Telecard Limited Announces No Dividend Following Fiscal Year Results

Karachi: Telecard Limited has reported its financial results for the fiscal year ending June 30, 2024, highlighting a significant increase in net revenue and operating profit, though no dividends will be issued to shareholders for this period.

In its consolidated financial statement, Telecard Limited declared a net revenue of Rs. 10.79 billion for the year 2024, a substantial rise from the Rs. 5.69 billion reported in 2023. The company’s gross profit also saw a notable increase, standing at Rs. 2.14 billion up from Rs. 1.35 billion the previous year. According to information available from the Pakistan Stock Exchange (PSX), these improvements can be attributed to effective cost management and increased operational efficiency.

The administrative and distribution costs of the company slightly increased to Rs. 1.49 billion from Rs. 1.21 billion, alongside other income and expenses which summed to Rs. 19.46 million in losses. Nonetheless, the company’s operating profit surged to Rs. 1.51 billion compared to Rs. 1.28 billion in 2023.

Finance costs for Telecard remained stable at around Rs. 156 million, whereas the profit before taxation and levy was reported at Rs. 480 million, an increase from Rs. 408 million in the preceding year. After adjusting for taxes, the net profit attributable to owners of the company amounted to Rs. 34.64 million, a significant drop from Rs. 324.44 million in 2023.

The unconsolidated financials tell a similar story with net revenue reaching Rs. 2.29 billion, up from Rs. 1.77 billion. The gross profit in this segment improved as well, totaling Rs. 780 million compared to Rs. 719 million last year. The operating profit in the unconsolidated financials was Rs. 573 million, markedly higher than the Rs. 238 million reported in 2023.

Despite these gains, Telecard Limited announced that there would be no distribution of cash dividends, bonus shares, or rights shares to its shareholders this year. The decision reflects the company’s strategy to reinvest earnings into operational enhancements and future growth initiatives. The annual report, along with further details of the financial results, will be made available on PUCARS at least 21 days prior to the Annual General Meeting scheduled for November.