaps
Forward foreign exchange contracts

Derivatives that do not qualify  

for hedge accounting
  Cross currency swaps
Interest rate swaps
Forward foreign exchange contracts

Disclosed as -
  Current
  Non-current

Group

Fair values 

Company

Fair values

Assets
S$ Mil

Liabilities
S$ Mil

Assets
S$ Mil

Liabilities
S$ Mil

260.7 
36.4 
4.3 

–
–
–

276.4 
129.8 
10.3 

– 
7.7 
0.1 

301.4 

424.3 

3.4 
298.0 

301.4 

11.5 
412.8 

424.3 

– 
– 
1.3 

112.1 
47.9 
1.7 

163.0 

2.5 
160.5 

163.0 

191.2 
5.1 
0.1 

112.1 
51.6 
1.8 

361.9 

2.3 
359.6 

361.9 

The cash flow hedges are designated for foreign currency commitments and repayments of principal and interest 
of foreign currency denominated bonds. 

The forecast transactions for the foreign currency commitments are expected to occur in the financial year ending 
31 March 2016, while the forecast transactions for the repayment of principal and interest of the foreign currency 
denominated bonds will occur according to the timing disclosed in Note 30.

As at 31 March 2015, the details of the outstanding derivative financial instruments were as follows –

Interest rate swaps
  Notional principal (S$ million equivalent)

Fixed interest rates
Floating interest rates

Cross currency swaps
  Notional principal (S$ million equivalent)

Fixed interest rates
Floating interest rates

Forward foreign exchange
  Notional principal (S$ million equivalent)

Group

Company

2015

2014

2015

2014

3,608.5
1.2% to 6.2%
1.3% to 2.7%

4,013.9 
0.5% to 6.2%
1.2% to 2.7%

4,454.3 
1.2% to 4.5%
0.3% to 1.3%

4,485.2 
0.5% to 4.5%
0.3% to 1.3%

5,259.9 
1.8% to 7.5%
0.7% to 4.1%

5,182.9 
1.8% to 7.5%
0.7% to 4.3%

6,326.0 
0.9% to 5.2%
0.7% to 2.5%

5,830.7 
0.9% to 5.2%
0.7% to 2.3%

1,623.8 

1,465.6 

 559.8 

550.4 

The interest rate swaps entered into by the Group are re-priced at intervals ranging from monthly to six-monthly 
periods. The interest rate swaps entered by the Company are re-priced every six months.

186

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187

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

26. 

LOAN TO AN ASSOCIATE/ NET DEFERRED GAIN 

Loan to an associate

 1,610.5 

 1,330.5 

1,610.5 

 1,330.5 

Group

Company

2015
S$ Mil

2014
S$ Mil

2015
S$ Mil

2014
S$ Mil

Net deferred gain
Classified as -
  Current
  Non-current

 67.9 
 1,369.8 

 57.5 
 1,155.7 

 1,437.7 

 1,213.2 

– 
– 

– 

 – 
 – 

 – 

In July 2011, Singtel established a business trust, NetLink Trust, as part of the IDA’s effective open access requirements 
under  Singapore’s  Next  Generation  Nationwide  Broadband  Network.  In  September  2011,  Singtel  sold  certain 
infrastructure assets, namely ducts and manholes used by OpenNet Pte. Ltd., and 7 exchange buildings (“Assets”), 
and Singtel’s business of providing duct and manhole services in relation to the Assets (“Business”) to NetLink Trust, 
for an aggregate consideration of approximately S$1.89 billion. Singtel also completed its subscription for a further 
567,380,000 units at S$1 each in NetLink Trust. 

The aggregate consideration paid by NetLink Trust for the purchase of the Assets and Business was financed by the 
issue of units to Singtel of S$567.4 million and loan from Singtel of S$1.33 billion. 

Although  currently  100%  owned  by  Singtel,  NetLink  Trust  is  managed  and  operated  by  CityNet  Infrastructure 
Management Pte. Ltd. in its capacity as trustee-manager. Singtel does not have effective control in NetLink Trust, 
and hence it is equity accounted as an associate at the Group. 

At  the  consolidated  level,  the  gain  on  disposal  of  Assets  and  Business  recorded  by  Singtel  was  deferred  in  the 
Group’s statement of financial position and is being amortised over the useful lives of the Assets. The unamortised 
deferred gain in the Group’s statement of financial position will be released to the Group’s income statement when 
NetLink Trust is partially or fully sold, based on the proportionate equity interest disposed. In addition, Singtel’s lease 
expenses paid to NetLink Trust and interest income earned from NetLink Trust are not eliminated on a line-by-line 
basis in the Group. 

In November 2013, the Group paid S$142.6 million to NetLink Trust in consideration of its transfer of tax benefits 
utilised by the Group, and S$11.4 million for additional investment in NetLink Trust. The monies were subsequently 
utilised by NetLink Trust for its acquisition of 100% equity interest in OpenNet Pte. Ltd. 

In  October  2014,  Singtel  sold  certain  infrastructure  assets  to  NetLink  Trust  for  an  aggregate  consideration  of  
S$280 million. The aggregate consideration paid by NetLink Trust was financed by a loan from Singtel. 

The  loan  to  NetLink  Trust  carries  a  fixed  interest  rate  and  is  repayable  on  22  April  2017.  The  loan  is  secured  by 
a  fixed  and  floating  charge  over  NetLink  Trust’s  assets  and  business  undertakings.  Under  the  loan  agreement, 
unpaid interest are included as part of the loan. As at 31 March 2015, the loan principal was S$1.61 billion (2014:  
S$1.33 billion) and interest included as part of the loan was S$5.5 million (2014: S$5.5 million). 

As  at  31  March  2015,  the  unamortised  gross  deferred  gain  was  S$1.73  billion  (2014:  S$1.52  billion),  of  which  
S$295.1 million (2014: S$310.3 million) was applied to the Group’s carrying value of NetLink Trust and the remaining  
S$1.44 billion (2014: S$1.21 billion) was classified as ‘Net deferred gain’ in the Group’s statement of financial position. 

I

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I
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2
0
1
5

F
I
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A
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C
A
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G
A
P
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O
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M
U
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S

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N
U
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186

187

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

27.  OTHER NON-CURRENT RECEIVABLES

Prepayments
Other receivables

Group

Company

2015
S$ Mil

63.7 
332.8 

2014
S$ Mil

63.3 
192.9 

2015
S$ Mil

182.6 
–

2014
S$ Mil

198.5
–

396.5 

256.2 

182.6 

198.5 

Other receivables comprise mainly receivables in Australia under the device repayment plans, and deferred access 
fees from network facilities.

28. 

TRADE AND OTHER PAYABLES

Trade payables
Accruals
Interest payable on borrowings
Due to subsidiaries

-   trade
-   non-trade

Due to associates and joint ventures

-   trade
-   non-trade

Deferred gain on sale of a joint venture  

(see Note 32)

Customers’ deposits
Other deferred income
Other payables

Group

Company

2015
S$ Mil

3,305.6 
805.6 
115.6 

– 
– 
– 

26.0 
12.8 
38.8 

2014
S$ Mil

2,759.0 
726.7 
115.9 

– 
– 
– 

38.5 
6.2 
44.7 

3.1 

3.1 

25.9 
17.5 
146.4 

26.6 
16.4 
103.9 

2015
S$ Mil

698.3 
164.9 
34.4 

247.8 
137.7 
385.5 

25.3 
0.2 
25.5 

– 

16.1 
14.2 
47.3 

2014
S$ Mil

702.3 
136.3 
34.2 

227.2 
610.0 
837.2 

35.5 
4.9 
40.4 

– 

15.9 
14.1 
53.7 

4,458.5 

3,796.3 

1,386.2 

1,834.1 

The trade payables are non-interest bearing and are generally settled on 30 to 60 days terms, with some payables 
relating to network investments having payment terms of up to 365 days.

The interest payable on borrowings are generally settled on a half-year or annual basis except for interest payable 
on certain bonds and syndicated loan facilities which are settled on quarterly and monthly basis respectively. 

The amounts due to subsidiaries are repayable on demand and interest-free.

188

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A

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E

T

E

L

E

C

O

M

M

U

N

I

C

A

T

I

O

N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

189

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

29. 

PROVISION

The provision mainly relates to provision for liquidated damages and warranties. The movements were as follows –

Balance as at 1 April
Provision
Amount written off against provision

Balance as at 31 March

30. 

BORROWINGS (UNSECURED)

Current
  Bank loans

Non-current
  Bonds
  Bank loans 

Group

Company

2015
S$ Mil

1.6 
4.3 
(0.1)

5.8 

2014
S$ Mil

5.8 
0.1 
(4.3)

1.6 

2015
S$ Mil

– 
3.5 
(0.1)

3.4 

2014
S$ Mil

4.3 
– 
(4.3)

– 

Group

Company

2015
S$ Mil

2014
S$ Mil

2015
S$ Mil

2014
S$ Mil

150.0 

774.6 

150.0 

774.6 

– 

– 

– 

–

7,240.7 
1,350.2 

6,696.9 
350.0 

925.2 
–

793.2 
– 

8,590.9 

7,046.9 

925.2 

793.2 

F
I
N
A
N
C
A
L
S

I

Total unsecured borrowings

8,740.9 

7,821.5 

925.2 

793.2 

S
I
N
G
A
P
O
R
E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

I

L
I
M
T
E
D

2
0
1
5

188

189

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

30.1  Bonds

Principal amount

US$500 million (1)(2)
US$1,300 million (2)
US$500 million (2)
US$400 million

€700 million (1)(2) 

A$375 million (1)

S$550 million (2014: S$250 million)
S$600 million (2) 

¥10,000 million 

HK$1,450 million 
HK$1,000 million (1) 

Non-current

Group

Company

2015
S$ Mil

 713.2 
 1,885.5 
 925.2 
 550.3 

2014
S$ Mil

 650.2 
 1,694.7 
 793.2 
 504.3 

 1,066.9 

 1,239.9 

 390.8 

 434.8 

 550.0 
 600.0 

 250.0 
 600.0 

 116.2 

 123.9 

 265.4 
 177.2 

 243.6 
 162.3 

2015
S$ Mil

 – 
 – 
 925.2 
 – 

2014
S$ Mil

 – 
 – 
 793.2 
 – 

 – 

 – 

 – 
 – 

 – 

 – 
 – 

 – 

 – 

 – 
 – 

 – 

 – 
 – 

 7,240.7 

 6,696.9 

 925.2 

 793.2 

Notes:
(1)  The bonds, issued by Optus Group, are subject to a negative pledge that limits the amount of secured indebtedness of certain subsidiaries  

of Optus.

(2)  The bonds are listed on the Singapore Exchange. 

190

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S

A

N

N

U

A

L

R

E

P

O

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T

L

I

M

I

T

E

D

2

0

1

5

191

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

30.2  Bank Loans

Current
Non-current 

30.3  Maturity

Group

2015
S$ Mil

 150.0 
 1,350.2 

2014
S$ Mil

 774.6 
 350.0 

 1,500.2 

 1,124.6 

The maturity periods of the non-current unsecured borrowings at the end of the reporting period were as follows –

Between one and two years
Between two and five years
Over five years

30.4 

Interest Rates

Group

Company

2015
S$ Mil

 620.5 
 3,986.4 
 3,984.0 

2014
S$ Mil

 – 
 2,790.5 
 4,256.4 

2015
S$ Mil

 – 
 – 
 925.2 

2014
S$ Mil

 – 
 – 
 793.2 

 8,590.9 

 7,046.9 

 925.2 

 793.2 

F
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C
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I

The weighted average effective interest rates at the end of the reporting period were as follows –

Bonds (fixed rate) 
Bonds (floating rate) 
Bank loans (floating rate)

Group

Company

2015
%

 3.9 
 1.3 
 1.9 

2014
%

 4.0 
 1.3 
 1.0 

2015
%

 7.4 
 – 
 – 

2014
%

 7.4 
 – 
 – 

S
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A
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O
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M
U
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S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

I

L
I
M
T
E
D

2
0
1
5

190

191

 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

30.5  The  tables  below  set  out  the  maturity  profile  of  borrowings  and  related  swaps  based  on  expected  contractual 

undiscounted cash flows. 

