Grameenphone, Bangladesh’s leading mobile phone operator, has marked a significant milestone in the first quarter of the financial year 2024, with a staggering profit of Tk 1,338 crore. This remarkable achievement reflects a remarkable 72 percent increase compared to the same period last year, propelled by a combination of reduced net finance costs and substantial gains from foreign exchange transactions.
The telecom giant, renowned as the most valued stock in Bangladesh’s stock market, revealed these impressive financial results in its unaudited financial statement released late yesterday. Notably, the surge in profit was also supported by a notable reduction in income tax expenses, further amplifying the company’s profitability.
This financial revelation from Grameenphone follows closely on the heels of Robi Axiata Ltd’s recent announcement, wherein the country’s second-largest mobile phone operator reported a remarkable 153 percent surge in profit to Tk 106 crore for the same three-month period.
Despite a modest 5 percent year-on-year growth in revenue, totaling Tk 3,734 crore in the first quarter, Grameenphone encountered a marginal increase of only 3 percent in operating profit, attributed to a rise in overall costs. However, astute financial management enabled the company to bolster its bottom line by curbing finance costs by 13 percent, amounting to Tk 108 crore.
Moreover, Grameenphone witnessed a substantial 180 percent gain through foreign exchange transactions, further contributing to its robust financial performance. Additionally, the company reported a noteworthy 78 percent decline in income tax expenses, underscoring its commitment to maximizing shareholder value.
Earnings per share surged to Tk 9.91 from Tk 5.77, reflecting the company’s strong financial standing and its ability to generate value for its investors. With a reported profit of Tk 3,306 crore in the previous financial year, Grameenphone continues to demonstrate resilience and profitability in a dynamic market environment.
Despite these impressive financial gains, Grameenphone’s stock closed almost unchanged at Tk 232.50 on the Dhaka Stock Exchange yesterday, signaling stability amidst market fluctuations. As the telecom industry evolves and competition intensifies, Grameenphone’s steadfast performance underscores its position as a key player in Bangladesh’s telecommunications landscape.