SLT’s 3% fixed revenue drop offset by 30% mobile sales leap

16 Aug 2010

Sri Lanka Telecom (SLT) posted consolidated group revenue of LKR12.36 billion (USD110 million) in the second quarter of 2010, up by 5% from the same period of 2009, whilst net profit shot up 105% to LKR769 million, helped by a reduction in the Telecoms Development Charge – a levy on incoming international traffic. In the first half of the year, revenue at SLT’s fixed line division fell by 3% year-on-year mainly due to faltering CDMA fixed-wireless business, partially offset by strong demand for ADSL services which drove a 1% increase in wireline connections to 882,000 at mid-2010. The drop in fixed turnover was more than offset by the performance of SLT’s Mobitel cellular unit, which in 1H10 recorded a 30% jump in revenues and a 720,000 year-on-year increase in customers to exceed 3.7 million active mobile SIMs at 30 June. The mobile unit also turned around a 2Q09 net loss of LKR36 million to report a net profit of LKR336 million in April-June 2010.

Sri Lanka, Mobitel (Sri Lanka), Sri Lanka Telecom (SLT)