TBT Desk:
Despite a challenging economic landscape, Robi remained steadfast in delivering enhanced value to its shareholders and customers by prioritising operational efficiency and strategic investments.
The year was marked by economic instability, high inflation, and market disruptions, which impacted consumer purchasing power. Nevertheless, Robi closed the year with revenue of Tk 9,950.2 crore, reflecting a modest 0.1% increase from 2023. Voice revenue grew by 0.7%, while data revenue increased by 2.2% year-over-year.
Quarterly performance comparisons showed mixed results. Voice revenue declined by 8.4% from Q3'24, while data revenue increased slightly by 0.1%. On a year-over-year basis, Q4'24 voice revenue grew by 1.7%, while data revenue saw a sharp drop of 13.9%, largely due to tremendous market pressures to reduce data price and the knock-on effect of high inflation in the economy that dented consumers' purchasing power.
The rise in SIM tax from Tk 200 to Tk 300 in 2024 posed additional challenges for subscriber acquisition, further compounded by aggressive market strategies from competitors.
As a result, Robi's subscriber base decreased by about two million, ending the year with 56.7 million active subscribers. Internet subscribers declined by 2.1 million to 42.6 million, although more than 500,000 4G users were added to the network in 2024.
4G internet users constituted 63.9% of active subscribers. Robi maintained over 18,000 4G sites, ensuring 4G network coverage for 98.96% of the population.
Notable highlight of Robi's performance in 2024 was its strong Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA), which grew by 10.5% year-over-year to reach Tk 5,081.6 crore.
The EBITDA margin improved by 4.8 percentage points to 51.1%. On a quarter-on-quarter basis, EBITDA declined by 3.1%, but year-over-year it showed a 0.5% increase in Q4'24.
Robi continued its commitment to infrastructure investment, with capital expenditure (capex) reaching Tk 1,638.4 crore for 2024, including Tk 446.1 crore in Q4'24. The company also made significant contributions to the government exchequer, totaling Tk 6,287.3 crore for the year, representing 63.2% of its annual revenue. In Q4'24 alone, 70% of revenue was paid to the government.
Robi posted a profit after tax (PAT) of Tk 703 crore for 2024, with Q4'24 contributing Tk 299.9 crore.
Earnings per share (EPS) for the year stood at Tk 1.34. Q4'24 EPS rose by 59% quarter-on-quarter and 102% year-over-year.
Therefore, the Board of Directors has recommended a cash dividend of 15% (Tk 1.50 per share), amounting to 111.8% of the PAT for 2024. This decision was confirmed during the Board Meeting on 17th February 2025. Robi's 29th Annual General Meeting is scheduled for 21 April 2024.
Commenting on the company's performance, Acting CEO M Riyaaz Rasheed stated, "Our primary focus remains on delivering long-term value to our shareholders and ensuring sustainable growth. While we continue to navigate a dynamic market, our commitment to operational efficiency and investment in digital infrastructure positions us well for the future. It is essential that regulatory and taxation policies support a balanced and competitive telecom sector to allow operators like Robi to thrive."
Rasheed also welcomed recent regulatory reforms aimed at streamlining the telecom sector, emphasising the need for swift implementation to maximise benefits for consumers.
He expressed concern over the increased supplementary duty from 15% to 20% and the higher SIM tax, noting that these measures could hinder Bangladesh's progress in digital adoption and the qualitative use of digital services.
Despite macroeconomic headwinds, Robi remains committed to its vision of delivering value to shareholders, investing in infrastructure, and advocating for policies that support sustainable industry growth.