Group

As at 31 March 2015
Net-settled interest rate swaps 
Cross currency interest rate swaps (gross-settled) 

-   Inflow
-   Outflow

Borrowings

As at 31 March 2014
Net-settled interest rate swaps 
Cross currency interest rate swaps (gross-settled) 

-   Inflow
-   Outflow

Borrowings

Company

As at 31 March 2015
Net-settled interest rate swaps 
Cross currency interest rate swaps (gross-settled) 

-   Inflow
-   Outflow

Borrowings

As at 31 March 2014
Net-settled interest rate swaps 
Cross currency interest rate swaps (gross-settled) 

-   Inflow
-   Outflow

Borrowings

Less than
1 year
S$ Mil

Between 
1 and 2 years
S$ Mil

Between 
2 and 5 years
S$ Mil

Over 
5 years
S$ Mil

42.2 

42.5 

97.0 

21.5 

(188.4)
142.0 
(4.2)
429.8 

(188.5)
139.7 
(6.3)
883.2 

(483.5)
374.6 
(11.9)
4,403.9 

(687.8)
340.4 
(325.9)
4,444.8 

425.6 

876.9 

4,392.0 

4,118.9 

52.4 

41.0 

69.2 

29.7 

(181.8)
147.9 
18.5 
1,019.8 

(181.8)
155.7 
14.9 
242.7 

(506.0)
503.2 
66.4 
3,061.6 

(785.3)
485.0 
(270.6)
5,045.1 

1,038.3 

257.6 

3,128.0 

4,774.5 

Less than
1 year
S$ Mil

Between 
1 and 2 years
S$ Mil

Between 
2 and 5 years
S$ Mil

Over 
5 years
S$ Mil

3.0 

1.7 

5.2 

20.8 

(158.1)
132.1 
(23.0)
50.7 

(158.1)
132.1 
(24.3)
50.7 

(332.0)
253.9 
(72.9)
152.2 

(662.6)
350.0 
(291.8)
1,490.1 

27.7 

26.4 

79.3 

1,198.3 

6.3 

3.2 

5.5 

23.6 

(136.0)
112.9 
(16.8)
46.5 

(136.1)
113.1 
(19.8)
46.5 

(350.8)
281.9 
(63.4)
139.4 

(674.2)
375.0 
(275.6)
1,485.6 

29.7 

26.7 

76.0 

1,210.0 

192

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S

A

N

N

U

A

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R

E

P

O

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L

I

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I

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E

D

2

0

1

5

193

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

31. 

BORROWINGS (SECURED)

Current

Finance lease

Non-current

Finance lease

  Bank loans 

Group

2015
S$ Mil

24.4 

24.4 

2014
S$ Mil

38.9 

38.9 

Company

2015
S$ Mil

2014
S$ Mil

1.5 

1.5 

1.5 

1.5 

180.7 
32.8 

179.7 
– 

160.4 
–

161.9 
– 

213.5 

179.7 

160.4 

161.9 

Total secured borrowings

237.9 

218.6 

161.9 

163.4 

Secured borrowings comprise finance lease liabilities, including lease liabilities in respect of certain assets leased 
from NetLink Trust, and certain bank loans of Adconion secured on the assets and shares in Adconion Media, Inc. 
and its subsidiary, Adconion Direct, Inc. and a fixed and floating charge on the assets in Adconion Pty Ltd.

31.1 

Finance Lease Liabilities

The minimum lease payments under the finance lease liabilities were payable as follows –

Not later than one year
Later than one but not later than five years
Later than five years

Group

Company

2015
S$ Mil

38.2 
71.4 
624.7 
734.3 

2014
S$ Mil

54.1 
69.6 
636.3 
760.0 

2015
S$ Mil

13.0 
49.8 
624.7 
687.5 

2014
S$ Mil

13.0 
51.2 
636.3 
700.5 

Less: Future finance charges

(529.2)

(541.4)

(525.6)

(537.1)

205.1 

218.6 

161.9 

163.4 

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2
0
1
5

F
I
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A
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C
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S

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S
I
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G
A
P
O
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E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

192

193

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

31.2  Maturity

The maturity periods of the non-current secured borrowings at the end of the reporting period were as follows –

Between one and two years
Between two and five years
Over five years

31.3 

Interest Rates

Group

Company

2015
S$ Mil

 15.2 
 42.3 
 156.0 

2014
S$ Mil

 16.3 
 7.1 
 156.3 

2015
S$ Mil

 1.6 
 2.8 
 156.0 

2014
S$ Mil

 1.5 
 4.1 
 156.3 

 213.5 

 179.7 

 160.4 

 161.9 

The weighted average effective interest rates per annum at the end of the reporting period were as follows –

Finance lease liabilities
Bank loans

Group

Company

2015
%

 6.2 
 3.9 

2014
%

 7.2
 – 

2015
%

 7.3 
 – 

2014
%

 7.3 
 – 

31.4  The tables below set out the maturity profile of the secured bank loans based on expected contractual undiscounted 

cash flows. 

Group

As at 31 March 2015
Bank loans

There was no secured bank loan as at 31 March 2014.

Less than
1 year
S$ Mil

Between 
1 and 2 years
S$ Mil

Between 
2 and 5 years
S$ Mil

Over 
5 years
S$ Mil

1.9 

1.9 

36.7 

– 

194

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L

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D

2

0

1

5

195

 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

32. 

DEFERRED INCOME

Deferred gain on sale of a joint venture

Classified as -
  Current (see Note 28)
  Non-current

Group

2015
S$ Mil

7.6 

7.6 

 3.1 
 4.5 

 7.6 

2014
S$ Mil

10.7 

 10.7 

 3.1 
 7.6 

10.7 

Deferred gain on sale of a joint venture is recognised as income on a straight-line basis over the remaining useful 
life of the joint venture’s cable system of approximately 10 years.

33.  OTHER NON-CURRENT LIABILITIES

Performance share liability
Other payables

Group

Company

2015
S$ Mil

 19.0 
 292.0 

2014
S$ Mil

 12.1 
 179.2 

 311.0 

 191.3 

2015
S$ Mil

 19.0 
 11.0 

 30.0 

2014
S$ Mil

 12.1 
 12.1 

 24.2 

Other payables mainly relate to accruals of rental for certain network sites, long-term employee entitlements and 
asset retirement obligations.

F
I
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A
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C
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S

I

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M
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S

I

I

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N
N
U
A
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P
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I

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I
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T
E
D

2
0
1
5

194

195

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

34. 

SHARE CAPITAL

Group and Company

2015

2014

Number of
shares
Mil

Share 
capital
S$ Mil

Number of
shares
Mil

Share 
capital
S$ Mil

Balance as at 1 April and 31 March

15,943.5 

2,634.0 

15,943.5 

2,634.0 

All issued shares are fully paid and have no par value. The issued shares carry one vote per share and a right to 
dividends as and when declared by the Company. 

Capital Management

The  Group  is  committed  to  an  optimal  capital  structure  while  maintaining  financial  flexibility  and  investment 
grade credit ratings. In order to achieve an optimal capital structure, the Group may adjust the amount of dividend 
payment, return capital to shareholders, issue new shares, buy back issued shares, obtain new borrowings or reduce 
its borrowings.

The  Group  monitors  capital  based  on  gross  and  net  gearing  ratios,  and  the  dividend  payout  ratio  ranges  from  
60%  to  75%  of  underlying  net  profit.  Underlying  net  profit  is  defined  as  net  profit  before  exceptional  and  other  
one-off items.

From time to time, the Group purchases its own shares from the market. The shares purchased are primarily for 
delivery to employees upon vesting of performance shares awarded under Singtel performance share plans. The 
Group can also cancel the shares which are repurchased from the market.

There were no changes in the Group’s approach to capital management during the financial year.

The Company and its subsidiaries are not subject to any externally imposed capital requirement. 

196

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A

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2

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1

5

197

 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

35. 

DIVIDENDS

Final ordinary dividend of 10.0 cents  
(2014: 10.0 cents) per share, paid

Interim dividend of 6.8 cents  

(2014: 6.8 cents) per share, paid

Group

Company

2015
S$ Mil

2014
S$ Mil

2015
S$ Mil

2014
S$ Mil

1,593.8 

1,594.2 

1,594.3 

1,595.0 

1,083.7 

1,083.6 

1,084.2 

1,084.2 

2,677.5 

2,677.8 

2,678.5 

2,679.2 

During the financial year, a final one-tier tax exempt ordinary dividend of 10.0 cents per share was paid in respect of 
the previous financial year ended 31 March 2014, and an interim one-tier tax exempt ordinary dividend of 6.8 cents 
per share was paid in respect of the current financial year ended 31 March 2015. 

F
I
N
A
N
C
A
L
S

I

The amount paid by the Group differed from that paid by the Company due to dividends on performance shares 
held by the Trust that were eliminated on consolidation of the Trust.

The  Directors  have  proposed  a  final  one-tier  tax  exempt  ordinary  dividend  of  10.7  cents  per  share,  totalling 
approximately  S$1.71  billion  in  respect  of  the  current  financial  year  ended  31  March  2015  for  approval  at  the 
forthcoming Annual General Meeting. 

These financial statements do not reflect the above final dividend payable of approximately S$1.71 billion, which 
will be accounted for in the shareholders’ equity as an appropriation of ‘Retained Earnings’ in the next financial year 
ending 31 March 2016.

36. 

FAIR VALUES OF FINANCIAL ASSETS AND LIABILITIES

The  Group  classifies  fair  value  measurements  using  a  fair  value  hierarchy  which  reflects  the  significance  of  the 
inputs used in making the measurements. The fair value hierarchy has the following levels – 

(a) 

quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1);

(b) 

(c) 

inputs other than quoted prices included within Level 1 which are observable for the asset or liability, either 
directly (i.e. as prices) or indirectly (i.e. derived from prices) (Level 2); and

inputs  for  the  asset  or  liability  which  are  not  based  on  observable  market  data  (unobservable  inputs)  
(Level 3).

