Blue Label reports strong growth in core business

Blue Label Telecoms, the JSE-listed provider of electronic tokens on Wednesday (23 February) reported a 5% decline in revenue for the six months ended November 2021, to R9.1 billion.

As only the gross profit earned on “PIN-less top-ups”, prepaid electricity, ticketing and gaming are recognised as revenue, on imputing the gross revenue generated thereon, the effective growth in revenue equated to 12% from R32.4 billion to R36.2 billion,” it said.

Gross profit meanwhile, improved 20% to R1.36 billion, and headline earnings per share of 60.86 cents, was up from 40.96 cents per share previously. Blue Label said that net cash generated from operating activities amounted to R862 million.

Core headline earnings for the period ended November 2021 amounted to R549 million, of which R548 million related to continuing operations and R1 million to discontinued operations. Core headline earnings amounted to 62.69 cents per share.

In the comparative period, core headline earnings amounted to R376 million, of which R351 million related to continuing operations and R25 million to discontinued operations. Core headline earnings amounted to 42.70 cents per share.

Interest-bearing borrowings was reduced to R1.97 billion from R2.32 billion, it said.

Blue Label said it continues to increase market share and bolster its product and services mix to defend and grow its positions in the market.

Gross revenue generated on “PIN-less top-ups” increased by R1.2 billion (14%) from R9 billion to R10.2 billion. Net commissions earned on the distribution of prepaid electricity amounted to R177 million. Revenue generated on behalf of the utilities increased by 21% from R13.2 billion to R15.9 billion.


Read: Blue Label Telecoms goes back to basics

Must Read

Partner Content

Show comments

Trending Now

Follow Us

Blue Label reports strong growth in core business