Malawi Stock Exchange-listed integrated mobile phone and ICT services provider, TNM posted a 19 percent growth in post-tax profit for the half-year ended June 30 2021.
In a financial statement issued at the weekend, the firm attributes the profitability rise to solid growth in revenue from Mpamba, which went up by 54 percent to over K5 billion, and its internet business, which rose by 14 percent to generate K15.6 billion.
“The unaudited interim financial results reflect remarkable improvements in performance of non-traditional profit streams for TNM plc, which has historically relied on the voice (GSM) business segment for the bulk of its profitability and retained earnings,” the report reads.
It further says that the two business segments have combined efforts to help TNM group’s total revenue grow by 8 percent from K42.2 billion in 2020 to K45.5 billion in 2021 during the same period of review.
“EBITDA margin increased to 38 percent (June 2020: 36 percent) due to cost containment initiatives that management continues to implement. Net profit after taxation increased by 19 percent to K4, 511 million (June 2020: K3, 780 million),” the statement reads.
During the same period, TNM increased growth in total revenue by 8 percent and growth in subscriber loans by 26 percent.
The company believes its data business will continue to grow and increase its investment to support distribution systems and network expansion.