I

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T
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2
0
1
5

S
I
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G
A
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O
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T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
R
T

196

197

 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

36.1  Financial assets and liabilities measured at fair value 

Group 
2015

Financial assets 

  AFS investments (1) (Note 24)
-   Quoted equity securities 
-   Unquoted investments 

Level 1
S$ Mil

Level 2
S$ Mil

Level 3
S$ Mil

Total 
S$ Mil

100.8 
– 
100.8

– 
– 
– 

– 
100.5 
100.5 

100.8 
100.5 
201.3 

  Derivative financial instruments (Note 25.1)

– 

771.9 

– 

771.9 

Financial liabilities
  Derivative financial instruments (Note 25.1)

Group 
2014

Financial assets 
  AFS investments (1) (Note 24)

-   Quoted equity securities 
-   Unquoted investments 

100.8 

771.9 

100.5 

973.2 

– 

– 

282.2 

282.2 

– 

– 

282.2 

282.2 

Level 1
S$ Mil

Level 2
S$ Mil

Level 3
S$ Mil

Total 
S$ Mil

62.9 
– 
62.9 

– 
– 
– 

– 
108.2 
108.2 

62.9 
108.2 
171.1 

  Derivative financial instruments (Note 25.1)

– 

301.4 

– 

301.4 

Financial liabilities
  Derivative financial instruments (Note 25.1)

62.9 

301.4 

108.2 

472.5 

– 

– 

424.3 

424.3 

– 

– 

424.3 

424.3 

198

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E

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I

C

A

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I

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N

S

A

N

N

U

A

L

R

E

P

O

R

T

L

I

M

I

T

E

D

2

0

1

5

199

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

36.1  Financial assets and liabilities measured at fair value (Cont’d)

Company 
2015

Financial assets 

  AFS investments (Note 24)

-   Quoted equity securities 
-   Unquoted equity investments 

Level 1
S$ Mil

Level 2
S$ Mil

Level 3
S$ Mil

Total 
S$ Mil

 34.1 
 – 
 34.1 

 – 
 – 
 – 

 – 
 9.5 
 9.5 

 34.1 
 9.5 
 43.6 

  Derivative financial instruments (Note 25.1)

 – 

 493.4 

 – 

 493.4 

Financial liabilities
  Derivative financial instruments (Note 25.1)

Company 
2014

Financial assets 

  AFS investments (Note 24)

-   Quoted equity securities 
-   Unquoted equity investments 

 34.1 

 493.4 

 9.5 

 537.0 

 – 

 – 

 449.2 

 449.2 

 – 

 – 

 449.2 

 449.2 

Level 1
S$ Mil

Level 2
S$ Mil

Level 3
S$ Mil

Total 
S$ Mil

F
I
N
A
N
C
A
L
S

I

 44.4 
 – 
 44.4 

 – 
 – 
 – 

 – 
 10.5 
 10.5 

 44.4 
 10.5 
 54.9 

  Derivative financial instruments (Note 25.1)

 – 

 163.0 

 – 

 163.0 

Financial liabilities
  Derivative financial instruments (Note 25.1)

 44.4

 163.0

 10.5

217.9

 – 

 – 

 361.9 

 361.9 

 – 

 – 

 361.9 

 361.9 

Note:
(1)  Excluded AFS investments stated at cost of S$67.0 million (2014: S$120.2 million). 

See Note 2.7 for the policies on fair value estimation of the financial assets and liabilities. 

The fair values of the unquoted AFS investments included within Level 3 were estimated using the net asset values 
as reported in the statements of financial position in the management accounts of the AFS investments or the use 
of recent arm’s length transactions. 

I

L
I
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T
E
D

2
0
1
5

S
I
N
G
A
P
O
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E
T
E
L
E
C
O
M
M
U
N
C
A
T
O
N
S

I

I

A
N
N
U
A
L
R
E
P
O
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T

198

199

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

36.1  Financial assets and liabilities measured at fair value (Cont’d)

The following table presents the reconciliation for the unquoted AFS investments measured at fair value based on 
unobservable inputs (Level 3) –

AFS investments - unquoted
  Balance as at 1 April 

Total gains/ (losses) included in  

‘Fair Value Reserve’

  Additions 
  Provision for impairment
  Disposals 
  Transfer from Level 3
  Transfer to Level 3
  Translation differences

Group

2015
S$ Mil

 108.2 

 4.9 
 – 
 – 
 (15.6)
 (5.8)
 8.8 
 – 

2014
S$ Mil

 14.1 

 44.2 
 52.8 
 (3.0)
 – 
 – 
 – 
 0.1 

  Balance as at 31 March 

 100.5 

 108.2 

Company

2015
S$ Mil

2014
S$ Mil

 10.5 

 10.1 

 (1.0)
 – 
 – 
 – 
 – 
 – 
 – 

 9.5 

 0.4 
 – 
 – 
 – 
 – 
 – 
 – 

 10.5 

36.2  Financial assets and liabilities not measured at fair value (but with fair value disclosed)

2015

Financial liabilities
  Group
  Bonds (Note 30.1) 

  Company 
  Bonds (Note 30.1) 

2014

Financial liabilities
  Group
  Bonds (Note 30.1) 

  Company 
  Bonds (Note 30.1) 

Carrying Value 

Fair value 

 S$ Mil

Level 1
S$ Mil

Level 2
S$ Mil

Level 3
S$ Mil

Total 
S$ Mil

7,240.7 

5,478.3 

2,101.8 

925.2 

1,015.7 

– 

– 

– 

7,580.1 

1,015.7 

Carrying Value 

Fair value 

 S$ Mil

Level 1
S$ Mil

Level 2
S$ Mil

Level 3
S$ Mil

Total 
S$ Mil

6,696.9 

5,189.1 

1,745.7 

793.2 

835.6 

– 

– 

– 

6,934.8 

835.6 

See  Note  2.7  on  the  basis  of  estimating  the  fair  values  and  Note  25  for  information  on  the  derivative  financial 
instruments used for hedging the risks associated with the borrowings.

Except as disclosed in the above tables, the carrying values of other financial assets and liabilities approximate their 
fair values. 

200

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I

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A

N

N

U

A

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P

O

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L

I

M

I

T

E

D

2

0

1

5

201

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

37. 

FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

37.1   Financial Risk Factors

The Group’s activities are exposed to a variety of financial risks: foreign exchange risk, interest rate risk, credit risk, 
liquidity risk and market risk. The Group’s overall risk management seeks to minimise the potential adverse effects 
of these risks on the financial performance of the Group.

The  Group  uses  financial  instruments  such  as  currency  forwards,  cross  currency  and  interest  rate  swaps,  and 
foreign currency borrowings to hedge certain financial risk exposures. No financial derivatives are held or sold for 
speculative purposes.

The Directors assume responsibility for the overall financial risk management of the Group. For the financial year 
ended 31 March 2015, the Risk Committee and Finance and Investment Committee (“FIC”), which are committees 
of the Board, assisted the Directors in reviewing and establishing policies relating to financial risk management in 
accordance with the policies and directives of the Directors.

F
I
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37.2   Foreign Exchange Risk

The foreign exchange risk of the Group arises from subsidiaries, associates and joint ventures operating in foreign 
countries,  mainly  Australia,  Bangladesh,  India,  Indonesia,  Philippines,  Thailand  and  United  States  of  America. 
Additionally, the Group’s joint venture in India, Bharti Airtel Limited, is exposed to foreign exchange risks from its 
operations in Bangladesh, Sri Lanka and 17 countries across Africa. Translation risks of overseas net investments are 
not hedged unless approved by the FIC. 

The Group has borrowings denominated in foreign currencies that have primarily been hedged into the functional 
currency of the respective borrowing entities using cross currency swaps in order to reduce the foreign currency 
exposure on these borrowings. As the hedges are perfect, any change in the fair value of the cross currency swaps 
has minimal impact on profit and equity. 

The  Group  Treasury  Policy,  as  approved  by  the  FIC,  is  to  substantially  hedge  all  known  transactional  currency 
exposures. The Group generates revenue, receives foreign dividends and incurs costs in currencies which are other 
than the functional currencies of the operating units, thus giving rise to foreign exchange risk. The currency exposures 
are primarily for the Australian Dollar, Euro, Hong Kong Dollar, Indian Rupee, Indonesian Rupiah, Philippine Peso, 
Pound Sterling, Thai Baht, United States Dollar and Japanese Yen. 

Foreign currency purchases and forward currency contracts are used to reduce the Group’s transactional exposure 
to  foreign  currency  exchange  rate  fluctuations.  The  foreign  exchange  difference  on  trade  balances  is  disclosed 
under Note 6 and the foreign exchange difference on non-trade balances is disclosed under Note 10.

37.3 

Interest Rate Risk

The Group has cash balances placed with reputable banks and financial institutions which generate interest income 
for the Group. The Group manages its interest rate risks on its interest income by placing the cash balances on 
varying maturities and interest rate terms.

The Group’s borrowings include bank borrowings and bonds. The borrowings expose the Group to interest rate 
risk. The Group seeks to minimise its exposure to these risks by entering into interest rate swaps over the duration 
of its borrowings. Interest rate swaps entail the Group agreeing to exchange, at specified intervals, the difference 
between  fixed  and  variable  rate  interest  amounts  calculated  by  reference  to  an  agreed-upon  notional  principal 
amount. As at 31 March 2015, after taking into account the effect of interest rate swaps, approximately 72% (2014: 
78%) of the Group’s borrowings were at fixed rates of interest.

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As at 31 March 2015, assuming that the market interest rate is 50 basis points higher or lower and with no change 
to the other variables, the annualised interest expense on borrowings would be higher or lower by S$12.8 million 
(2014: S$11.6 million). 

201

 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

37.4  Credit Risk

Financial  assets  that  potentially  subject  the  Group  to  concentrations  of  credit  risk  consist  primarily  of  trade 
receivables, cash and cash equivalents, marketable securities and financial instruments used in hedging activities.

The Group has no significant concentration of credit risk from trade receivables due to its diverse customer base. 
Credit risk is managed through the application of credit assessment and approvals, credit limits and monitoring 
procedures.  Where  appropriate,  the  Group  obtains  deposits  or  bank  guarantees  from  customers  or  enters  into 
credit insurance arrangements. 

The Group places its cash and cash equivalents and marketable securities with a number of major and high credit 
rating commercial banks and other financial institutions. Derivative counter-parties are limited to high credit rating 
commercial banks and other financial institutions. The Group has policies that limit the financial exposure to any 
one financial institution.

37.5  Liquidity Risk

To manage liquidity risk, the Group monitors and maintains a level of cash and cash equivalents deemed adequate 
by the management to finance the Group’s operations and mitigate the effects of fluctuations in cash flows. Due to 
the dynamic nature of the underlying business, the Group aims at maintaining flexibility in funding by keeping both 
committed and uncommitted credit lines available. 

37.6  Market Risk

The  Group  has  investments  in  quoted  equity  shares.  The  market  value  of  these  investments  will  fluctuate  with 
market conditions.

38. 

SEGMENT INFORMATION

Segment  information  is  presented  based  on  the  information  reviewed  by  senior  management  for  performance 
measurement and resource allocation.

Singtel  Group  is  structured  into  three  business  segments,  namely  Group  Consumer,  Group  Enterprise  and  
Group Digital Life.

Group  Consumer  comprises  the  consumer  businesses  across  Singapore  and  Australia,  as  well  as  the  Group’s 
investments, namely AIS in Thailand, Airtel in India, Africa and South Asia, Globe in the Philippines, and Telkomsel in 
Indonesia. It focuses on driving greater value and performance from the core carriage business including mobile, 
pay TV, fixed broadband and voice, as well as equipment sales. 

Group  Enterprise  comprises  the  business  groups  across  Singapore  and  Australia  and  focuses  on  growing  the 
Group’s position in the enterprise markets. Key services include mobile, fixed voice and data, managed services, 
cloud computing, and IT services and professional consulting.

Group Digital Life focuses on using the latest internet technologies and assets of the Group’s operating companies 
to develop new revenue and growth engines by entering adjacent businesses where it has a competitive advantage. 
It included digital advertising, e-commerce, concierge and hyper-local services. From 1 April 2015, Group Digital 
Life sharpened its digital business strategy to focus on three key businesses - digital marketing (Amobee), regional 
premium video (HOOQ) and advanced analytics and intelligence capabilities (DataSpark), in addition to strengthening 
its role as Singtel’s digital innovation engine through Innov8.

Corporate comprises the costs of Group functions not allocated to the three business segments. 

202

The  measurement  of  segment  results  which  is  before  exceptional  items,  is  in  line  with  the  basis  of  information 
presented to management for internal management reporting purposes. 

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Notes to the 
Financial Statements

For the financial year ended 31 March 2015

38. 

SEGMENT INFORMATION (Cont’d)

The costs of shared and common infrastructure are allocated to business segments using established methodologies. 
With  effect  from  1  April  2014,  certain  costs  have  been  reallocated  between  Consumer  and  Enterprise  business 
segments as a result of higher utilisation of shared infrastructure by mobile in Australia. 

