The State-run telcom company MTNL is targetting a revenue of Rs. 5,250 crore in 2010—11, banking on its growth drivers like broadband and mobile services.
“MTNL has signed the MoU with Department of Telecom as per which we are projecting a revenue of Rs. 5,250 crore for the current fiscal,” MTNL Chairman and Managing Director Kuldip Singh told PTI.
He added the PSU has set a one million additional broadband subscriber target in the year to take the total user base to two million from both wireless and wirline.
ADVERTISEMENT
Mr. Singh declined to project any likely revenue figure for the just-ended 2010 fiscal of the PSU ,which operates in Delhi and Mumbai.
According to sources, the PSU could end the last fiscal with a revenue of Rs. 4,900-5,000 crore. In 2008—09, the PSU had posted a revenue of Rs. 4,456 crore.
MTNL’s financials have been falling over the past two years. It reported a net loss of Rs. 894.95 crore in the December quarter (Q3) of the last fiscal compared with a net profit of Rs. 53.10 crore in the year—ago quarter. Its sales also declined to Rs. 902 crore in the same period.
ADVERTISEMENT
Mr. Singh said in the MoU, there is no target set for the net profit.
Sources said the PSU is likely to post profit in Q4 of the last fiscal which is yet to be released. Last month, the PSU received Income Tax ruling in its favour which upheld its stand on a tax dispute. Accordingly, the PSU will get Rs. 1,380 crore as refund. The refund will be reflected in the fourth quarter results.
The PSU had added 87,000 new mobile users in February and has a total mobile subscriber base of 47 lakh from both the metros.
MTNL shares closed at Rs. 75.70 on BSE, up 1.27 per cent.