HT’s Revenues Increased by 11 Percent Last Year, Net Profit Fell by 7.5 Percent

In 2017, HT achieved revenues of 7.756 billion kuna, which is 11 percent higher than the previous year, while net profit fell by 7.5 percent to 863 million kuna, according to HT’s revised consolidated results.

Excluding the impact of Crnogorski Telekom, revenues increased by 2 percent compared to the previous year, and if the impact of H1 Telekom is excluded, revenues increased by 1.5 percent. The growth in revenues was contributed by mobile communications revenues and growth in system solutions, the company’s report published on Wednesday states.

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EBITDA before one-off items amounts to 3.138 billion kuna, which is 11.2 percent higher compared to 2016, while the EBITDA margin increased by 0.1 percentage points year-on-year to 40.5 percent.

Net profit in 2017 amounts to 863 million kuna, which is 7.5 percent lower compared to 2016. Without the impact of Crnogorski Telekom, net profit realization is lower by 10.8 percent.

“The realization of net profit is influenced by higher depreciation due to increased infrastructure investments and increased value adjustments of assets and receivables,” the report states.

Capital Investments

The realization of capital investments in 2017 increased by 17.2 percent compared to the previous year, including the contribution of Crnogorski Telekom. Without that contribution, the realization of capital investments increased by 8.5 percent to 1.7 billion kuna.

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The report also states that the Management and Supervisory Board proposed to the company’s General Assembly a dividend distribution of 6 kuna per share, which will be paid from the net profit of 2017.

This results in a total amount for dividend payment of 490 million kuna and represents 58.25 percent of the distributable profit earned in the previous year, as well as the allocation of the remaining net profit to retained earnings, the report states.

Minimum Target Dividend

HT announces at the beginning of the year a minimum target dividend for each year, which will be within the range specified in the dividend policy.

“For the financial year 2018, the Management currently expects a dividend payment of at least 6 kuna per share,” the report concludes.

“HT has had another successful year and a convincingly leading position in all segments of the telecommunications market. With the acquisition of Crnogorski Telekom, we made a significant regional leap, while the acquisition of H1 Telekom contributed to market stability,” commented Davor Tomašković, CEO of HT, on the achieved results.