For comparative purpose, the EBITDA and EBIT of the business segments for the previous year ended 31 March 
2014 have been restated to reflect the changes in cost allocation and other adjustments. The impact of the change 
was  a  reduction  to  Group  Consumer’s  EBITDA  and  EBIT  of  S$62  million  and  S$121  million  respectively,  and  a 
corresponding increase to Group Enterprise’s EBITDA and EBIT of S$62 million and S$121 million respectively. The 
Group’s overall EBITDA and EBIT remain unchanged. 

The Group’s reportable segments by the three business segments for the financial year ended 31 March 2015 and 
31 March 2014 were as follows –

Group
2015

Group 
Consumer 
S$ Mil

Group 
Enterprise 
S$ Mil

Group 
Digital Life
S$ Mil

Corporate
S$ Mil

Group 
Total
S$ Mil

Operating revenue

10,559.4 

6,320.4 

343.1 

– 

 17,222.9 

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Operating expenses 
Other income
Earnings before interest, tax, 

depreciation and  
amortisation (“EBITDA”)

Share of pre-tax results of associates  

and joint ventures

-   Airtel
-   Telkomsel 
-   Globe
-   AIS
-   Others 

(7,354.3)
111.5 

(4,296.1)
36.9 

(554.8)
(4.2)

(78.4)
7.2 

(12,283.6)
151.4 

3,316.6 

2,061.2 

(215.9)

(71.2)

5,090.7 

735.7 
982.3 
305.6 
431.0 
1.1 
2,455.7 

– 
– 
– 
– 
– 
– 

– 
– 
– 
– 
– 
– 

– 
– 
– 
– 
123.1 
123.1 

735.7 
982.3 
305.6 
431.0 
124.2 
2,578.8 

EBITDA and share of pre-tax results of 

associates and joint ventures

5,772.3 

2,061.2 

(215.9)

51.9 

7,669.5 

Depreciation and amortisation 
Earnings before interest and tax 

(“EBIT”)

Segment assets 
Investment in associates and  

joint ventures

-   Airtel
-   Telkomsel 
-   Globe 
-   AIS 
-   Others 

(1,478.0)

(608.4)

(72.9)

(2.1)

(2,161.4)

4,294.3 

1,452.8 

(288.8)

49.8 

5,508.1 

5,323.3 
3,410.1 
1,049.8 
686.3 
24.1 
10,493.6 

– 
– 
– 
– 
– 
– 

– 
– 
– 
– 
– 
– 

– 
– 
– 
– 
352.6 
352.6 

5,323.3 
3,410.1 
1,049.8 
686.3 
376.7 
10,846.2 

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Other assets

9,191.9 
10,869.2 

175.1 
4,897.9 

756.0
781.8 

– 
4,548.7

10,123.0 
21,097.6

30,554.7 

5,073.0 

1,537.8 

4,901.3 

42,066.8 

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Notes to the 
Financial Statements

For the financial year ended 31 March 2015

38. 

SEGMENT INFORMATION (Cont’d)

Group
2014

Group 
Consumer 
S$ Mil

Group 
Enterprise 
S$ Mil

Group 
Digital Life
S$ Mil

Corporate
S$ Mil

Group 
Total
S$ Mil

Operating revenue

10,411.2 

6,268.4 

143.7 

24.8 

16,848.1 

Operating expenses 
Other income
EBITDA

(7,202.5)
74.1 
3,282.8 

(4,200.0)
26.5 
2,094.9 

(311.7)
(2.3)
(170.3)

(86.1)
9.3 
(52.0)

(11,800.3)
107.6 
5,155.4 

Share of pre-tax results of associates  

and joint ventures

-   Airtel
-   Telkomsel 
-   Globe
-   AIS
-   Others 

512.1 
937.1 
230.5 
427.7 
0.5 
2,107.9 

– 
– 
– 
– 
– 
– 

– 
– 
– 
– 
– 
– 

– 
– 
– 
– 
93.3 
93.3 

512.1 
937.1 
230.5 
427.7 
93.8 
2,201.2 

EBITDA and share of pre-tax results of 

associates and joint ventures

5,390.7 

2,094.9 

(170.3)

41.3 

7,356.6 

Depreciation and amortisation 

(1,462.0)

(621.6)

(47.5)

(1.6)

(2,132.7)

EBIT

3,928.7 

1,473.3 

(217.8)

39.7 

5,223.9 

Segment assets 
Investment in associates and  

joint ventures

-   Airtel
-   Telkomsel 
-   Globe 
-   AIS 
-   Others 

Goodwill on acquisition of subsidiaries
Other assets

4,889.6 
3,433.8 
900.0 
624.2 
24.8 
9,872.4 

9,232.2 
9,981.0 

– 
– 
– 
– 
– 
– 

– 
– 
– 
– 
– 
– 

– 
– 
– 
– 
255.8 
255.8 

4,889.6 
3,433.8 
900.0 
624.2 
280.6 
10,128.2 

148.8 
5,364.2 

322.6 
542.7 

– 
3,600.3 

9,703.6 
19,488.2 

29,085.6 

5,513.0 

865.3 

3,856.1 

39,320.0 

204

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Notes to the 
Financial Statements

For the financial year ended 31 March 2015

38. 

SEGMENT INFORMATION (Cont’d)

A reconciliation of the total reportable segments’ EBIT to the Group’s profit before tax was as follows –

EBIT 

   Share of exceptional items of associates and joint ventures (post-tax)
   Share of tax expense of associates and joint ventures 
   Exceptional items 

Profit before interest, investment income (net) and tax 

Interest and investment income (net)

   Finance costs 

Profit before tax 

Group

2015
S$ Mil

2014
S$ Mil

5,508.1 

5,223.9 

(31.7)
(811.8)
14.8 

4,679.4 
92.8 
(309.2)

(87.2)
(721.4)
114.0 

4,529.3 
124.5 
(305.9)

4,463.0 

4,347.9 

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The Group’s revenue from its major products and services are disclosed in Note 4. 

The Group has a large and diversified customer base which consists of individuals and corporations. There was no 
single customer that contributed 10% or more of the Group’s revenue for the financial years ended 31 March 2015 
and 31 March 2014.  

39.  OPERATING LEASE COMMITMENTS

The future aggregate minimum lease payments under non-cancellable operating leases contracted for at the end 
of the reporting period but not recognised as liabilities, were as follows –

Not later than one year
Later than one but not later than five years
Later than five years

Group

Company

2015
S$ Mil

400.4 
1,033.4 
1,668.1 

2014
S$ Mil

473.0 
1,007.2 
1,419.1 

2015
S$ Mil

99.7 
296.2 
502.2 

2014
S$ Mil

102.5 
330.9 
583.3 

3,101.9 

2,899.3 

898.1 

1,016.7 

Sale and operating leaseback contracts were entered into for certain property, plant and equipment for a period of 
20 years commencing on 2 March 2005 and 1 November 2010. The above commitments included the minimum 
amounts payable of S$41.2 million (2014: S$40.8 million) per annum under those contracts. The operating lease 
payments under such contracts are subject to review every year with a general increase not exceeding the higher 
of 2% or Consumer Price Index percentage of the preceding year.

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Notes to the 
Financial Statements

For the financial year ended 31 March 2015

40. 

COMMITMENTS

40.1  The commitments for capital and operating expenditures, and investments which had not been recognised in the 

financial statements, excluding the commitments shown under Note 40.2, were as follows –

Authorised and contracted for

Group

Company

2015
S$ Mil

2014
S$ Mil

590.2 

1,807.5 

2015
S$ Mil

248.2 

2014
S$ Mil

262.9 

As at 31 March 2015, there were no commitments to purchase spectrum (2014: S$975 million). The above included 
commitments to purchase capacity in the cable network of a joint venture of S$26 million (2014: S$32 million). 

40.2  As at 31 March 2015, the Group’s commitments for the purchase of broadcasting program rights were S$362 million 
(2014:  S$474  million).  The  commitments  included  only  the  minimum  guaranteed  amounts  payable  under  the 
respective contracts and do not include amounts that may be payable based on revenue share arrangement which 
cannot be reliably determined as at the end of the reporting period. 

41. 

CONTINGENT LIABILITIES OF SINGTEL AND ITS SUBSIDIARIES

(a) 

Guarantees

As at 31 March 2015,

(i) 

(ii) 

The  Group  and  Company  provided  bankers’  and  other  guarantees,  and  insurance  bonds  of  
S$413.8 million and S$225.4 million (31 March 2014: S$648.2 million and S$312.7 million) respectively.

The Company provided guarantees for loans of S$800 million (31 March 2014: S$950 million) drawn 
down  under  various  loan  facilities  entered  into  by  Singtel  Group  Treasury  Pte.  Ltd.  (“SGT”)  with 
maturities between September 2015 and May 2017. 

(iii)  The  Company  provided  guarantees  for  SGT’s  notes  issue  of  an  aggregate  equivalent  amount  of  

S$3.70 billion (31 March 2014: S$3.40 billion) due between July 2016 and September 2021.

(b) 

Consistent with other large groups, Singapore Telecom Australia Investments Pty Limited (“STAI”), the head 
tax entity in Australia, has been subject to information requests from the Australian Taxation Office (“ATO”). 
STAI has received information requests in connection with the acquisition financing of Optus. STAI has been 
responding to the ATO’s queries. In December 2013, STAI received a tax position paper from the ATO and 
subsequently, on 22 October 2014, STAI received a Statement of Audit Position. The final Statement of Audit 
Position, when issued, will be further subject to an Independent Review within the ATO, if requested by STAI. 
STAI has received advice from external experts in relation to the matter and intends to defend its position. 
Accordingly, no provision has been made as at 31 March 2015.

(c)   Optus (and certain subsidiaries) is in dispute with third parties regarding certain transactions entered into in 
the ordinary course of business. Some of these disputes involve legal proceedings relating to the contractual 
obligations of the parties and/or representations made, including the amounts payable by Optus’ companies 
under the contracts and claims against Optus’ companies for compensation for alleged breach of contract 
and/or representations. Optus is vigorously defending all these claims. 

206

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Notes to the 
Financial Statements

For the financial year ended 31 March 2015

42. 

SIGNIFICANT CONTINGENT LIABILITIES OF JOINT VENTURES 

(a) 

Airtel, a 32.4% joint venture of the Group, has disputes with various government authorities in the respective 
jurisdictions  where  its  operations  are  based,  as  well  as  with  third  parties  regarding  certain  transactions 
entered into in the ordinary course of business. 

On 8 January 2013, the local regulator, Department of Telecommunications (“DOT”) issued a demand on 
Airtel Group for Rs. 52.01 billion (Singtel’s share: S$370 million) towards levy of one time spectrum charge. 
The demand included a retrospective charge of Rs. 9.09 billion (Singtel’s share: S$65 million) for holding 
GSM spectrum beyond 6.2 Mhz for the period from 1 July 2008 to 31 December 2012 and also a prospective 
charge of Rs. 42.92 billion (Singtel’s share: S$306 million) for GSM spectrum held beyond 4.4 Mhz for the 
period from 1 January 2013, till the expiry of the initial terms of the respective licenses. 

In the opinion of Airtel, inter-alia, the above demand amounts to alteration of the terms of the licenses issued 
in the past. Airtel believes, based on independent legal opinion and its evaluation, that it is not probable that 
any material part of the claim will be awarded against Airtel and therefore, pending outcome of this matter, 
no provision has been recognised. 

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As  at  31  March  2015,  other  taxes,  custom  duties  and  demands  under  adjudication,  appeal  or  disputes 
amounted to approximately Rs. 93.2 billion (Singtel’s share: S$664 million). In respect of some of the tax 
issues, pending final decisions, Airtel had deposited amounts with statutory authorities.

