Mauritius Telecom registers lower profits in 2014 even as revenue grows
Major Mauritian telecom operator, Mauritius Telecom Ltd, recorded lower profit for the year 2014, with Rs 0.99 billion profits representing a drop of 41.4% against Rs 1.4 billion in 2013, upon higher operating expenses which rose by 15.1% to reach Rs 5.9 billion.
The Mauritius Telecom Group saw gross profit rise by 4.6% in 2014 although net profit fell to Rs 0.99 billion and, as for earnings per share, it stood at Rs 5.22 compared with Rs 7.56 in 2013.
An interim dividend of Rs 4.12 per share was paid in 2014 as compared to a total dividend of Rs 10.54 per share for the previous year.
The performance and growth of the MT Group for 2014 was demonstrated by operating revenues of Rs 9.1 billion, representing an increase of 7.2% over the previous year. All subsidiaries contributed to this result with a return on equity of 16%. Gross profit grew by 4.6% although net profit for the year was Rs 0.99 billion, as compared to Rs 1.4 billion in 2013.
As in previous years, mobile was the most important revenue segment with an operating revenue of Rs 3.8 billion, representing 6.03% growth over 2013. MT’s broadband subscription base grew by 9.1%, from 155,354 to 169,505.
With a decrease in broadband tariffs, the revamping of offers and the enrichment of My.T offers, revenue from the internet segment amounted to Rs 854 million in 2014, 10.2% less than in 2013. Among the subsidiaries, CSL achieved the highest growth rate with revenue totaling Rs 339.1 million against Rs 262 million in 2013, with the company embarking on a number of new projects both locally and internationally.
However, Teleservices recorded a reduced turnover of Rs 69 million (2013: Rs 81 million), representing a decrease of 14.8%.
The Pay-TV market saw My.T exceed the threshold of 100,000 subscribers. The multiscreen service launched by My.T allowed members of the same household to watch various My.T channels on different TV sets, smartphones or tablets simultaneously. Enhancements were also made to the VoD service, with more than 2,000 offerings in all, and to the orange. mu portal’s contents.
MT continued to market its telecommunications know-how by seeking growth opportunities outside Mauritius. International BPO customers include Orange Reunion, Orange Madagascar, Orange Caraibe and the Swaziland Post and Telecommunications Corporation.
“We are in an era characterized by difficult economic conditions and fierce competition, which has been reflected in our figures. However, our core and ethical values provide us with a strong foundation for enhancing our profitability. As the leading company in the telecommunication industry and one of the leading companies in Mauritius, we are committed to designing strategies to reduce risk, to operate at international standards, to provide customer-centric value-added services and to work in the best interest of our shareholders.” highlighted the board director and Acting Chairman, Sateeaved Seebaluck.