Corporate results: PTCL profit rises 31% in first quarter
Earnings increase on back of growth in broadband business.
The significant improvement in gross margins was primarily because of a 1.6% drop in cost of sales to Rs20.41 billion. PHOTO: FILE
KARACHI:
Pakistan Telecommunication Company Limited (PTCL) has announced consolidated earnings of Rs4.35 billion in the first quarter of calendar year 2014, up 31% from Rs3.33 billion in the same quarter last year.
According to financial results released on Tuesday, PTCL’s topline increased 3.7% to Rs33.37 billion while gross margins improved 331 percentage points to 38.8%, said Topline Securities in a report.
The significant improvement in gross margins was primarily because of a 1.6% drop in cost of sales to Rs20.41 billion.
“We attribute the 31% increase in earnings to surge in broadband subscribers with a major increase in EVO wireless segment. Moreover, finance cost dropped 64% to Rs390 million in the first quarter,” it said.
In a press release, PTCL commented that the strong first-quarter results came on the back of growing fixed and wireless broadband business.
The company’s cash flow remained healthy and stable due to the consistent growth in the subscriber base and strong market position, it said.
“The solid results again demonstrate our ability to grow business and perform for our customers and shareholders,” said PTCL President and CEO Walid Irshaid.
“Despite fierce competition in the telecom market, we have continued to pursue our goals with a commitment.”
Published in The Express Tribune, April 23rd, 2014.
Pakistan Telecommunication Company Limited (PTCL) has announced consolidated earnings of Rs4.35 billion in the first quarter of calendar year 2014, up 31% from Rs3.33 billion in the same quarter last year.
According to financial results released on Tuesday, PTCL’s topline increased 3.7% to Rs33.37 billion while gross margins improved 331 percentage points to 38.8%, said Topline Securities in a report.
The significant improvement in gross margins was primarily because of a 1.6% drop in cost of sales to Rs20.41 billion.
“We attribute the 31% increase in earnings to surge in broadband subscribers with a major increase in EVO wireless segment. Moreover, finance cost dropped 64% to Rs390 million in the first quarter,” it said.
In a press release, PTCL commented that the strong first-quarter results came on the back of growing fixed and wireless broadband business.
The company’s cash flow remained healthy and stable due to the consistent growth in the subscriber base and strong market position, it said.
“The solid results again demonstrate our ability to grow business and perform for our customers and shareholders,” said PTCL President and CEO Walid Irshaid.
“Despite fierce competition in the telecom market, we have continued to pursue our goals with a commitment.”
Published in The Express Tribune, April 23rd, 2014.