Airtel  Group  has  79.05%  shareholding  in  Airtel  Networks  Limited  (“ANL”),  whose  principal  activity  is  the 
provision of mobile telecommunication services in Nigeria.

Econet  Wireless  Limited  (“EWL”)  has  claimed  for  entitlement  to  a  5%  stake  in  ANL  in  2004  and  a  claim 
alleging breach of a shareholders’ agreement between EWL and former shareholders of ANL in 2006. Airtel 
is appealing earlier court and arbitral decisions and is defending its positions vigorously. Under the terms 
of  the  acquisition  by  Airtel  of  these  assets  from  Zain  International  B.V.  in  2010,  Airtel  has  the  benefit  of 
applicable seller’s indemnities in respect of such matters.

(b) 

The Group holds an equity interest of 23.3% in AIS. 

Revenue share disputes arising from abolishment of excise tax 

In January 2008, TOT Public Company Limited (“TOT”) and CAT Telecom Public Company Limited (“CAT”) 
demanded additional payments of revenue share from AIS and its subsidiary, Digital Phone Company Limited 
(“DPC”) respectively. 

CAT had submitted its case against DPC to arbitration and the Arbitral Tribunal has dismissed CAT’s case 
against  DPC  on  1  March  2011.  On  3  June  2011,  CAT  began  proceedings  to  appeal  against  the  Arbitral 
Tribunal’s decision in the Central Administrative Court. 

On 20 May 2011, the Arbitral Tribunal dismissed TOT’s claim against AIS for additional revenue share. On  
22 September 2011, TOT submitted its case to the Central Administrative Court to appeal against the Arbitral 
Tribunal’s award. 

TOT’s demands for additional revenue share

On  26  January  2011,  TOT  sent  a  letter  demanding  AIS  to  pay  additional  revenue  share  based  on  gross 
interconnection income received from 2007 to 2010 of THB 17,803 million (Singtel’s share: S$175 million) 
plus interest at the rate of 1.25% per month. AIS sent a letter opposing the said claim to TOT on 21 February 
2011. On 9 March 2011, AIS submitted the dispute to arbitration. 

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207

 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

42. 

SIGNIFICANT CONTINGENT LIABILITIES OF JOINT VENTURES (Cont’d)

On  29  July  2014,  TOT  submitted  a  dispute  to  the  Arbitration  Institute  demanding  AIS  to  pay  additional 
revenue share on the interconnection income from 2011 to 2012 amounting to THB 9,984 million (Singtel’s 
share:  S$98  million)  plus  interest  at  the  rate  of  1.25%  per  month.  TOT  requested  the  Arbitral  Tribunal  to 
consider this case together with the case filed on 9 March 2011. 

The disputes are pending the arbitration procedures.

TOT’s demand for access charge

On 9 May 2011, TOT submitted a case to the Central Administrative Court against CAT as first defendant 
and DPC as second defendant demanding access charge amounting to THB 2,954 million (Singtel’s share:  
S$29 million) plus interest. 

On 31 July 2014, TOT submitted a revised petition to adjust the access charge from THB 2,954 million to 
THB 5,454 million (Singtel’s share: S$54 million) calculated up to 16 September 2013 plus value-added tax 
and interest calculated up to 10 July 2014.

AIS’  management  believes  that  the  case  has  no  material  impact  to  its  financial  statements  as  DPC  has 
complied with the law and relevant agreements and the dispute will be settled in favour of DPC. This case is 
pending consideration of the Central Administrative Court.

TOT’s demand for compensation from 900 MHz subscribers porting to 2100 MHz 

On  25  September  2014,  TOT  submitted  a  dispute  to  the  Arbitration  Institute  demanding  AIS  to  pay 
compensation  for  the  porting  of  900  MHz  subscribers  to  2100  MHz,  amounting  to  THB  9,126  million 
(Singtel’s  share:  S$90  million)  plus  interest  at  7.5%  per  annum,  including  fees  and  other  expenses  to  be 
incurred during the arbitration process.

AIS’  management  believes  that  the  case  has  no  material  impact  to  its  financial  statements  as  AIS  has 
complied with the relevant agreements and the dispute will be settled in favour of AIS. This case is pending 
the arbitration procedures.

(c) 

(d) 

Globe, a 47.2% joint venture of the Group, is contingently liable for various claims arising in the ordinary 
conduct of business and certain tax assessments which are either pending decision by the Courts or are being 
contested, the outcome of which are not presently determinable. In the opinion of Globe’s management 
and legal counsel, the eventual liability under these claims, if any, will not have a material or adverse effect 
on the Globe Group’s financial position and results of operations.

The Group holds an equity interest of 35% in Telkomsel. As at 31 March 2015, Telkomsel has filed appeals 
and cross-appeals amounting to approximately IDR 990 billion (Singtel’s share: S$36 million) for various tax 
claims arising in certain tax assessments which are pending final decisions, the outcome of which are not 
presently determinable. 

208

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209

 
 
 
 
 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

43. 

SUBSEQUENT EVENTS

(a) 

In April 2015, the Group entered into a conditional agreement to acquire approximately 98% of the share 
capital  of  Trustwave  Holdings,  Inc.,  for  an  aggregate  consideration  of  approximately  US$810  million, 
excluding net debt, and is subject to working capital adjustments at closing. 

(b) 

In  April  2015,  Singtel  received  approval  from  ASX  Limited  (“ASX”)  to  remove  its  listed  securities  from  the 
official list of ASX. The effective date of delisting will be on 5 June 2015. 

44. 

EFFECTS OF FRS AND INT FRS ISSUED BUT NOT YET ADOPTED

Certain new or revised FRS and INT FRS are mandatory for adoption by the Group for financial year beginning on or 
after 1 April 2015. 

(a) 

(b) 

FRS 115 Revenue from Contracts with Customers 
FRS  115  was  issued  in  November  2014,  which  established  a  single  comprehensive  model  for  entities  to 
use in accounting for revenue arising from contracts with customers. FRS 115 will supersede the revenue 
recognition  guidance  under  FRS  18,  Revenue  and  FRS  11,  Construction  Contracts  as  well  as  the  related 
interpretations  when  it  becomes  effective.  This  will  take  effect  from  financial  year  beginning  on  or  after  
1 April 2017, with retrospective application. 

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FRS 109 Financial Instruments
FRS  109  was  issued  in  December  2014  to  replace  FRS  39,  Financial  Instruments:  Recognition  and 
Measurement. The Standard introduced new requirements for classification and measurement of financial 
assets and financial liabilities, general hedge accounting and impairment requirements for financial assets. 
This will take effect from financial year beginning on or after 1 April 2018, with retrospective application. 

The Group is currently assessing the impact of the above FRS on the financial statements of the Group and the 
Company in the period of initial application. 

The other new or revised FRS and INT FRS are not expected to have a significant impact on the financial statements 
of the Group and the Company in the period of initial application.

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209

 
 
 
 
 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45. 

COMPANIES IN THE GROUP

The  Company’s  immediate  and  ultimate  holding  company  is  Temasek  Holdings  (Private)  Limited,  a  company 
incorporated in Singapore. The following were the significant subsidiaries as well as associates and joint ventures as 
at 31 March 2015 and 31 March 2014.

45.1  Significant subsidiaries incorporated in Singapore

1.

2.

Name of subsidiary 

Principal activities

Amobee Group Pte Ltd

Investment holding

Computer Systems Holdings  
Pte Ltd 

Investment holding

3.

DataSpark Pte. Ltd.

Develop and market data analytics and 
insights products and services

4.

5.

6.

7.

8.

9.

Hawk Digital Holding Co Pte. Ltd.

Investment holding

Hawk Digital Pte. Ltd.

Investment holding

HOOQ Digital Holdings Pte. Ltd.

Investment holding

HOOQ Digital Pte. Ltd.

Provision of regional premium video services

HOOQ Digital SG1 Pte. Ltd.

Investment holding

HOOQ Digital SG2 Pte. Ltd.

Investment holding

10. HOOQ Holdings Pte. Ltd.

Investment holding

11. NCS Communications  

Engineering Pte. Ltd.

Provision of facilities management and 
consultancy services, and distributor of 
specialised telecommunications and data 
communication products

Percentage of effective equity 
interest held by the Group

2015
%

100

100

100

100

100

100

65

65

65

100

100

2014
%

100

100

–

–

–

–

–

–

–

–

100

12. NCS Pte. Ltd. 

Provision of information technology and 
consultancy services

100

100

13. NCSI Holdings Pte. Ltd. 

Investment holding

14. NCSI Solutions Pte. Ltd. 

Provision of information technology services

15.

SCS Computer Systems Pte. Ltd.

Provision of information technology and 
consultancy services

100

100

100

100

100

100

16.

Singapore Telecom Mobile Pte Ltd 

Investment holding and provision of 
consultancy services

100

100

210

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211

 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.1  Significant subsidiaries incorporated in Singapore (Cont’d)

Name of subsidiary 

Principal activities

17.

SingNet Pte Ltd

Provision of internet access and pay 
television services

Percentage of effective equity 
interest held by the Group

2015
%

100

2014
%

100

18.

Singapore Telecom International 
Pte Ltd

Holding of strategic investments and 
provision of technical and management 
consultancy services 

100

100

19.

Singtel Asia Pacific Investments 
Pte. Ltd.

Investment holding and provision of 
consultancy services

100

100

20.

Singtel Asian Investments Pte Ltd

Investment holding 

21.

Singtel Digital Life Pte. Ltd. 

Investment holding

22.

Singtel Group Treasury Pte. Ltd. 

Provision of finance and treasury services 
to Singtel and its subsidiaries

23.

Singtel Idea Factory Pte. Ltd. 

Engaged in research and development, 
products and services development and 
business partnership

24.

Singtel Innov8 Pte. Ltd.

Venture capital investment holding

25.

26.

Singtel International Investments 
Private Limited

Investment holding

Singtel Mobile Singapore Pte. Ltd.  Operation and provision of cellular mobile 
telecommunications systems and services, 
resale of fixed line and broadband services

27.

SingtelSat Pte Ltd 

Provision of satellite capacity for 
telecommunications and video 
broadcasting services

28.

Singtel Singapore Pte. Ltd. 

Investment holding

29.

30.

Singtel Strategic Investments  
Pte Ltd

Investment holding

ST-2 Satellite Ventures 
Private Limited 

Provision of satellite capacity for 
telecommunications and video 
broadcasting services

100

100

100

100

100

100

100

100

100

100

100

100

100

100

100

100

100

100

100

100

61.9

61.9

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210

31.

Subsea Network Services Pte Ltd

Provision of storage facilities for  
submarine telecommunication cables  
and related equipment

100

100

211

 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.1  Significant subsidiaries incorporated in Singapore (Cont’d)

Name of subsidiary 

Principal activities

32.

Sembawang Cable Depot Pte Ltd

Provision of storage facilities for  
submarine telecommunication cables  
and related equipment

Percentage of effective equity 
interest held by the Group

2015
%

60

2014
%

60

33.

Singtel Digital Media Pte Ltd 

Development and management of on-line 
internet portal

100

95.6

34.

Telecom Equipment Pte Ltd 

Engaged in the sale and maintenance of 
telecommunications equipment,  
and mobile finance services

100

100

45.2  Significant subsidiaries incorporated in Australia

Name of subsidiary 

Principal activities

1.

Alphawest Services Pty Ltd (1)

Provision of information  
technology services

2.

3.

Ensyst Pty Limited

Provision of cloud services

Inform Systems Australia Pty Ltd (1) Provision of information  

4.

NCSI (Australia) Pty Limited

technology services 

Provision of information  
technology services

Percentage of effective equity 
interest held by the Group

2015
%

100

100

100

2014
%

100

–

100

100

100

5.

6.

