Gaining momentum of performance revival

DHAKA, Oct. 19 (NsNewsWire) — Grameenphone Ltd. reported revenue of BDT 77.9 billion for the first 9 months of 2015, up 1.6% from the same period last year. Service revenue (excluding IC) grew by 1.4% (YoY) along with 5% (YoY) growth in device and other revenues. Data revenue growth of 67% and VAS growth of 36% are the main contributors of the service revenue growth during the period. However, during 3rd quarter of 2015 revenue grew by 3.3% compared to that of 2014.

During this first 9 months, GP acquired 4.0 million new subscriptions, taking the subscription base to 55.5 million as of September 2105. This constitutes 10.4% subscription growth (YoY) with SIM market share of 42.1% (as of August’15). Data subscriber no stood at 15.2 Mn with encouraging volume growth.

“We are gaining momentum of performance revival from the headwind experienced from intense price competition and political turmoil during first quarter of 2015. Gradually we are observing healthy minutes growth and our data performance is showing encouraging developments. Our clear focus on driving simplified customer centric market initiatives are helping us to create this momentum”, said Rajeev Sethi, CEO of Grameenphone Ltd.

Net profit after taxes for the period was BDT 14.6 billion with 18.8% margin compared to BDT 15.9 billion with 20.7% margin of the corresponding period of 2014. Efficiency in operating expenditure managed to secure a healthy EBITDA (before other items) of BDT 41.4 billion with 52.9% margin. Earnings per share (EPS) for the period stood at BDT 10.83.

“We are on the right track to deliver profitable growth amidst the subdued top line performance during the period. We shall continue with our planned operational excellence initiatives for the remaining part of the year as well”, said Dilip Pal, CFO of Grameenphone Ltd.

GP invested BDT 14.7 billion during the first 9 months for further rollout of 3G sites, 2G coverage, capacity enhancement for catering higher volume of data and voice as well as enhancement of IT infrastructure for better product and service offerings. Meanwhile, GP, the largest contributor to exchequer paid BDT 38.8 billion, comprising 49.8% of total revenue to the national exchequer during the period in the form of taxes, VAT, duties and license fees.