Goldman Sachs says focus in SingTel’s (Z74.SG) 2Q11 results will be on performance of SingTel’s Singapore, Australian businesses, as key associates have reported September-quarter results (Bharti Airtel today reported 27% on-year drop in 2Q net profit); tips 2Q net profit at $934 million. 

Says, Singapore currently tracking ahead of guidance with 1Q11 sales +9.9% (vs guidance of mid-single-digit growth), EBITDA +2.7% (vs guidance of low- to mid-single-digit decline). 

“While we expect strong top line momentum to continue (largely driven by mobiles), costs are set to rise as SingTel looks to drive scale in its new initiatives (e.g. mio TV).” 

 

Adds, with launch of National Broadband Network in quarter, “we may get some clarity on what SingTel’s product margins look like in an NBN world.” Rates at Hold with $2.60 target. Results due tomorrow; shares off 2.4% at $3.24.