Telkom on Friday (8 June) reported a marginal decline in operating revenue to R33.1 billion,\u00a0for the year ended March 2012.<\/p>\n
Headline profit for the year fell 32.8% to R1.658 billion, while profit after tax for the year \u00a0declined 93% to R179 million.<\/p>\n
Earnings before interest, taxes, depreciation, and amortization (EBITDA) of R8.5 billion, declined 8.8% and group EBITDA margin decreased to 25.8% from 28.1%.<\/p>\n
Headline earnings per share decreased 33.0% to 324.7 cents per share and basic earnings per share decreased 97.8% to 10.4 cents.<\/p>\n
Free cash flow generated of R2.1 billion was slightly below R2.2 billion in 2011, while operating expenditure increased 6.1% to R31.250 billion.<\/p>\n
The group decided against\u00a0a dividend declaration in respect of the financial year
\nended 31 March 2012.<\/p>\n
\u201cTelkom faces many challenges at the moment but we will stay calm, determined
\nand focused on delivering on the promise of \u00a0our business and strategy going forward,\u201d said CEO\u00a0Nombulelo Moholi.<\/p>\n
\u201cGroup financial results for the year under review reflect our challenges but we took a number of significant steps towards securing a successful future for Telkom and we began
\ncasting the foundation that will allow the group to compete well and build value in the
\nfuture,” she said.<\/p>\n
Voice revenues declined 6.5% to R12.835 billion as a result of lower minutes of\u00a0use due to mobile substitution and, to a lesser extent, lower tariffs.<\/p>\n
Total data revenue decreased 1.7% to R10.517 billion as a result of income\u00a0generated from the Soccer World Cup included in the previous year. Excluding\u00a0the revenue relating to the 2010 Soccer World Cup, data revenue increased 1.6%.<\/p>\n
ADSL subscribers increased 10.0% to 827,091 when compared to the previous year.<\/p>\n
Group capital expenditure which includes spend on intangible assets, increased\u00a05.3% to R4.783 billion (2011: R4.541 billion) and represents 14.5% of group\u00a0revenue (2011: 13.6%).<\/p>\n
8ta<\/strong><\/p>\n 8ta achieved revenue of R1.2 billion and an EBITDA loss before intersegmental\u00a0eliminations of R2.425 billion for the year ended 31 March 2012.<\/p>\n Total revenue\u00a0generating subscribers equalled 1,483,401 with prepaid contributing 1,039,448\u00a0and post-paid 443,953. Prepaid ARPU was R20.89 and post-paid ARPU R206.83. “In the 2013 financial year we aim to reduce our EBITDA losses in mobile by The group highlighted progress in its network build-out with\u00a01,849 base stations built and 1,316 sites live by the end of May.<\/p>\n Telkom noted that its results for the year include a R896 million loss relating to the disposal\u00a0of Multi-Links and an impairment loss of R569 million relating to the\u00a0iWayAfrica goodwill and assets.<\/p>\n Looking ahead, “Our strategy going forward is to: lead in data and broadband and in Fixed Mobile Convergence; grow Telkom Business revenues by diversifying the service portfolio; regain market competitiveness in the consumer market; consolidate our position as a wholesaler of choice; and focus on profitable market segments and services,” the group said.<\/p>\n Related articles:<\/strong><\/p>\n Controversial Telkom figure Nzeku resigns<\/strong><\/a><\/p>\n KT Corp block horrendously, stupendously, horrifically bad<\/a><\/strong><\/p>\n Telkom, Korea Telecom transaction not going ahead<\/a><\/strong><\/p>\n
\nBlended ARPU was R68.86.<\/p>\n
\napproximately 20% and plan to invest between R2.0 billion and R2.5 billion in
\ncapital expenditure,” Telkom said.<\/p>\n