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GP’s profit falls despite record revenue
« on: July 22, 2019, 01:58:00 PM »
GP’s profit falls despite record revenue

Grameenphone raked in Tk 3,603.82 crore in revenue in the April-June period this year, the highest in a single quarter, driven by growth in voice and data usage due to improved network.

The receipts in the second quarter of the year were up 10.63 percent year-on-year.

However, the mobile phone operator’s profit declined 8.12 percent to Tk 955.28 crore in the quarter, according to its financial statement published yesterday. Earnings per share stood at Tk 7.07.

A board meeting of the operator on Sunday decided to declare 90 percent interim cash dividend.   

“GP is very happy about the business growth amid huge regulatory challenges,” said Michael Patrick Foley, chief executive officer of the company.

He said the operator delivered strong business performance in the first half of the year.

In the last quarter, GP focused on improving the network resilience and modernising it as well as expanding 4G services, covering 62 percent of the population of Bangladesh, he said. GP witnessed growth in voice and data revenue as well as in usage and subscriber base.

Foley said despite the additional supplementary duty on mobile phone use, the company would continue to protect the interest of the shareholders and provide value to customers. GP acquired 13 lakh new subscribers and 16 lakh internet subscribers in the quarter.

Data revenue grew more than 18 percent to Tk 720 crore. Each internet user now uses 1.5 GB data on an average every month, up from 986MB a year ago. At the end of June, 52.8 percent of its total subscribers were using internet services. The market leader has 84 lakh active 4G users.

Mustafa Alim Aolad, deputy chief financial officer of GP, said the company continues to acquire quality subscribers. With investment in network rollout, he is optimistic about delivering profitable growth going forward.

In the last three months, GP invested Tk 380 crore for network coverage and installed 1,560 new 4G sites.

On Dhaka Stock Exchange yesterday, the share of GP, the lone listed mobile phone operator in the market, traded between Tk 341 and Tk 353.4, before closing at Tk 352.2.