WorldCall Telecom Limited has come out strong with the beginning of financial year 2018. For the March quarter ended, it has delivered remarkable improvement in its operations posting a net profit of Rs. 115 million in comparison to a net loss of Rs. 270 million in March 2017. Delivering on to the promises made to investors early this year, the company has made remarkable grounds. The revenue reported for the period has shot up by 35% courtesy sustained operation over the first quarter of year 2018. EBITDA has also been positive for the quarter and its magnitude gone up almost 6% as compared to March 2017. The quarter on quarter growth targeted (15%) has been surpassed (35%) convincingly which advocates that business is back on track.
The company has achieved the milestone of 600,000 subscribers reach for Digital Cable Services till April, 2018 whilst fiber works for network connectivity is already near completion to deliver expansion for Digital Cable Service which supports company’s plans to reach 4 million households by December end, 2018. In addition to this, the company has signed contracts with two leading global vendors for supply of 250,000 Digital Boxes to cope up with the demand during expansion of WorldCall’s Digital Services across Pakistan.
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.
The financial burden has also eased out. The liabilities payable to Oman Telecommunications Company SAOG and National Bank of Oman are no longer an obligation and therefore the funds available with the Company can be directed for business and expansion. Apart from it, negotiations with Term Finance Certificate holders of the Company have concluded and Term Sheet has been shared with the TFC holders. Till now significant percentage of approval has been received by the Trustee while remaining TFC holders agreement is expected to materialize soon.
After restructuring company would be current on its payments to financial institutions and this would allow the company to plan its finances more efficiently.
Muhammad Azhar Saeed
Chief Financial Officer