7

8

Optus Administration  
Pty Limited (1)

Provision of management services to  
the Optus Group

100

100

Optus Backbone Investments  
Pty Limited

Investment in telecommunications 
network infrastructure in Australia

Optus Billing Services  
Pty Limited (*)

Provision of billing services to  
the Optus Group

Optus Broadband  
Pty Limited (1)

Provision of high speed residential  
internet service

100

100

100

100

100

100

212

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213

 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.2  Significant subsidiaries incorporated in Australia (Cont’d)

Name of subsidiary 

Principal activities

9.  Optus C1 Satellite Pty Limited 

C1 Satellite contracting party

(formerly known as Cable  
& Wireless Optus Satellites  
Pty Limited) (1)

10. Optus Data Centres Pty Limited (1)

Provision of data communication services

11. Optus Finance Pty Limited (1)

Provision of financial services to  
the Optus Group

12. Optus Insurance Services  

Pty Limited 

Provision of handset insurance and  
related services

13. Optus Internet Pty Limited (1)

Provision of internet services to  
retail customers

14. Optus Mobile Pty Limited (1)

Provision of mobile phone services

15. Optus Narrowband Pty Limited (*)

Provision of narrowband portal  
content services

16. Optus Networks Pty Limited (1)

Provision of telecommunications services

17. Optus Rental & Leasing  

Pty Limited (*)

Provision of equipment rental services  
to customers

Percentage of effective equity 
interest held by the Group

2015
%

100

100

100

2014
%

100

100

100

100

100

100

100

100

100

100

100

100

100

100

100

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18. Optus Stockco Pty Limited (*)

Purchases of Optus Group  
network inventory 

100

100

19. Optus Systems Pty Limited (1)

Provision of information technology 
services to the Optus Group

100

100

20. Optus Vision Interactive  

Provision of interactive television service

100

100

Pty Limited (*)

21. Optus Vision Media Pty Limited (*) (2) Provision of broadcasting related services

22. Optus Vision Pty Limited (1)

Provision of telecommunications services

23.

Perpetual Systems Pty Ltd (1)

Provision of IT disaster recovery services 

24.

Prepaid Services Pty Limited (1)

Distribution of prepaid mobile products

25. Reef Networks Pty Ltd (1)

Operation and maintenance of fibre optic 
network between Brisbane and Cairns

20

100

100

100

100

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20

100

100

100

100

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213

 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.2  Significant subsidiaries incorporated in Australia (Cont’d)

Name of subsidiary 

Principal activities

26.

Singapore Telecom Australia 
Investments Pty Limited 

Investment holding 

27.

Simplus Mobile Pty Limited (1)

Provision of mobile phone services 

28.

Singtel Optus Pty Limited

Investment holding 

29.

Source Integrated Networks  
Pty Limited (1)

Provision of data communications and 
network services

Percentage of effective equity 
interest held by the Group

2015
%

100

100

100

100

2014
%

100

100

100

100

30. Uecomm Operations  

Provision of data communication services

100

100

Pty Limited (1)

31. Virgin Mobile (Australia) 

Provision of mobile phone services

100

100

Pty Limited (1) 

32. Vividwireless Group Limited

Provision of wireless broadband services

33.

XYZed LMDS Pty Limited (*)

Holder of telecommunications licence

34.

XYZed Pty Limited (1)

Provision of telecommunications services

100

100

100

100

100

100

All companies are audited by Deloitte Touche Tohmatsu, Australia, except for those companies denoted (*) where 
no statutory audit is required.

Notes:

(1)  These entities are relieved from the Australian Corporations Act 2001 requirements for preparation, audit and lodgement of financial reports 

pursuant to ASIC Class Order 98/1418 (as amended) dated 13 August 1998.

(2)  Optus Vision Media Pty Limited is deemed to be a subsidiary by virtue of control.

214

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215

 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.3  Significant subsidiaries incorporated outside Singapore and Australia

Name of subsidiary

Principal activities

Country of 
incorporation/
operation

1.

Adconion Media, Inc.

Provision of online media and 
performance marketing services

USA

Percentage of effective equity 
interest held by the Group

2015 
%

100

2014 
%

100

2.

Adconion Pty Limited

Provision of digital marketing 
services

Australia

100

100

3.

Amobee, Inc. (2)

Provision of digital marketing 
services

USA

100

100

4.

GB21 (Hong Kong) Limited  Provision of telecommunications 

Hong Kong

100

100

services and products

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5.

6.

7.

8.

9.

HOOQ Digital Mauritius 
Private Limited

Content operations and 
procurement

Mauritius

65

–

Information Network 
Services Sdn Bhd 

Provision of marketing and 
administrative support

Malaysia

100

100

Kontera Technologies, Inc. Provision of advertising solutions

USA

Lanka Communication 
Services (Pvt) Limited 

Provision of telecommunications 
services

Sri Lanka

NCS Information 
Technology (Suzhou)  
Co., Ltd. (3)

Software development and 
provision of information 
technology services

10. NCSI (Chengdu) Co., Ltd (3) Provision of information technology 

research and development, and 
other information technology 
related services

People’s 
Republic of 
China

People’s 
Republic of 
China

100

82.9

100

82.9

100

100

100

100

11. NCSI (HK) Limited 

Provision of information 
technology services

Hong Kong

100

100

12. NCSI (Korea) Co., Limited 

Provision of information 
technology consultancy and 
system integration services

South Korea

100

100

13. NCSI Lanka 

(Private) Limited 

Provision of information 
technology and communication 
engineering services

Sri Lanka

100

100

14. NCSI (Malaysia) 
Sdn Bhd 

Provision of information 
technology services

Malaysia

100

100

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215

 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.3  Significant subsidiaries incorporated outside Singapore and Australia (Cont’d)

Name of subsidiary

Principal activities

15. NCSI (ME) W.L.L. 

16. NCSI (Philippines) Inc. 

Provision of information 
technology and communication 
engineering services

Provision of information 
technology and communication 
engineering services

Country of 
incorporation/
operation

Bahrain

Percentage of effective equity 
interest held by the Group

2015 
%

100

2014 
%

100

Philippines 

100

100

17. NCSI (Shanghai), 
Co. Ltd (3)

Provision of system integration, 
software research and 
development and other 
information technology-related 
services

People’s 
Republic of 
China 

18.

Pastel Limited

Investment holding

Mauritius

19.

Pixable, Inc. 

Digital content marketing and 
creating editorial content

USA

20.

Shanghai Zhong Sheng 
Information Technology 
Co., Ltd. (*) (3)

Provision of information 
technology training and software 
resale

People’s 
Republic of 
China

100

100

100

100

100

100

100

100

21.

Singtel Global  
Private Limited

Provision of infotainment products 
and services, and investment 
holding 

Mauritius

100

100

22.

23.

24.

25.

26.

27.

Singtel Global India  
Private Limited 

Provision of telecommunications 
services and all related activities

India

100

74

Singtel Mobile  
Marketing, Inc.

Investment holding 

USA

100

100

Singapore Telecom  
Hong Kong Limited 

Provision of telecommunications 
services and all related activities 

Hong Kong

100

100

Singapore Telecom  
India Private Limited 

Engaged in general liaison and 
support services

India

100

100

Singapore Telecom  
Japan Co Ltd 

Provision of telecommunications 
services and all related activities

Japan

100

100

Singapore Telecom  
Korea Limited

Provision of telecommunications 
services and all related activities

South Korea

100

100

216

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Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.3  Significant subsidiaries incorporated outside Singapore and Australia (Cont’d)

Name of subsidiary

Principal activities

Country of 
incorporation/
operation

Singapore Telecom  
USA, Inc.

Provision of telecommunications, 
engineering and marketing services

USA

Percentage of effective equity 
interest held by the Group

2015 
%

100

2014 
%

100

Singtel Australia  
Investment Ltd 

Investment holding 

British Virgin 
Islands

100

100

28.

29.

30.

Singtel (Europe) Limited 

Provision of telecommunications 
services and all related activities

United 
Kingdom

100

100

31.

SingTel (Philippines), Inc.

Engaged in general liaison and 
support services

Philippines

100

100

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32.

Singtel Taiwan Limited 

Provision of telecommunications 
services and all related activities

Taiwan

100

100

33.

SingTel Ventures (Cayman) 
Pte Ltd 

Investment holding

Cayman 
Islands

100

100

34.

Sudong Sdn. Bhd.

Management, provision and 
operations of a call centre for 
telecommunications services

Malaysia

100

100

35. Viridian Limited

Investment holding

Mauritius

100

100

All companies are audited by a member firm of Deloitte Touche Tohmatsu LLP except for the company denoted (*) 
which is audited by another firm. 

Notes:

(1)  The place of the business of the subsidiaries are the same as their country of incorporation, unless otherwise specified. 

(2)  During the financial year, Amobee, Inc. acquired 100% equity interests in Kontera and Adconion. The Company has operations mainly in the 

USA, Australia, Israel, Singapore and the United Kingdom. 

(3)  Subsidiary’s financial year-end is 31 December.

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217

 
 
  
 
 
 
Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.4  Associates of the Group

Name of associate

Principal activities

ADSB  
Telecommunications B.V. 

Dormant

Country of 
incorporation/
operation

Netherlands

Percentage of effective equity 
interest held by the Group

2015 
%

25.6

2014 
%

25.6

APT Satellite  
Holdings Limited (2)

Investment holding 

Bermuda

20.3

20.3

APT Satellite International 
Company Limited (2)

Investment holding 

British Virgin 
Islands

28.6

28.6

1.

2.

3.

4. 

NetLink Trust (3) 

To own, install, operate and 
maintain the passive infrastructure 
for Singapore’s Next Generation 
Nationwide Broadband Network 

Singapore

100.0

100.0

5.

Singapore Post Limited (4)

Operation and provision of postal, 
logistics and retail services

Singapore

23.0

25.5

6.

Telescience Singapore  
Pte Ltd 

Sale, distribution and installation of 
telecommunications equipment 

Singapore

50.0

50.0

7.

Viewers Choice Pte Ltd 

Provision of services relating to 
motor vehicle rental and retail of 
general merchandise

Singapore

49.2

49.2

Notes:

(1)  The place of business of the associates are the same as their country of incorporation. 

(2)  The company has been equity accounted for in the consolidated financial statements based on results ended, or as at, 31 December 2014, the 

financial year-end of the company. 

(3)  Audited by Deloitte & Touche LLP, Singapore. NetLink Trust is a business trust established as part of IDA’s effective open access requirements 
under Singapore’s Next Generation Nationwide Broadband Network, and is currently 100% owned by Singtel. It is regarded as an associate as 
Singtel does not have effective control in the trust.

(4)  Audited by PricewaterhouseCoopers LLP, Singapore.

45.5  Joint ventures of the Group

1.

2.

Name of joint venture

Principal activities

Abacus Travel Systems  
Pte Ltd 

Marketing and distributing certain 
travel-related services through 
on-line airline computerised 
reservations systems

Acasia Communications 
Sdn Bhd (3)

Provision of networking services 
to business customers operating 
within and outside Malaysia

Percentage of effective equity 
interest held by the Group

Country of 
incorporation/
operation

Singapore

2015
%

30.0

2014
%

30.0

Malaysia

14.3

14.3

218

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Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.5  Joint ventures of the Group (Cont’d)

Name of joint venture

Principal activities

3.

ACPL Marine Pte Ltd

4.

Advanced Info Service 
Public Company Limited (4)

5.

ASEAN Cableship Pte Ltd

To own, operate and manage 
maintenance-cum-laying 
cableships

Provision of mobile, broadband, 
international telecommunications 
services, call centre and data 
transmission

Operation of cableships for 
laying, repair and maintenance of 
submarine telecommunication 
cables

Percentage of effective equity 
interest held by the Group

Country of 
incorporation/
operation

Singapore

2015
%

41.7

2014
%

41.7

Thailand

23.3

23.3

Singapore

16.7

16.7

F
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I

6.

