The Directors of Pakistan Telecommunication Company Limited (PTCL) are pleased to present to the shareholders unaudited financial statements of the
Company for the nine months ended March 31, 2010.
The PTCL Group Revenue of Rs. 73.6 billion for the period under review was 7% higher compared to the corresponding period last year. The revenue earned by PTML (Ufone), the wholly-owned subsidiary of PTCL, was higher by 22%, while PTCL’s revenue decreased by 4%. PTCL’s domestic revenue declined by 7% where as International revenue registered an increase of 23%.
The Group net profit of Rs. 9.2 billion showed a 12% growth compared to same period last year. PTCL’s Profit after Tax at Rs. 7.9 billion was 9% higher than the same period last year. The growth in profitability was made possible because of better cost controls resulting in 17% decrease in Administrative and General Expenses, 32% increase in Other Operating Income due to improved realization of receivables as well as prudent utilization of available funds and 62% savings in Finance Cost because of relative stabilization of Pakistan Rupee during the period.
Cognizant of the ever evolving telecom needs of the consumers in various strata of the society, your Company is developing products and solutions based on the latest available technologies so as to meet the expectation of transforming itself into an integrated service provider. During the period under review, PTCL continued its strategy of enhancing Broadband penetration for DSL which now covers more than 500 cities in the country and is expected to reach 1,000 cities by the end of the current year thus enjoying the status of being the market leader with 80% market share. At the same time ‘EVO’, the wireless broadband service, based on 3G with roaming facility, expanded to all major cities across the country.
To fulfill diversified needs of the landline customer base PTCL introduced a number of packages for its PSTN users, foremost being a simplified tariff. Value-addedservices include three-party-conference-call and voice-mail-service. Products including free on-net minutes for new connections, Double-up-unlimited and various rural and urban packages have proved to be a success. Sustained campaigns in electronic and print media have ensured a significant improvement in brand image of PTCL.
PTCL has introduced a range of products and services based on latest technologies that provide the corporate sector value added solutions. Services that are already available include Enterprise DSL, I-Sentry (IP video monitoring and surveillance solution) and Managed services. Several new innovative services launched by the Company also include Tele-presence (a world-wide video conferencing facility), with four state-of-the-art Tele-presence centers already commissioned in Karachi, Lahore and Islamabad, while four more centers are being completed. Based on latest technologies, PTCL Data Center in Karachi is first of its kind in the country.
It provides data-hosting and disaster-recovery services.Another Data Centre is being established in Lahore. Unified Communication Services introduced by PTCL fulfill the voice, data and video requirements of the corporate sector from a single platform A significant achievement for PTCL was the agreement with National Bank of Pakistan to provide end-to-end enterprise-wide data connectivity solutions for its countrywide branch network. The Company has entered into an agreement with Higher Education Commission to provide 10 GB IP bandwidth data connectivity to further facilitate educational institutions.
PTCL has been successful in winning more than 50% of all Universal Service Fund (USF) projects, a scheme of the Government of Pakistan. The Company is in the process of implementing these projects that provide voice and data services to the underserved and far-flung areas of Pakistan. Most significant project is the provision of broadband in USF areas. Another project being completed under this scheme is 1,250 km long Optical Fiber Cable for Baluchistan. As an acknowledgement of its technical expertise, PTCL’s centralized Network Operation Centre (NOC) has been nominated internationally as one of the six finalists for the coveted Telecom Management Forum (TMF) Operational Excellence Award that is expected to be announced in May 2010. This is in addition to International TeMIP User Group “Special Recognition Award” 2009.
PTCL has set up international PoPs (Point of Presence) at various international key points in anticipation of the foreseeable growth in voice and data traffic and at the same time ensuring improved services for its ever expanding group of interconnect operators-Major expansion in Pakistan Intranet Exchange (PIE) core network is underway to meet High Internet Speed requirements due to exponential growth in broadband and data services. Efficiency and reach of the access network is being improved through country-wide cabinet revamping program.
Customer care is at the core of PTCL operations. Multiple channels for customer contact include on-line access, phone contact and walk in service centers to redress any possible complaints and acquaint customers to PTCL’s diverse range of services and products. Nationwide network of 140 One Stop Shops at strategic locations in all major cities and four Contact Centers, equipped with modern IT facilities are a proof of PTCL’s commitment to customer care. Arrangements with major banks in the country are underway to facilitate bill collection information through electronic means to minimize possible time delays.
Concerted efforts continue to improve productivity of the work force. Regular employee trainings are imparted to equip them with modern operational techniques. A well-structured performance management system with periodical reviews has also been put in place.
The management and employees of PTCL remain committed to provide quality services at competitive prices through optimal use of resources for achieving enhanced revenue and greater levels of customer satisfaction leading to improved share holders value.