Grameenphone (GP) has reported a 10% year-on-year profit growth, reaching Tk 36.4 billion in 2024, the highest in three years. Despite a challenging macroeconomic environment, the telecom operator maintained operational efficiency, declaring a 170% final cash dividend, resulting in a total of 330% cash dividends for the year.
The profit growth is expected to restore shareholder confidence, especially after a disappointing dividend payout for 2023. GP’s total dividend for 2024, including a 160% interim dividend, equates to 122.73% of its profit after tax.
However, GP faced a 4.9% decline in revenue, totaling Tk 150.94 billion, primarily due to cautious consumer spending on data amid high inflation. Despite this, the company’s EBITDA rose to Tk 96 billion, with a maintained margin of over 60%. GP’s subscriber base increased by 2 million to 84.3 million, with over half using internet services.
Looking ahead, GP plans continued investment in technology and AI, with a focus on enhancing network capabilities and customer experience. Despite economic challenges, GP remains committed to long-term value for its investors and expects gradual revenue recovery as mobile data usage grows.
The company also invested over Tk 18 billion in 2024 to improve network coverage, particularly for its 4G network, and focused on deploying 2600 MHz spectrum to enhance user experience.
Stock Performance After a decline in its stock price over the last year, GP’s shares surged by 40% following political changes in August. The stock closed at Tk 338.6 per share on Tuesday, reflecting a 0.47% gain from the previous day.
