Sri Lanka Telecom net profit climbs 29% in FY 2016; revenues up 9%

3 Mar 2017

Colombo-based Sri Lanka Telecom (SLT) has released its group and holding company financial results for FY 2016, revealing strong revenue growth of 8.5%, when compared to FY 2015, and profits up by 28.6%. The SLT group, which comprises the holding company and eight subsidiaries including mobile arm Mobitel, recorded net profit of LKR4.8 billion (USD31.8 million) in the period under review, driven by strong growth in revenue for its fixed, ICT and mobile segments, which reached LKR73.8 billion. SLT noted that its decision to invest heavily in data and broadband products helped drive the uptick in sales, although it also reported an 11.7% rise in operating costs – impacted by the increased government tax levies and damages caused to equipment and infrastructure by floods affecting several provinces. Group EBITDA of LKR20.2 billion marked a 1% improvement year-on-year; EBITDA margin was reported at 27.4%.

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