SLT says seeks new investments amidst high operating profit, lower post-tax profit
View(s):State-owned SriLankan Telecom (SLT) says it is racing ahead with new developments, a larger reach in the North and the East, returning far-better-than-expected operating profits and seeking new investments. “We are proud to announce that our operating profits for 2015 has exceeded expectations and we are now looking at fresh investments,” noted Sri Lanka Telecom (SLT) CEO Dileepa Wijesundera speaking at an Avuruddu celebration for the media organized by the state telecom provider at the “Nuga Gama “of the Cinnamon Grand Hotel in Colombo last week.
SLT’s interim results for the year ending December 2015 showed operating profits had increased to Rs. 6,789 million from Rs. 5,711 million in the previous year. However pre-tax profit fell to Rs. 5,515 million against Rs. 8,251 million while post-tax profit (accordingly) dropped by 38 per cent to Rs. 3,724 million in 2015.
According to figures released on the SLT website, the drop in profits was also partly due to a foreign exchange loss (due to the depreciating Sri Lanka rupee) of Rs. 2,128 million. Mr. Wijesundera said that broadband penetration in the region has not reached the same standards in Sri Lanka where some the highest ratings for this technology for Internet speed has been recorded. This was achieved by the acceleration of I –Sri Lanka project where broadband penetration has reached the pulse of the country in an unimaginable way. ”By (end) 2016 you should see a significant change in the ICT footprint of the SLT while trying to introduce a better portfolio of products.
We like to see better penetration in the North and the East where Mobitel have been disadvantaged in the past.” The company plans to announce the introduction of the PEO TV on the Mobitel handset before the end of the month. Residents in the North and East will have access to new channels coupled with a modern and a more reliable service. Those who have fibre optics will be able to witness PEO TV more clearly, he said.
New advances in the telecommunication industry have been made during the past 12 months where new projects have been completed ahead of time in 2015. Several phenomenal changes are taking place at the SLT and its subsidiaries, the largest being developments at Mobitel. -(JJ)