Mobitel posts impressive profit growth


April 2013| 592 views

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Sri Lanka Telecom Mobitel, announcing its financial results for FY2012, stated that it recorded an impressive revenue growth of 13 percent in 2012 despite intensified competition in the mobile telephony sector. In absolute terms, Mobitel recorded revenue of 24.93 billion rupees in 2012 compared to 22.08 billion rupees in 2011, an increase of 2.85 billion rupees.

This growth was realized mainly due to the increase in Mobitel’s subscriber base by 14 percent which is a remarkable achievement, considering the fact that the voice market has reached 100 percent penetration by Q4 2012 according to the Telecom Regulatory Commission of Sri Lanka (TRCSL). The growth in Mobitel’s subscriber base can be attributed to various factors including Mobitel’s continuous commitment and investments made towards scaling and upgrading its network infrastructure.

Completion of the stage VI project in mid-2012 led to significant enhancements in network coverage and capacity that has translated into a better customer experience. An innovative product suite, a comprehensive service offering and an extensive reach to the furthest corners of the island also contributed towards significant growth in subscribers and revenue.

Thus, during 2012, Mobitel delivered a commendable performance successfully overcoming the challenges encountered, recording PBT (normalised to exclude exchange loss) of 2.98 billion rupees and PAT of 2.43 billion rupees, recording growth of 34 percent and 38 percent YoY respectively, the highest ever normalised profits recorded.