SLT Group records Rs. 3.25 b PBT in first half

The leading national integrated telecommunications service provider Sri Lanka Telecom (SLT) released its company and group financial results for the first six months of 2013.

The SLT group comprises holding company Sri Lanka Telecom (PLC) and seven other subsidiaries including the group mobile arm Mobitel (Pvt) Ltd.

During the first half of 2013, the group recorded a Net Profit Before Tax (NPBT) of Rs. 3.25 billion, a growth of 37% compared to the corresponding period of the previous year and a Net Profit After Tax (NPAT) of Rs. 2.33 billion, a growth of 79%. In respect of last year, the reduced exchange loss Rs. 1.91 billion led to significant growth in the period under review.

The remarkable performance of mobile, data, enterprise and wholesale sectors have contributed towards the increase of group revenue by 5% to Rs. 29.17 billion. Group operating costs escalated by 11% to Rs. 20.42 billion during the first half 2013 compared to Rs. 18.44 billion in the corresponding period of the past year due to operational expansion and inflation.

Net margin has improved to 8% from 5% for the first six months of the previous year. However, the group EBITDA (Earnings Before Interest, Tax Depreciation and Amortisation) margin for the first half 2013 dipped to 30% from 34% in the corresponding period of the past year deteriorating SLT company EBITDA margin.

During the first half of 2013 the group made a significant investment of Rs. 9.49 billion to expand its mobile, data and other infrastructure facilities, compared to Rs.7.92 billion during the corresponding period of the past year.

Group Chairman, SLT, Nimal Welgama said that the growth momentum of the SLT group displays its resilience to the pressures of the marketplace. By investing in new technology, transforming staff to perform creatively the group will continue to excel in the market.