Bangladesh based mobile network operator, Grameenphone (GP) says that it added almost 1 million new subscriptions in the third quarter of 2009, pushing the total subscription base near to 22 million. However, GP crossed 22 million subscription base mark on 1st October.
Grameenphone CEO Oddvar Hesjedal, expressed his satisfaction with the subscription growth posted for the third quarter, "the market has just crossed the 50 million subscription mark and GP serves the largest share of that market (44%) among the operators. It pleases me that we have been successful in adding a significant amount of the new subscriptions to the market in the last quarter, which indicates that Grameenphone is the preferred service provider."
Average revenue per user (ARPU) increased by 6% compared to same period of last year mainly as a result of a raised tariff floor.
"A rising ARPU is a good indicator for both the industry and a sign of slow economic recovery," said the Grameenphone CEO. "However, reduction or removal of the BDT 800 SIM tax will help the economy recover sooner because internet and telecommunication penetration generates faster economic activity and community development," he added.
EBITDA margin has also improved to 57% compared to the same period of last year of 48.9% due to higher revenue, combined with lower network operation and maintenance costs. Capital expenditure was also lower during this quarter, in accordance with the current traffic demand.
Following the formal approval for Grameenphone's initial public offering (IPO), trading of the Grameenphone shares at the Chittagong and Dhaka stock exchanges is anticipated to commence in November. This is subject to approval from the regulators and stock exchanges.
Source: Cellular News