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Tele Profits

Aug 09, 2011 (LBO) - Sri Lanka Telecom, the island's only wireline operator which also has a mobile unit, said its June 2011 quarter profits rose 49 percent to 1,142 million rupees with revenues flat at 12.


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4 billion rupees. The group reported earnings of 63 cents per share for the quarter and 1.35 rupees for the six months to June.
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The stock closed at 50.50 rupees, down 1.20 Tuesday.

The firm said operating costs fell 5 percent to 4.

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2 billion rupees and depreciation was flat at 2.8 billion rupees.

The firm said it has focused on cutting operating costs and boosting revenues from broadband and PeoTV an IPTV service.

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Its wireline subscribers had grown 4 percent to 918,200 from a year earlier.

The group is majority state owned but its second largest shareholder is Malaysia's UT group.



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SLT chairman Nimal Welgama said the firm was taking information communications technology to rural Sri Lanka in line with a government objective.

Mobitel, SLT's mobile arm made an after tax profit of 778 million and notched up 4.

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4 million subscribers adding 650,000 new users.

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