Annual Report 2012 - Dialog

Dialog Axiata PLC - Financial Review
The Company continued to leverage its market leading position to deliver strong
growth in revenue and profitability. The Company recorded a revenue of
Rs. 49.80Bn for FY 2012, a strong increase of 19% YoY. Growth in revenue was
driven by increase in both voice revenue and non voice revenues (SMS, Data and
VAS) primarily consisting of mobile broadband service.
Total costs increased by 27% YoY driven by higher regulatory, network and
marketing costs. Network operating costs witnessed a 29% YoY increase due to
significant inflation with respect to energy related costs and the expansion of the
Company’s 2G and 3G infrastructure footprint.
Regulatory cost increased by over 2 folds compared to FY 2011 mainly due to the
increase in international telecommunications levy from USD 1.5 cents per minute to
USD 3 cents per minute which came into effect from 1st January 2012 combined
with the rupee depreciation impact. Regulatory cost of FY 2011 was also benefited
by the recognition of a Telecommunication Development Charge (TDC) refund of
Rs. 653Mn.
Sales and marketing cost increased by 22% due to modernisation of the Company’s
expansive service centre network to deliver the very best in efficient customer care
across all provinces of the country and increased marketing costs spent on new
products launched and promotional activities carried out for seasonal/event targeted
campaigns.
On the backdrop of strong revenue performance, the Company achieved an EBIDTA
of Rs. 16.13Bn in FY 2012, a 6% growth compared to FY 2011 at a margin of 32%.
The Company NPAT posted at Rs. 6.19Bn for FY 2012 grew by 6% relative to
FY 2011. The NPAT performance for 2012 is inclusive of the impact of the deferred
tax reversal of positive Rs. 2.28Bn and non-cash forex translational loss of negative
Rs. 2.18Bn.
The Company NPAT normalized for the one-off items was recorded at Rs. 6.40Bn
for FY 2012 an increase of 10% relative to FY 2011.
Annual Report 2012 l Dialog Axiata PLC l 21
Revenue
Rs. Mn +19%
50,000
40,000
30,000
20,000
10,000
0
EBITDA
37,954
10
41,729
11
49,803
12
Rs. Mn +6%
20,000
15,000
10,000
5,000
NPAT
0
14,495
10
15,208
11
16,128
12
Rs. Mn +6%
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
6,259
10
5,841
11
6,190
12