7.

8.

ASEAN Telecom Holdings 
Sdn Bhd (3)

Investment holding 

Malaysia

14.3

14.3

Asiacom Philippines, Inc. (3)

Investment holding 

Philippines

Bharti Airtel Limited (5) 

Provision of mobile, long distance, 
broadband and telephony 
telecommunications services, 
enterprise solutions, pay television 
and passive infrastructure

India 

9.

Bharti Telecom Limited (5)

Investment holding

India

10. Bridge Mobile Pte. Ltd. 

Provision of regional mobile 
services

Singapore

40.0

32.4

39.8

33.8

40.0

32.4

39.8

33.8

218

15. Main Event Television  

Pty Limited

Provision of cable television 
programmes 

Australia

33.3

33.3

219

11. Globe Telecom, Inc. (6)

Provision of mobile, broadband, 
international and fixed line 
telecommunications services

Philippines

47.2

47.2

12. Grid Communications  

Pte. Ltd. (3)

Provision of public trunk radio 
services

Singapore

50.0

50.0

13.

Indian Ocean Cableship 
Pte. Ltd.

Leasing, operating and managing 
of maintenance-cum-laying 
cableship

Singapore

50.0

50.0

14.

International Cableship 
Pte Ltd

Ownership and chartering of 
cableships

Singapore

45.0

45.0

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Notes to the 
Financial Statements

For the financial year ended 31 March 2015

45.5  Joint ventures of the Group (Cont’d)

Name of joint venture

Principal activities

16. OPEL Networks Pty Limited  Dormant 

17.

Pacific Bangladesh 
Telecom Limited (7) 

18.

Pacific Carriage Holdings 
Limited (8)

Provision of mobile 
telecommunications, broadband 
and data transmission services

Operation and provision of 
telecommunications facilities and 
services utilising a network of 
submarine cable systems

Percentage of effective equity 
interest held by the Group

Country of 
incorporation/
operation

Australia 

Bangladesh

2015
%

50.0

45.0

2014
%

50.0

45.0

Bermuda

39.99

39.99

19.

PT Telekomunikasi Selular (9) Provision of mobile 

Indonesia

35.0

35.0

telecommunications and related 
services

20. Radiance Communications 

Pte Ltd (3)

Sale, distribution, installation 
and maintenance of 
telecommunications equipment 

Singapore

50.0

50.0

21.

Southern Cross Cables 
Holdings Limited (8) (10)

22.

SSBI Pte. Ltd.

Operation and provision of 
telecommunications facilities and 
services utilising a network of 
submarine cable systems

Provision of business
and management consultancy 
services

Bermuda

39.99

39.99

Singapore

50.0

50.0

23. VA Dynamics Sdn. Bhd. (3)

Distribution of networking cables 
and related products

Malaysia

49.0

49.0

Notes:

(1)  The place of business of the joint ventures are the same as their country of incorporation, unless otherwise specified. 

(2)  The  Group  holds  substantive  participating  rights  over  the  significant  financial  and  operating  decisions  of  the  above  joint  ventures,  which 

enables the Group to exercise joint control with the other shareholders. 

(3)  The company has been equity accounted for in the consolidated financial statements based on the results ended, or as at, 31 December 2014, 

the financial year-end of the company.

(4)  Audited by KPMG Phoomchai Audit Ltd, Bangkok.

(5)  Audited by S.R.Batliboi & Associates, New Delhi (a member firm of Ernst & Young). The company has operations in India, Bangladesh, Sri Lanka, 

and 17 countries across Africa. 

(6)  Audited by SGV & Co. (a member firm of Ernst & Young).

(7)   Audited by S. F. Ahmed & Co (SFACO).

(8)  The  Southern  Cross  Cable  Consortium  operates  through  two  separate  companies.  Southern  Cross  Cables  Holdings  Limited  owns  a  cable 
network between Australia and the USA, with operations outside the USA. Pacific Carriage Holdings Limited has operations within the USA.

(9)  Audited by Purwantono, Suherman & Surja (a member firm of Ernst & Young).

(10)  Audited by KPMG, Bermuda. 

220

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PB

 
  
 
 
 
interested Person 
Transactions

The  aggregate  value  of  all  interested  person  transactions  during  the  financial  year  ended  31  March  2015  (excluding 
transactions less than S$100,000) were as follows –

Name of interested person

Advanced Info Service Public Company Limited
Aetos Security Management Pte Ltd
Fullerton Fund Management Company Ltd
Grid Communications Pte Ltd 
iDirect Asia Pte Ltd
iShopAero Pte Ltd
Mapletree Commercial Property Management Pte Ltd
Mapletree Investment Pte Ltd
MediaCorp Pte Ltd
NexWave Technologies Pte Ltd
Nucleus Connect Pte Ltd
Radiance Communications Pte Ltd
S & I Systems Pte Ltd
Singapore Technologies Aerospace Ltd
Singapore Technologies Electronics Limited
Singapore Technologies Kinetics Ltd
SingEx Exhibition Ventures Pte Ltd
SMRT Trains Ltd
SP PowerAssets Limited
SPI Electricity Pty Ltd
SP Telecommunications Pte Ltd
StarHub Ltd
StarHub Cable Vision Ltd
StarHub Mobile Pte Ltd
ST Electronics (Info-Comm Systems) Pte Ltd
ST Electronics (Satcom & Sensor Systems) Pte Ltd
STELOP Pte Ltd
Temasek Holdings (Private) Limited

S$ Mil

 2.7 
 2.1 
 0.4 
 0.7 
 0.2 
 0.7 
 0.4 
 2.4 
 1.0 
 0.7 
 4.8 
 1.9 
 0.7 
 0.2 
 3.6 
 0.3 
 0.3 
 0.1 
 1.2 
 1.1 
 10.0 
 25.6 
 30.9 
 3.9 
 0.4 
 0.1 
 0.1 
 0.1 

 96.6

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221

 
  
 
 
 
 
Shareholder 
information

As at 25 May 2015

ORDINARy SHARES

Number of ordinary shareholders

298,709

Voting rights:
On a show of hands – every member present in person and each proxy shall have one vote
On  a  poll  –  every  member  present  in  person  or  by  proxy  shall  have  one  vote  for  every  share  he  holds  or  represents  
(The Company cannot exercise any voting rights in respect of shares held by it as treasury shares)

Singtel shares are listed on Singapore Exchange Securities Trading Limited. As at 25 May 2015, Singtel shares were listed 
on ASX Limited (ASX) (in the form of CHESS Depositary Interests), however Singtel delisted from the Australian Securities 
Exchange on 5 June 2015. 

SUBSTANTIAL SHAREHOLDERS

Temasek Holdings (Private) Limited

Note:
(1)  Deemed through interests of a subsidiary and associated companies.  

MAJOR SHAREHOLDERS LIST – TOP 20

No.

Name

Temasek Holdings (Private) Ltd
Citibank Nominees Singapore Pte Ltd
DBS Nominees Pte Ltd
DBSN Services Pte Ltd
Central Provident Fund Board - SP TEL Group A Share
HSBC (Singapore) Nominees Pte Ltd
United Overseas Bank Nominees Pte Ltd
BNP Paribas Securities Services
Raffles Nominees (Pte) Ltd
CHESS Depositary Nominees Pty Limited (3)
DB Nominees (S) Pte Ltd

1
2
3
4
5
6
7
8
9
10
11
12 OCBC Nominees Singapore Private Limited
Societe Generale Singapore Branch
13
14 Merrill Lynch (Singapore) Pte Ltd
15
Bank Of Singapore Nominees Pte Ltd
16 Morgan Stanley Asia (S) Securities Pte Ltd
17 Macquarie Capital Securities
18
19
20

Chua Sock Koong
Yeo Wei Yan
Yeo Kok Seng

Direct
Interest

Deemed
Interest

8,159,720,944

18,622,542 (1)

No. of
shares held

% of issued
share capital (1)

8,159,720,944
1,743,406,103
1,697,997,420 (2)
1,457,064,479
883,720,160
617,011,111
334,206,199
234,572,384
123,445,148
102,845,802
18,401,613
15,583,250
15,119,200
11,061,129
10,937,065
5,952,264
5,499,464
5,001,987
4,522,000
4,445,610
15,450,513,332 

51.18
10.94
10.65
9.14
5.54
3.87
2.10
1.47
0.77
0.65
0.12
0.10
0.09
0.07
0.07
0.04
0.03
0.03
0.03
0.03
96.92 

Notes:
(1)  The percentage of issued ordinary shares is calculated based on the number of issued ordinary shares of the Company as at 25 May 2015, excluding 

1,812,358 ordinary shares held as treasury shares as at that date.

(2)  Excludes 1,812,358 ordinary shares held by DBS Nominees Pte Ltd as treasury shares for the account of the Company.
(3)  The shares held by CHESS Depositary Nominees Pty Limited are held on behalf of the persons entered in the register of holders of CHESS Units of 

Foreign Securities relating to ordinary shares in the Company.

222

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223

 
 
 
  
 
 
 
Shareholder 
information

As at 25 May 2015

ANALySIS OF SHAREHOLDERS 

Range of holdings

1 - 99

100 - 1,000

1,001 - 10,000

10,001 - 1,000,000

1,000,001 and above

No. of
holders

2,466

246,598

43,241

6,362

42

298,709 

% of
holders

0.83

82.55

14.48

2.13

0.01

No. of
shares

93,841

58,386,896

138,423,076

249,731,189

15,496,941,947

100.00 

15,943,576,949 

% of issued
share capital

0.00

0.36

0.87

1.57

97.20

100.00

Note:
Based on information available to the Company as at 25 May 2015, approximately 49% of the issued ordinary shares of the Company is held by the public 
and, therefore, Rule 723 of the Listing Manual issued by the Singapore Exchange Securities Trading Limited is complied with. The percentage of issued 
ordinary shares held by the public is calculated based on the number of issued ordinary shares of the Company as at 25 May 2015, excluding 1,812,358 
ordinary shares held as treasury shares as at that date. The percentage of such treasury shares against the total number of issued ordinary shares (excluding 
ordinary shares held as treasury shares) is 0.01%.

SHARE PURCHASE MANDATE
At the Extraordinary General Meeting of the Company held on 25 July 2014 (2014 EGM), the shareholders approved the 
renewal of a mandate to enable the Company to purchase or otherwise acquire not more than 5% of the issued ordinary 
share capital of the Company as at the date of the 2014 EGM. As at 25 May 2015, there is no current on-market buy-back 
of shares pursuant to the mandate.

