SLT Group profits up 13.6% to Rs 4.6b

Friday, 11 November 2016 00:48 - - {{hitsCtrl.values.hits}}

Sri Lanka Telecom Plc reported revenue of Rs. 55.7 billion during the first nine months of 2016, exhibiting a year on year (YoY) growth of 9.5%.

The growth was largely driven by an increased demand for data and broadband related products that were introduced to the market through LTE coverage expansion and fibre optic-based ultra-high speed broadband for higher data volumes.

Operating cost of the group increased by 15.2% to Rs. 39.7 billion largely due to the increase of the International Telecommunication Operators Levy and the restoration of telecommunication infrastructure affected by natural disasters during the second quarter of the year. Revenue increased by 7.2% YoY to Rs. 32.4 billion at the holding company level, with operating expenses increasing by 10.8% to Rs. 24.3 billion.

The Group reflected a YoY Earnings After Tax (EAT) growth of 13.6% to Rs.4.6 billion, which when compared to the same period last year shows the positive impact of lower foreign currency translation losses.

Releasing nine months’ financial results, Group Chief Executive Officer Dileepa Wijesundera stated that the continuous and robust top line growth of the group was a direct reflection of the investments made on improving user experience through innovative and high quality Information Communication and Entertainment (ICE) services. .

Group Chairman Kumarasinghe Sirisena also expressed his pleasure on the overall group performance stating that the growth momentum would continue through synergetic strategies.

The group comprises the holding company and eight subsidiaries including the mobile arm Mobitel Ltd.