Blue Label Telecoms shows no signs of being affected by the global economic downturn, as its revenue continues to grow.
The company has released its results for the year ended 31 May, showing a 16.4% revenue increase in the South African operation alone. The local office also grew its EBITDA by 46.5%.
According to the company's statement released this morning, the growth in SA can be attributed entirely to increased volumes. Prepaid has become more popular with the global downturn, and is a factor in its growth success.
The company's overall revenue increase came in this year at 18% and, while it admits SA remains its highest earner, it has made some headway with its business in the UK and in India.
Blue Label says its business in Africa is expected to contribute significant growth to the international segment, primarily through its 51% shareholding in Africa Prepaid Services Nigeria.
Africa Prepaid Services was recently granted the rights to distribute for Telkom's Multi-Links. Blue Label adds its Mexico operation has also increased its footprint and it hopes to replicate the South African business model there.
Numbers in short
Revenue increased from R12.5 billion to R15.3 billion in 2009. Operating profit increased to R474.8 million, from R269.5 million.
Profit attributable to ordinary shareholders increased to R390.5 million, from R180.8 million. Headline earnings on a per share basis grew to 51.63cps over last year's 30.26cps.
The company did not declare a final dividend; however, last year, the company indicated it would start to pay dividends from 2010.
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