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223

 
  
 
 
 
 
Corporate
Information (1)

BOARD OF DIRECTORS
Simon Israel (Chairman)
Bobby Chin 
Chua Sock Koong (Group CEO)
Fang Ai Lian
Venky Ganesan
Low Check Kian
Peter Mason AM (2)
Kai Nargolwala
Christina Ong 
Peter Ong 
Teo Swee Lian

AUDIT COMMITTEE
Fang Ai Lian (Chairman)
Bobby Chin
Christina Ong 
Peter Ong 
Teo Swee Lian

CORPORATE GOVERNANCE AND 
NOMINATIONS COMMITTEE
Kai Nargolwala (Chairman)
Simon Israel
Low Check Kian 
Christina Ong

EXECUTIVE RESOURCE AND 
COMPENSATION COMMITTEE
Kai Nargolwala (Chairman)
Fang Ai Lian
Simon Israel
Peter Mason AM (2)
Teo Swee Lian

FINANCE AND INVESTMENT 
COMMITTEE
Simon Israel (Chairman)
Venky Ganesan
Low Check Kian 
Kai Nargolwala

RISK COMMITTEE
Bobby Chin (Chairman)
Peter Ong 
Teo Swee Lian

OPTUS ADVISORY COMMITTEE
Peter Mason AM (2) (Chairman)
Chua Sock Koong
David Gonski AC (3) 
Simon Israel
John Morschel
Paul O’Sullivan

TECHNOLOGY ADVISORY PANEL
Koh Boon Hwee (Chairman)
Gregory Becker
Venky Ganesan
Doug Haynes
Lim Chuan Poh
Jonathan Miller
Erez Ofer

ASSISTANT COMPANY SECRETARY
Lim Li Ching

SINGTEL AMERICAN DEPOSITARY 
RECEIPTS
Citibank Shareholder Services
PO Box 43077
Providence, Rhode Island 02940-3077
USA
Tel: 1 877 248 4237 
(Toll free within USA)
Tel: +1 781 575 4555 (Outside USA)
Email: citibank@shareholders-online.com
Website: www.citi.com/dr

REGISTERED OFFICES
In Singapore:
31 Exeter Road
Comcentre
Singapore 239732
Republic of Singapore 
Tel: +65 6838 3388
Fax: +65 6732 8428
Website: www.singtel.com

In Australia:
Level 4, Building C
1 Lyonpark Road, Macquarie Park
NSW 2113 Australia
Tel: +61 2 8082 7800
Fax: +61 2 8082 7100
Website: www.optus.com.au

SHARE REGISTRARS
In Singapore: 
M & C Services Private Limited 
112 Robinson Road 
#05-01 
Singapore 068902 
Republic of Singapore 
Tel: +65 6228 0544 
Fax: +65 6225 1452 
Email: annualreports@mncsingapore.com
Website: www.mncsingapore.com

In Australia: 
Computershare Investor Services 
Pty Limited
Post: GPO Box 242
Melbourne VIC 8060, Australia
Hand delivery: Level 4, 60 Carrington Street
Sydney, NSW 2000 Australia 
Tel: 1800 501 501
(Enquiries within Australia)
Tel: +61 3 9415 4029 
(Outside Australia) 
Fax: +61 3 9473 2500 
Online Contact: 
www.investorcentre.com/contact 
Website: www.computershare.com.au 

AUDITORS 
Deloitte & Touche LLP 
(appointed on 28 July 2006)
6 Shenton Way 
OUE Downtown 2
#33-00
Singapore 068809
Republic of Singapore 
Tel: +65 6224 8288
Fax: +65 6538 6166

Audit Partner: Chaly Mah Chee Kheong

INVESTOR RELATIONS 
31 Exeter Road
#19-00 Comcentre
Singapore 239732
Republic of Singapore 
Tel: +65 6838 2123
Email: investor@singtel.com

Notes:
(1)  As at 25 May 2015.
(2)   Member of the Order of Australia.
(3)   Companion of the Order of Australia.

224

 
Contact 
Points

SINGAPORE
Singtel Headquarters 
31 Exeter Road, Comcentre 
Singapore 239732
Republic of Singapore 
Tel: +65 6838 3388 
Fax: +65 6732 8428 
Website: www.singtel.com 

NCS Pte. Ltd 
5 Ang Mo Kio Street 62 
NCS Hub, Singapore 569141 
Republic of Singapore
Tel: +65 6556 8000 
Fax: +65 6556 7000 
Email: reachus@ncs.com.sg 

AUSTRALIA
Singtel Optus Pty Limited 
Sydney (Head Offi  ce) 
Optus Centre Sydney 
1 Lyonpark Road, Macquarie Park 
NSW 2113, Australia 
Tel: +61 2 8082 7800 
Fax: +61 2 8082 7100
Website: www.optus.com.au 

Adelaide 
Level 6, 108 North Terrace
Adelaide, SA 5000, Australia 
Tel: +61 87328 5114 
Fax: +61 1800 500 261

Brisbane 
Level 9, 15 Green Square Close 
Fortitude Valley, QLD 4006, Australia
Tel: +61 7 3317 3700 
Fax: +61 7 3317 3320 

Canberra 
Level 3, 10 Moore Street 
Canberra, ACT 2601, Australia
Tel: +61 2 6222 3800 
Fax: +61 2 6222 3838 

Darwin 
Optus Centre Darwin
49 Woods Street, Darwin
NT 0800, Australia 
Tel: +61 8 8901 4500 
Fax: +61 8 8901 4505 

Melbourne 
367 Collins Street 
Melbourne, VIC 3000, Australia
Tel: +61 3 9233 4000
Fax: +61 3 9233 4900 

Perth 
Level 3, 1260 Hay Street 
West Perth, WA 6005, Australia 
Tel: +61 8 9288 3000 
Fax: +61 8 9288 3030 

SINGTEL GLOBAL OFFICES

BANGLADESH 
Dhaka 
Singapore Telecommunications 
Limited (Bangladesh Liaison Offi  ce) 
Bay’s 50, 15th Floor, South Block 
50 Mohakhali Dhaka – 1212 
Bangladesh
Tel: +880 2 883 5120
Fax: +880 2 988 0037 
Email: SGOBLDSH@singtel.com

CHINA
Beijing 
Unit 1503, Beijing Silver Tower 2 
Dongsanhuanbei Road
Chaoyang District, Beijing 100027 
People’s Republic of China 
Tel: +86 10 6410 6193 / 4 / 5 
Fax: +86 10 6410 6196 
Email: singtel-beij@singtel.com 

Guangzhou 
Room 3615,36F, BLK B
China Shine, No. 9
Lin He Xi Road, Tian He District
Guangzhou, 510610 
People’s Republic of China
Tel: +86 20 3886 3887 
Fax: +86 20 3882 5545

Shanghai 
Unit 707, 7F, KIC Plaza, No. 333 
Song Hu Road, Shanghai 200433 
People’s Republic of China 
Tel: +86 21 3362 0388 
Fax:+86 21 3362 0389 
Email: singtel-sha@singtel.com 

EUROPE
Frankfurt 
Platz der Einheit 1 
60327 Frankfurt am Main, Germany 
Tel: +49 69 975 03 445 
Fax: +49 69 975 03 200 
Email: singtel-germany@singtel.com 

London 
Birchin Court 
20 Birchin Lane 
London EC3V 9DU
United Kingdom 
Tel: +44 20 7122 8000 
Fax: +44 20 7122 8088 
Email: singtel-uk@singtel.com 

HONGKONG
Tsimshatsui 
Suites 2002-6, Tower 6 
The Gateway, 9 Canton Road 
Tsimshatsui, Kowloon, Hong Kong 
Tel: +852 2877 1500 
Fax: +852 2802 1500 
Email: singtel-hk@singtel.com 

INDIA
Bangalore 
Suite No. 304 DBS Business Centre
26 Cunningham Road
Bangalore 560052, India
Tel: +91 80 2226 7272
Fax: +91 80 2225 0509
Email: singtel-ind@singtel.com

Chennai 
20/30, Paras Plaza 
3rd Floor, Cathedral Garden Road 
Nungambakkam, 
Chennai – 600 034, India 
Tel: +91 44 4264 9410 
Fax: +91 44 4264 9414 
Email: singtel-ind@singtel.com 

Hyderabad 
Reliance Business Centre, 303 
Swapna Lok Complex, 92 
Sarojini Devi Road 
Secunderabad - 500003, India 
Tel: +91 40 2781 2699 
Fax: +91 40 2781 2724 
Email: singtel-ind@singtel.com 

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Contact 
Points

Mumbai
Sahar Plaza 
111 Bonanza Wing B 
Mathuradas Vasanji Road
Andheri East, Mumbai 400059, India
Tel: +91 22 2824 4999 / +91 22 4075 7777 
Fax: +91 22 2824 4996 
Email: singtel-ind@singtel.com 

KOREA
Seoul
135-983, 11 Flr, Capital Tower
736-1, Yeoksam-dong, Kangnam-Gu
Seoul, Korea
Tel: 82 2 3287 7575
Fax: 82 2 3287 7589
Email: singtel-kor@singtel.com

THAILAND 
Bangkok 
9th Floor, Unit 6
500 Amarin Tower 
Ploenchit Road, Lumpini 
Pathumwan, Bangkok 10330, Thailand
Tel: +66 2 256 9875 / 6
Fax: +66 2 256 9808
Email: sophida@singtel.com

New Delhi 
5th Floor, A Wing, Statesman House 
148 Barakhamba Road 
New Delhi 110001, India 
Tel: +91 11 4152 1199 / +91 11 4362 1199 
Fax: +91 11 4152 1683 
Email: singtel-ind@singtel.com 

INDONESIA
Jakarta 
Noble House, 9th Floor 
Jalan Lingkar Mega Kuningan 
Kav.E-42 No. 2
Jakarta 12950, Indonesia 
Tel: +62 21 2978 3058
Email: singtel-ina@singtel.com 

JAPAN
Osaka 
3F Shin-Osaka Hankyu Building
1-1-1 Miyahara Yodogawa-ku 
Osaka 530-0003, Japan
Tel: +81 6 7668 8417 
Fax: +81 6 6458 1401
Email: singtel-jpn@singtel.com 

Tokyo 
Arco Tower 9F
1-8-1 Shimomeguro
Meguro-ku 
Tokyo 153-0064, Japan
Tel: +81 3 5437 7033
Fax: +81 3 5437 7066 
Email: singtel-jpn@singtel.com 

MALAYSIA
Kuala Lumpur 
602B, Level 6, Tower B, Uptown 55 
Jalan SS21/39, Damansara Uptown 
47400 Petaling Jaya 
Selangor Darul Ehsan, Malaysia
Tel: +603 7728 2813
Fax: +603 7727 6186
Email: sgomals@singtel.com 

MIDDLE EAST 
Dubai
Dubai Internet City Building #1
#1 Floor Offi  ce
#110 P O Box 502430
Dubai United Arab Emirates
Tel: +971 4363 6705
Fax: +971 4361 1063
Email: g-singtel-me@singtel.com

PHILIPPINES 
Manila 
Unit 1504 Liberty Center 
104 H V de la Costa Street 
Salcedo Village, Makati City 1227
Philippines
Tel: +63 2 887 2791
Fax: + 63 2 887 2763 
Email: singtel-phil@singtel.com 

TAIWAN
Taipei 
2F, No 290, Section 4
Chung Hsiao East Road, Taipei 
Taiwan, Republic of China 
Tel: +886 2 2741 1688
Fax: +886 2 2778 6083 
Email: singtel-twn@singtel.com 

USA
San Francisco (Head Offi  ce)
100 Marine Parkway, Suite 450 
Redwood City, CA 94065, USA 
Tel: +1 650 508 6800 
Fax: +1 650 508 1578
Email: singtel-usa@singtel.com

Chicago 
8770 West Bryn Mawr Avenue 
Suite 1314 
Chicago, IL 60631, USA
Tel: +1 773 867 8122
Fax: +1 773 867 8121 
Email: singtel-usa@singtel.com 

New York 
140 Broadway 
Suite 2110 
New York, NY 10015, USA
Tel: +1 212 269 7920
Fax: +1 212 269 7939
Email: singtel-usa@singtel.com 

VIETNAM 
Hanoi 
Suite 704, CMC Tower 
7th Floor
Duy Tan Street
Dich Vong Hau Ward
Cau Giay District 
Hanoi City, Vietnam
Tel: +84 4 3943 2161
Fax: +84 4 3943 2163
Email: singtel-vn@singtel.com

226

SINGAPORE 
TELECOMMUNICATIONS 
LIMITED

31 Exeter Road
Comcentre
Singapore 239732
Republic of Singapore

+65 6838 3388

+65 6732 8428

  www.singtel.com

Copyright © 2015
Singapore Telecommunications Limited
(CRN:199201624D)
All rights reserved 

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