9 - 15 August 2001

Vodafone posts 54% increase in pre-tax profits in 2000

by David Kelleher

Vodafone Malta Ltd posted a 54 per cent increase in pre-tax profits last year from Lm5,003,053 in 1999 to Lm7,693,655. This increase is consistent with the growth in turnover which increased by 48 per cent to reach Lm16,388,562.
The successful results are attributed to a continuing increase in the company’s subscriber base, principally as a result of the introduction of the prepaid service as well as the continued expansion of the use of the mobile phone.
Profits after tax totalled Lm5,003,850 for the financial year ended 31 March 2000. The profit after tax is nearly the same as the profit before tax posted by Vodafone in 1999. Total net assets of the company at the year end increased to Lm8,748,829 from Lm6,244,979, an increase of 40 per cent over 1999.
According to the directors’ report, the company is satisfied with the results obtained and the year-end financial statement is satisfactory and that “the company is well placed to face the competition due to the liberalisation of the local mobile phone market that is expected to materialise in the near future”.
Gross profits for the year ended 31 March 2000 totalled Lm10,840,482 up from Lm7,484,707 in 1999. Operating profit increased considerably from Lm4,975,964 to Lm7,635,724.
During the year under review, the company paid out dividends totalling Lm2.5m being the payment of Lm1.5m for the year ended 31 March 1999, and an interim dividend of Lm1m for the year end 31 March 2000. In the same period under review, the directors proposed a final net dividend of Lm1.38 per share amounting to a total final dividend of Lm2m.