Grameenphone reported total revenues of BDT 7,735.4 Crore

Grameenphone Ltd. reported total revenues of BDT 7,735.4 Crorefor first six months of 2023, registering a growth of 4.2% from the same period last year. In the second quarter, the Company acquired 11.39lacsnew subscribers, reaching 8Crore 13 lacs total subscribers at the end of the first half. 56.7% of Grameenphone’s total subscribers, or 4Crore61 lacs are using internet services.

Building on the growth momentum from the first quarter, the second quarter of 2023 demonstrates a sustained growth in both revenue and EBITDA driven by higher ARPU, strong market execution and strategic focus on network investment. Grameenphone achieved positive developments in dispute resolutions and constructive dialogueswhile strengthening core services to create value amidst external challenges.” said Yasir Azman, CEO of Grameenphone Ltd. “With a continued focus on expanding our network and spectrum rollout, we prioritized meeting our customers’ needs through digital-centric innovation and services. This approach establishes the foundation for a future-ready data network, enhancing customer value and solidifying our position as the No. 1 network in the country,” he added.

“Topline growth continued as we wrap up the first half of 2023 supported by growth in data amidst rising inflation and other macroeconomic challenges which continued as key driver behind our performancedelivering double digit growth (YoY 17.1% and QoQ 11.5%). Grameenphone introduced appealing bundle packs throughout the quarter in both physical and digital channels which led to 9.4% increase in bundle revenue from the prior quarter.” said Jens Becker, CFO of Grameenphone Ltd.

“Grameenphone registered 5.7% EBITDA growth which is doubled from the previous quarter while maintaining a strong EBITDA margin of 61.1%. Net Profit After Tax in H1’23 stood at BDT 1,973.5Crore with a margin of 25.5%. During the quarter, Grameenphone Ltd. and Large Taxpayer Unit (LTU-Tax) have signed agreements settling Income Tax disputes for the assessment years from 2007-2008 to 2019-2020 through Alternative Dispute Resolution (ADR) process. Grameenphone has also made payments to BTRC as per the written judgement of the case relating to VAT mechanism and spectrum assignment fee during 2G license renewal without prejudice to its rights. Despite positive developments on dispute resolutions, total payment amounting toBDT 1,769Crore strains GPs cash position as it comes on top of regular payments. In light of these settlements and continued constructive dialogues with BTRC with uncertain outcomes, GP is not recommending interim dividend. With a positive approach towards resolving disputes, in H1’23, GP has paid BDT 7,030 Crore equaling 91% of its total revenues to the national exchequer in the form of taxes, VAT, duties, license and spectrum assignment fees, etc as compared to 73% in H1 of last year. GP will continue constructive dialogues with relevant stakeholders for enabling digital lives and thereby ensuring sustainable economic growth.”