Karachi October 25 2021: During Financial Year 2021, SuperSecure, a substantially owned subsidiary of Supernet was awarded a large long term contract by a major Pakistani Bank for end-point security.
“This contract heralds the beginning of more such contracts in the months to come” as per company Chief Executive Officer
Supernet was awarded a major defense contract that has positive impact on the company s efforts to enhance its inroads into Defense Systems & Solutions business.
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Also during this reporting period. Telecard entered into an agreement with Vanrise Solutions to market their Banking CRM, Business Automation Solutions for investment/brokerage houses and Financial Suit for large businesses besides other solutions.
Telecard is fully leveraging its inherent advantage in experienced and trained human resources, established inroads into Enterprise Segment and already functional business lines to explore opportunities in technology sector with a focus to enhance revenues, profitability and diversification of its revenue streams.
Cognizant of the emerging opportunities due to COVID-19, on a global basis, your Company is expanding its footprint into Enterprise Security Solutions and Business Process Software platforms by forming global alliances and leveraging in house expertise to deliver best in class solutions to its customers through its subsidiaries. The company is actively looking towards enhancing its presence in technology sector and feels confident that it will do so in coming months while growing its existing business lines.
Telecard has decided to explore avenues to unlock shareholder value and support new business lines and initiatives in subsidiaries by opting for a potential listing of Supernet Limited, a wholly owned subsidiary of your Company. Additionally, the Board of Directors has authorized the Company to change the name of Telecard Limited to an appropriate name reflecting the changing nature of business of the Company. Additionally. Telecard is in advanced stages of completing the restructuring of its Term Finance Certificates which is expected to be announced soon.
On a consolidated basis, the Company has reported a profit after taxation of PKR 507 million as against a loss of PKR (75) million during the corresponding financial period. The earning per share stood at PKR 1.69 compared to a loss per share of PKR (0.25) in preceding twelve months. The change is attributable to a number of reasons including reduction in direct cost, distribution and administrative expenses and financial cost of the Company. Direct costs reduced due to cost optimizations undertaken by the Company in the first half of the financial year. Additionally, the other income has also contributed towards this improvement mainly reflecting the prudent write back of liabilities which were no longer payable.
The above, along with reduction in financial costs owing to the decrease in discount rate, and reduction in the minimum tax rate incurred on telecom services have contributed in reducing a substantial improvement of the bottom line of the Company- from a net loss of Rs. (75) million in FY2020 to a Net Profit of PKR 507 million for the current FY.
On a standalone basis the revenue for the period ended 30 June 2021 was PKR 1, 214 million as against the revenue of PKR 1,183 million for the corresponding financial period, the increase in revenue is mainly to the appreciation of the exchange rate and increase in international traffic volumes. Your Company's direct cost was lower when compared with similar period of the preceding financial period due to decrease in connectivity charges. The Company has posted Gross Profit of PKR 563 million compared to a Gross Profit of PKR 528 million in the corresponding time frame due to the foregoing reasons.
The Company reported a profit after taxation of PKR 273 million as against a loss after taxation of PKR (109) million during the corresponding financial period. The earning per share stood at PKR 0.91 compared to a loss per share of PKR (0.36) in the last time frame.