Wednesday, 10 August, 2022

Robi’s Q2 earnings shadowed by costly dollars

  • Staff Correspondent
  • 29 July, 2022 12:00 AM
  • Print news

Despite solid revenue growth and steady rise in subscriber base, the drastic changes in forex has undone mobile phone operator Robi’s sound performance in the second quarter.

In total, Robi lost Tk172 crore in April-June of 2022 due to devaluation of taka against the US dollar. 

Robi disclosed the information while releasing its financial results for the second quarter.

The company secured Tk 2,105.4 crore revenue in the period, but due to changes in forex, ended up losing Tk 12.2 crore.

Compared to the last quarter, the company’s revenue increased by 4.3% while it grew by 3.7% compared to the same period a year ago.

Voice revenue increased by 4.6% compared to last quarter and by 11.8% compared to the same quarter last year. Data revenue grew by 3.7% compared to last quarter, while the same declined by 4.5% compared to same quarter last year.

Robi’s subscriber base grew by 0.8% compared to last quarter to reach 5.45 crore at the end of the second quarter this year.

Compared to the same quarter last year, the subscriber base grew by 5.2%. Data subscriber base grew by 2.0% compared to last quarter to reach 4.05 crore. Compared to the same quarter last year, data subscriber base grew by 7.8%.

Robi maintained its 4G leadership in Q2 2022 with 48.3% of its total subscribers being 4G users.

Around 74.2% of Robi’s subscriber base were internet subscribers in the Q2, which was the highest in the industry, and 65.1% of data users were 4G users. Robi ensured 98.2% population coverage of its 4G network with 14,961 4G sites.

At the end of Q2, the company had 2.63 crore 4G subscribers. Compared to last quarter, Robi’s 4G subscribers grew by 6.1%, and compared to the same quarter last year, 4G subscribers grew by 32.4%.

EBITDA in Q2 grew by 13.6% compared to the last quarter to reach Tk967 crore with 45.9% margin.

Robi paid Tk1,475.3 crore to the government exchequer in Q2, which was 70.1% of the total revenue for the quarter. The company made capex investment of Tk483.4 crore in the same quarter.

Robi’s Acting CEO and CFO, M. Riyaaz Rasheed said: “Losing our hard-earned profit to the devaluation of taka against US dollar is very painful. Since we rely on international market to source telecom equipment, forex volatility is a major concern for us at the moment.”

“We are also suffering due to the absence of a comprehensive mechanism for price regulation. We strongly believe that there is a win-win opportunity for the customers, the operators, as well as the regulator, with regards to devising a comprehensive price regulation regime,” he said.

Rasheed warned, “The longer we take to formulate it, the more painful it will be for the smaller operators in this intensely competitive market.”