FPT released Q1 2017 preliminary results including NPAT of VND413 billion (USD18 million, +19% vs Q1 2016). Telecom PBT accelerated nicely on the absence of last-mile costs related to HCMC and Hanoi fiberization, although its broadband subscriber base is not expanding as well as we expected due to FPT Telecom’s recent price hikes. Software also delivered a robust quarter even though its performance will likely improve further in the subsequent quarters thanks to more project deliveries.