Sri Lanka Telecom PLC reported a 221% increase in profit after tax for the year ended 31 December 2025, as lower finance costs and disciplined expense management lifted earnings across its fixed and mobile operations.
Group profit after tax rose to Rs. 10 billion in FY 2025 from Rs. 3.1 billion a year earlier. Profit before tax increased 88% to Rs. 11.3 billion, supported by a 21% decline in interest costs to Rs. 7,054 million, mainly reflecting reduced finance costs at SLT PLC as debt levels declined and interest rates eased.
Group revenue grew 3% to Rs. 114.2 billion. SLT PLC recorded a 2% increase in revenue to Rs. 73 billion, while Mobitel (Pvt.) Ltd. posted 5% growth to Rs. 47.9 billion. Operating expenses, excluding depreciation and amortisation, stood at Rs. 72 billion at group level, contributing to a 5.5% increase in EBITDA to Rs. 42.2 billion and a 26.9% rise in operating profit to Rs. 14.2 billion.
SLT PLC reported operating expenses of Rs. 46.6 billion, up 3%, with EBITDA stable at Rs. 26.4 billion. Operating profit rose 27% to Rs. 9.3 billion, while profit after tax climbed 196% to Rs. 6.2 billion, primarily due to lower finance costs as vendor financing obligations and borrowings were settled. Broadband revenue growth was supported by increased fibre-to-the-home subscriber adoption, alongside contributions from enterprise, Government, and SME segments.
Mobitel recorded profit after tax of Rs. 3.1 billion, compared with Rs. 139 million in FY 2024. EBITDA increased 11% to Rs. 15.1 billion and operating profit rose 18% to Rs. 3.4 billion. The improvement in net profit was also supported by a shift from revenue-based taxation in 2024 to profit-based taxation in 2025 and first-year allowances on recent investments. Operating expenses rose 2%.
For the fourth quarter, group profit after tax reached Rs. 3.5 billion, up 51% year-on-year, on revenue of Rs. 29.5 billion. SLT PLC contributed Rs. 19.1 billion in quarterly revenue, up 4.4%, and Rs. 2.2 billion in profit after tax, up 139%. Mobitel generated Rs. 12.5 billion in revenue, up 1%, with profit after tax rising 14% to Rs. 1.4 billion.
Chairperson Mothilal De Silva said: “The SLT Group’s financial performance for FY 2025 underscores the effectiveness of our strategic direction and the robustness of our operations. Through stringent cost management and prudent financial stewardship, we delivered significant improvements in profitability while simultaneously advancing both our fixed and mobile businesses. This performance reinforces our commitment to leveraging the momentum of 2025 to drive sustainable long-term growth and strengthen stakeholder confidence. I extend my sincere gratitude to all our stakeholders, particularly our loyal customers, for their continued trust, and to our employees for their dedication and outstanding resilience. This commitment was especially evident in the aftermath of the recent Cyclone Ditwah, where our teams worked tirelessly to restore severely damaged network infrastructure and ensure the swift resumption of essential telecommunication services. This resilience will continue to guide us as we strengthen connectivity and deliver meaningful impact to the communities we serve.”
SLT-Mobitel CEO Riyaaz Rasheed said: “FY 2025 has been a critical year for the SLT Group. Through strong execution and disciplined management, SLT PLC and Mobitel have achieved impressive profitability gains. We are entering FY 2026 with renewed energy to expand services and enhance customer engagement, accelerating growth through innovation and market leadership.”