Page 94 - Annual Report 2014

Our economic policies and strategies create value for We regularly invest in both short- and long-term Overview
both shareholders and stakeholders. Our shareholders technology innovation. Short-term innovation is usually
have enjoyed sustained and healthy returns over the deployed within one to three years and encompasses starhub Strategy
years. At the same time, our operations contribute upgrades to network infrastructure and evolutionary provided
to the larger economy of Singapore by building development based on established industry roadmaps Performance
and maintaining a robust info-communications (e.g. 4G to 5G; fibre upgrades). On the other hand, long- 3,281
infrastructure. Our information and telecommunications term innovation refers to technology that is currently
services boost competitiveness and productivity of in its nascent stage and may not actually reach mass Direct Jobs
businesses, and empower the community. Our indirect market adoption until three to seven years later. Areas
economic contributions also include creation of direct that StarHub is exploring include Internet of Things, across the Group
and indirect jobs, taxes paid and regular investments in Smart Transportation and new wireless technologies. as of end December
the community. 2014 and a large
Financial Assistance from the Government number of indirect
StarHub provided 3,281 direct jobs across the Group as We received $49,496 in subsidy for employee training in jobs through our
of end December 2014. We also create a large number 2014 under schemes run by organisations such as WDA suppliers, retailers
of indirect jobs through our suppliers, retailers and and IDA. and business
business partners. partners.

Our operating expenditure, including staff costs, Financial Performance Governance
exceeded $1.9 billion in 2014, contributing to the A summarised version of our economic performance
national economic activity. We paid $275 million in is presented below in accordance with the GRI G4
wages, adding further value to the local economy. guidelines. These figures have been extracted from
the Audited Annual Report approved by the Board of
Supporting Local Suppliers Directors for the respective financial years. Please refer
Our support to local suppliers indirectly contributes to to Group Financial Review and Financial Statements
the national economic development through supporting sections of this report for more detailed information on
jobs and tax opportunities for the government. Local our financial performance.
suppliers accounted for 86% of our entire supplier base
in 2014. The local suppliers accounted for 91% of the Summary of StarHub’s Economic Performance ($m) Financials
total purchases in 2014.
Economic Performance Indicators
Investing In Infrastructure
We continue to invest in upgrading the 2014 2013 2012
telecommunications, broadband and TV infrastructure 2,434
to adopt the latest technologies and energy efficiency. A Operating revenue 2,387 2,370
major portion of our $321.6 million CAPEX was used for 370
infrastructural investments and 4G spectrum licences. Net profit 371 380 2,001
Investing In Research and Development
Operating costs (including staff costs) 1,957 1,946 266
343
Staff costs 275 277

Dividends paid to shareholders 345 344

Representatives from
LTA, SMRT, StarHub
and IBM agreed to
collaborate to improve
transport with data for
commuters in Singapore.

StarHub Ltd | Annual Report 2014 91