Banglalink Digital Communications Ltd, the third-largest telecom service provider in Bangladesh, has posted a year-on-year revenue growth of 15.1 per cent to Tk 1,588 crore in the third quarter (July–September) of 2023.
Moreover, the multinational company’s subscriber market share rose year-on-year by 1.52 per cent to 22.66 per cent of the total market share until September this year.
Banglalink, a subsidiary of Amsterdam-based Veon, is interested in getting listed on the local stock exchanges in two years.
Senior officials of Banglalink had earlier held a meeting with Bangladesh Securities and Exchange Commission (BSEC) Chairman Shibli Rubayat-Ul-Islam to discuss the listing procedures and benefits at BSEC Bhaban in Dhaka’s Agargaon.
Its Chief Executive Officer, Erik Aas, said at a press conference on Tuesday that the third-largest telecom operator in the country is planning to go public in two years.
Despite six consecutive quarters of double-digit revenue growth, Banglalink was yet to be profitable enough to fit for an initial public offering (IPO), he said. However, the company was on its way to seeing net profits, and that should not be far, according to Aas.
Banglalink also posted that over the first nine months of the year, its revenue grew by 16.6 per cent year on year to Tk 4,591 crore.
The market-beating revenue growth was attributed to the highest customer growth in the industry, which let the company earn more data and service revenue.
According to the Bangladesh Telecommunication Regulatory Commission (BTRC), in the year until September 30, Banglalink saw the highest 4.51 per cent growth in the number of customers active for 90 days, which was 0.27 per cent for market leader Grameenphone, 3.26 per cent for Robi Axiata, and slightly negative for state-owned Teletalk.
With 4.29 crore customers at the end of September, Banglalink’s subscriber market share rose to 22.66 per cent, lagging behind GP and Robi Axiata.
In the third quarter of this year, the company secured an EBITDA (earnings before interest, tax, depreciation, and amortization) growth higher than that in revenue, and this increases the hope for the after-tax profits in the coming days.
The company saw a 31 per cent growth in its 4G subscribers base year-on-year to around 2 crore, supported by an extensive countrywide infrastructure comprising over 15,000 towers, and ensuring users a seamless and reliable experience of high-speed connectivity.
This growth is fueled by Banglalink's extensive digital portfolio, featuring the largest mobile entertainment platform in Bangladesh, Toffee, and the country’s first super app, MyBL, which makes digital services more seamless and accessible than ever before.
Toffee is now popular amongst all Bangladeshis, irrespective of operators, and has witnessed a remarkable year-on-year growth of 72.2 percent in the number of users, the company said.
Meanwhile, the MyBL Super App, embodying a “6C philosophy” focusing on connect, content, care, commerce, community, and courses, registered a substantial year-on-year growth of 48 per cent.
Erik Aas said, “Banglalink's consistent growth is a testament to our dedication to driving innovation in digital services. The company remains steadfast in its commitment to being an integral part of the digital journey of millions of Bangladeshis, empowering them with the best digital solutions and experiences.
“The company’s position as the country’s credible national player is reinforced by its commitment to providing superior digital services, supported by the nation’s fastest 4G network. Now, we look forward to being a growth partner for the country and contributing to its digital transformation.”
Taimur Rahman, Chief Corporate and Regulatory Affairs Officer; Cem Velipasaoglu, Chief Financial Officer; and Gazi Towhid Ahmed, head of corporate communications at Banglalink, were also present at the press conference.
