SLT-MOBITEL reported a sharp Q1 2026 turnaround, with group profit after tax climbing 53.3% year-on-year to Rs.3.1 billion as broadband demand pushed revenue into double-digit growth and foreign exchange swings reversed.
Consolidated group revenue rose 10.6% to Rs.30.8 billion from Rs.27.9 billion a year earlier. Gross profit climbed 14.1% to Rs.14.6 billion, operating profit jumped 39.1% to Rs.5.1 billion, and profit before tax surged 55.4% to Rs.4.2 billion. Income tax expenses rose 61.3% in line with higher profitability.
Direct costs were up 7.6% on the back of electricity tariffs, fuel prices and continued currency pressure, but revenue growth outpaced cost increases. Finance costs declined during the quarter, and the group recorded a net foreign exchange gain compared with the FX losses booked in Q1 2025.
At the parent level, Sri Lanka Telecom PLC revenue rose 10.6% to Rs.19.7 billion, with operating profit up 36% and net profit 53.3% higher at Rs.2.1 billion. Mobitel revenue rose 9.9% with a 28% jump in broadband revenue; operating profit climbed 54.7% and net profit was up 63.7%.
SLT Group Chairman Dr. Mothilal de Silva said the quarter “demonstrates the resilience of the SLT Group and the success of our strategy,” signalling a “decisive turnaround.” SLT-MOBITEL CEO Riyaaz Rasheed said Mobitel’s “sustained subscriber growth and rising broadband demand” highlighted the group’s digital transformation agenda and positioned it for “the next wave of AI and 5G innovation.”
The result extends an unusually strong cluster of Q1 2026 corporate earnings, alongside Dialog Axiata’s 122% net profit surge, the Bank of Ceylon’s Rs.18.8 billion Q1 profit, Commercial Bank crossing Rs.3.5 trillion in assets, and Nations Trust Bank’s 12% profit rise.
Source: Colombo Gazette.
