Bangladesh Submarine Cable Company (BSCCL), a core telecommunications service provider in the country, has posted a 34% growth in revenue and a 90% net profit rise in the first three quarters of this fiscal year.
The state-run company said that due to the substantial efforts of its management, the government's policy of digitisation of services and the introduction of 4G services have helped increase overall international private leased circuit (IPLC) usage in the country.
As a result, its revenue increased in the July-March period, reads the latest financial statements of BSCCL.
The principal job of the company is to provide high capacity voice and data bandwidth to all important places in Bangladesh to the benefit of all IT-related services.
Its revenues are mainly comprised of IPLC rent, circuit activation charges, IP transit services, and co-location charges.
According to its financial statement, in the July-March period, revenues rose 34% to Tk244.09 crore, from Tk181.48 crore, and net profits rose 90% to Tk124.75 crore, from Tk65.63 crore, compared to the same period in the last fiscal year.
Its IPLC rent revenues, the main earning segment of the company, increased by 35%, IP transit service revenues by 46%, and co-location charges by 42%.
But its circuit activation charges income decreased by 19%.
The company also earns from IP transit services.
In the first nine months of FY2019-20, it earned Tk3.68 crore from this segment, but in FY2020-21, earnings are zero since discontinuing with Bharat Sanchar Nigam Limited (BSNL) since February.
The company said its net profits rose because of an exemption from provisioning against long pending bad and doubtful debts.
The company's outstanding debt is around Tk44 crore, of which Tk36.90 crore is with BTCL and Tk7.09 crore with BSNL, India.
In the January-March period of FY2020-21, its revenues increased 27% and net profits rose 86% compared to the same period in the last fiscal year.
In this January-March quarter , its IPLC rent revenues increased by 27%, IP transit services by 43%, and co-location charges by 33%, but its circuit activation charges went down 52%.
Bangladesh Submarine Cable was listed on both the country's stock exchanges in 2012. In the 2019-2020 fiscal year, the company posted a profit of Tk95.60 crore.
The company declared a 20% cash dividend for its shareholders.