Payout for MTC shareholders.
Payout for MTC shareholders.

Payout looms for MTC shareholders

...set to receive 37 cents per share
The company boasts over two million prepaid subscribers and 159 345 contract subscribers, totalling 2.5 million active users.
STAFF REPORTER
Telecommunications giant MTC has announced its shareholders will receive a 37-cent-per-share dividend on 8 July.

The announcement was made late last week, after the company released its interim results for the financial half-year ending 31 March, for which the interim dividend will be paid.

The statement shows a dip in company profit but boasts growth in revenue of 4.64% to N$1.45 billion, up from a previous N$1.39 billion.

According to MTC, it generated higher revenues by responding to "customer needs for faster, simpler, more convenient and more cost-effective telecoms services".

It attributes the growth to continued data revenue growth, prepaid revenue growth and the expansion of enterprise services.

"Increased demand for data and product innovations continued to be driven by changing technology trends, coupled with the continued roll-out of the 081Every1 campaign to remote areas.

"The new fixed-line offerings have maintained the momentum gained during the second half of the 2021 financial year," the statement read.

Fulfilling expectations

The Communications Regulatory Authority of Namibia this year reintroduced its levy based on newly instituted regulations and a High Court ruling which, according to MTC, decreased earnings before interest, tax, depreciation and amortisation by 5.4% to N$711 million.

The company has also raised a N$70-million contingent liability in relation to the court ruling.

The telecommunications company said it remains determined to fulfill the expectations of its customers and shareholders.

"We continue to create value for all stakeholders going forward. The Bank of Namibia is still projecting an economic turnaround in 2022 with a gross domestic product growth of approximately 3.4%."

With weakened operations in general, profitability fell within six months compared to 2021, decimating close to N$62 million in operating profit.

Meanwhile, the company boasted over two million prepaid subscribers and 159 345 contract subscribers, totalling 2.5 million active subscribers, towards the end of the financial half-year.

The last day to trade to receive the dividend is 17 June, while the payment date is 8 July.

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Namibian Sun 2024-11-23

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