SLT records highest ever quarterly profits | Sunday Observer

SLT records highest ever quarterly profits

During the first quarter of 2019, the Group reported a net profit of Rs.2.20 bn which is the highest ever during the first quarter of any year, a 86.8% YoY growth compared to the same quarter in 2018.

The outstanding results were largely driven by healthy revenue growth coupled with cost control initiatives. Profits were further backed by Rs.172 mn forex gain reported during the quarter, in contrast to the profits negated by Rs.294 mn forex losses during the same quarter in the year before.

The group reported a revenue of Rs 21.3 bn during the period under review reflecting a 7.9% YoY growth.

The group has been able to manage its operational cost escalations at 4.6%.

Group Chairman P. G. Kumarasinghe Sirisena said, “We have already rolled out an Islandwide National high speed fiber Backbone Network assuring the digital infrastructure readiness for the entire nation with multiple state of the art technologies.”

The Holding Company has reported a Net Profit of Rs.1.15 bn during the quarter with remarkable YoY growth of 248%. The year on year company operational cost reduction by 2.7% and Forex gain of Rs. 20 mn in contrast to the Rs. 233mn forex loss of the year before, have significantly improved the profits. During the quarter, the company reported a revenue of Rs. 12.2 bn with a growth of 6.3% compared to the same quarter in the year before.

SLT has extensively engaged in investment programs to provide high quality services to customers through new technologies, such as Fiber To The Home (FTTH) and 4G LTE. SLT continues its investments in key national infrastructure solutions in the country propelling economic growth. The company EBIDTA was reported at Rs. 4.2 bn with a 34.6% EBIDTA margin.

“With our ambitious plan to develop two million FTTH fiber broadband ports by 2022, we will be able to provide the most premium fiber broadband experience to our valued customers across the country,” said Chief Executive Officer of the Holding Company, Kiththi Perera.

The Business Growth momentum has resulted in the entire business segment portfolio - especially the large scale network deployment in Fiber rollout - enabling multiple service capabilities through the Fiber line to Customers.

The National Tier III Data Centre has started Phase II of its expansion and is positioned to be a Global Data Centre with the capacity and capability to connect with Multiple Global Submarine cables. The Tier IV is also nearing completion.

Mobitel Pvt Ltd, the mobile arm of the SLT continued to grow its revenue and key profitability indicators, despite intensifying competition in the market.

Revenue growth has contributed towards growth in all key profitability indicators for the first three months of 2019. EBITDA and EBIT grew by 5% and 2%. The Net Profit for the first nine months of 2019 was recorded at Rs. 1.11bn.