PROFITS ARE FLOWING at Cable & Wireless (Barbados) Limited (C&W).
The company, which has undergone several changes in recent years, recorded profit before taxation of $114.4 million with an overall profit after taxation of $99.4 million.
Management expects the “operational turnaround” and “positive results” to continue even though acknowledging the competitive nature of Barbados’ telecommunications sector.
C&W, which trades as Flow for the consumer segment, and C&W Business for the business and Government sectors, will discuss the financial results and other operational matters when it holds its annual general meeting on January 16 at Hilton Barbados.
However, in its annual report for the year ended March 31, both chairman Sir Allan Fields and managing director Niall Sheehy outlined the operational improvements over the last year.
“Mobile revenue grew by 3.3 per cent over the previous year and this represents the second consecutive year of growth as the company continues to reclaim market share,” Sir Allan reported.
“This follows on from the investment made in previous years to expand and upgrade the company’s mobile 4G network to islandwide status. Fixed-line voice revenues fell by 9.5 per cent, while broadband and TV fell by 11.4 per cent.
“Enterprise, data and other revenue, which is a key component of the C&W Business segment, fell by 6.7 per cent.”
The chairman also said C&W’s total operating costs “decreased by a further 11 per cent during the current year and this follows on from a 12 per cent reduction in the previous year”.
These cost savings, he explained, “were a result of improved operational efficiency, along with savings across all operating cost lines as part of the group’s cost out initiatives”.
Sir Allan also pointed out that during the last financial year C&W reassessed its impairment estimate for its fixed services network and in the end was able to reverse a $47.1 million impairment charge.
Sheehy said the financial results were “further evidence of our operational turnaround and the positive results of the prior years’ restructuring programmes”.
“The company invested $34.2 million in capital expenditure during the year for the fibre to the home network and the mobile network to improve reliability and increase 4G coverage,” he noted.
In terms of the future, Sir Allan said the fibre to the home project “will expand significantly until every household in Barbados has access to the fastest, strongest and most reliable connections”.
“In short, we will continue to invest in cutting-edge technologies aimed at providing the exceptional service our customers deserve.” (SC)
