WorldCall Telecom Limited has closed its half year financial results posting Rs. 640 million as profit after tax. The revenue for second quarter has shot up by Rs. 872 million (123%) as compared to the first quarter courtesy LDI and Broadband segments of the company. For the LDI business, rates have stabilized since May 1, 2018 and are expected to enjoy the same stability for the remaining year whereas Broadband segment has witnessed remarkable growth for the period. EBITDA has almost doubled (88%) in the quarter and the Management is pleased to report that the results are showing improvement in absolute terms.
The Company is ready to sweat the assets and with the stability achieved, is targeting aggressive growth in the upcoming quarters. Till date, for the Broadband segment, 700,000 subscribers’ home pass has been achieved for Digitalization which company anticipates would reach 2 million by the end of December 2018. The Company has contract with 2 leading global vendors for supply of Digital boxes to materialize the expansion project. Fiber to the Home (FTTH) launch has been planned in the coming quarters which would add to the revenue of the Company. Cashing in on the new developments in the ICT technologies, the company has launched an on-demand platform by the name of Meat on Wheels which has great recognition recently amidst Eid days whereas another venture comprising of ride hail services is currently under testing.
Term Finance Certificate (TFCs) restructuring has been effected under which repayment tenor has been extended by 9 years and markup rate has been reduced by 0.6%. Other salient features of restructuring are as follows:
For our stakeholders’ clarity it is informed that Other Income has been a typical feature of company’s Profit and Loss statement lately, and it would continue to feature for some time in the future. Reason being its constituents. WorldCall’s assets are appearing at impaired value and liabilities at maximum value. So Other Income would continue to materialize as any liability is settled at discounts and assets are put into productive use.
Muhammad Azhar Saeed
Chief Financial Officer