Cellular operators record Rs 971.52m profit in 1Q2011
KARACHI - Ufone saw 7 per cent growth in revenues in the closing quarter of financial year 2011-12 compared with the same quarter of pervious fiscal year, showing a continuation of positive trend in earnings despite tough financial circumstances.
Pakistan Telecommunication Company Limited (PTCL) financial results showed the revenues increased to Rs 11.6 billion in the current financial year 2011-12 that supported the corporation to sustain its eroding earnings on the back of high operational costs.According to estimates, its profits went up by 141 per cent to Rs 233 million in the first quarter on the back of sustainable service business thanks to new packages.
In last year, Ufone witnessed an overall revenue increase to Rs 10.688 billion in the closing quarter of 2009-10 as compared to Rs 9.214 billion in the same period of last year.
The cellular operators recorded a net profit of Rs 971.52 million in 1Q2011. In the intense competition among the cellular phone operators of the country, the PTCL subsidiary has continued to earn profit as against other foreign cellular phone companies facing tough financial constraints in the last couple of years. Rains in Sindh, depreciation of rupee and high taxation on telephony services have altogether shrunk revenues and dragged down almost all cellular phone companies in the quarter of Jul-Sep. However, Ufone has shown positive growth in this period with the support of its parents company.
The groups net profit after tax at Rs. 2.2 billion was 8% lower as compared to corresponding period last year. PTCLs net profit after tax at Rs. 1.4 billion was 32% lower mainly because of decreased level of Other Operating Income.