Telecard Limited, listed on the Pakistan Stock Exchange under the ticker TELE, has reported a 24 percent increase in its consolidated net profit for the nine months ended March 31, 2026, recording Rs381.40 million compared to a restated Rs307.21 million in the corresponding period of the previous year. Basic and diluted earnings per share improved to Rs0.71 from Rs0.63 in the same nine-month period of fiscal year 2025, reflecting steady bottom-line growth despite a challenging top-line environment that saw the company’s net revenue contract by 12 percent year-on-year, falling to Rs7.04 billion from Rs7.96 billion.
The profit expansion was achieved primarily through exceptional cost discipline rather than revenue growth. Telecard slashed its direct costs at a faster pace than the revenue decline, bringing them down by 16 percent to Rs5.16 billion, which allowed gross profit to expand by 6 percent to Rs1.87 billion compared to Rs1.77 billion in the prior year period. On the operational front, administrative and distribution costs rose by a moderate 9 percent to Rs1.16 billion, and the company also booked expected credit losses of Rs49.64 million, a charge that did not exist in the same period last year. However, these were more than offset by a significant turnaround in other income, which contributed Rs88.51 million compared to a net expense of Rs21.61 million in the previous year, helping operating profit rise by 10 percent to Rs752.45 million.
Below the operating line, finance costs increased by 30 percent to Rs98.56 million from Rs75.68 million, reflecting greater pressure from debt servicing, while the statutory levy rose by 10 percent to Rs123.20 million. Profit before taxation settled at Rs530.70 million, a 6 percent increase over the prior year. The most significant contributor to the final profit jump was a 22 percent reduction in taxation expense, which fell to Rs149.30 million from Rs192.36 million in the nine months of fiscal year 2025. This substantial tax relief, combined with the resilient gross margins and positive turnaround in other income, allowed Telecard to close the nine-month period with net profit of Rs381.40 million, representing a 24 percent improvement over the same period last year and demonstrating the company’s ability to protect profitability through cost management even as its top-line revenue continues to face pressure in a competitive telecommunications market.
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