SLT Group posts strong 3Q as profitability doubles on lower finance costs

Sri Lanka Telecom (SLT) Group reported a solid performance for the third quarter ending September 2025, with net earnings doubling on the back of improved operational metrics and a sharp reduction in finance expenses.

Group profit after tax surged to Rs. 2.2 billion from Rs. 1.1 billion a year earlier, supported by a 93 percent jump in pre-tax profit. A central driver of this bottom-line growth was a 24.2 percent reduction in Group-level finance costs, reflecting the company’s effective debt management strategies.

Mobitel emerged as the standout performer during the quarter, delivering a net profit of Rs. 639 million compared to just Rs. 17 million in the same period last year—a staggering 3,660 percent increase. This recovery was underpinned by stronger network performance and tight cost discipline. Meanwhile, the parent entity, SLT PLC, also saw improved results, posting a profit of Rs. 1.4 billion, up 53 percent year-on-year.

Top-line growth remained modest but positive, with Group revenue rising 3.3 percent to Rs. 29.5 billion. Mobitel’s revenue grew 4 percent to Rs. 12.1 billion, while SLT recorded a 1.7 percent increase, driven largely by demand for broadband and enterprise solutions. Operationally, the Group’s operating profit rose 18.6 percent, aided by a 3.8 percent reduction in direct costs.

For the nine months ending September, Group profit after tax climbed to Rs. 6.5 billion from Rs. 770 million a year earlier. Notably, Mobitel posted a cumulative profit of Rs. 1.7 billion for the period, successfully reversing the Rs. 1.1 billion loss recorded in 2024.