PTCL’s Budget Document Got Leaked, Projects 9 Bln Profits Next Year

Aftab Maken of “The News” has been lucky in getting the scoops from someone at the top level management at PTCL. He has uncovered plenty of proceedings from Board of Directors’ meeting in the past and he has done it again today.

This time he has produced this budget report that has all the details of PTCL’s (will be) doings during 2010-2011, including the revenues, expenses, lay-off details, taxation and much more.

Aftab claims that PTCL has projected over Rs 9 billion profits for the next financial year without a single penny of investment for facilitating its over 4.5 million subscribers, citing the document that was made available to him.

Aftab notes that despite increase in its revenue, interestingly the company’s allocation for the provision of taxes will nearly remained unchanged at Rs 4.913 billion against last year’s payment of Rs 4.970 billion.

Revenues

Of the total net revenue of Rs. 60.39 billion for FY2010/11 against last year’s collection of Rs. 54.15 billion, the company will have billions of rupees under its services, including MM & BB, international business, wireless (WLL), Evo, carrier and wholesale and corporate services.

Revenues Break-up

  • Rs 8.086 billion from MM & BB
  • Rs 7.241 billion of international business
  • Rs 2.284 billion from WLL
  • Rs 1.230 billion from Evo
  • Rs 11.412 billion of carrier and wholesale
  • Rs 7.368 billion from corporate services.
  • Rs 2.685 billion under the head of return on deposits and investments
  • Rs 182 million of late payment
  • Rs176 million under the head of miscellaneous.

Operating Expenses

The operating expenses of the PTCL also amounts to Rs 49.014 billion for FY2010/11 against last year’s expenses of Rs 44.382 billion, an increase of 10 per cent, while there is no mention of any investment for improving the quality of the service and introduction of new technologies.

Expense Break-up

  • Rs 12.351 billion has been allocated for depreciation and amortization
  • Rs 11.132 billion for employment costs
  • Rs 5.799 billion for foreign operator’s cost
  • Rs 2.429 billion for cable and satellite charges
  • Rs 4.062 billion for fuel and power
  • Rs 1.8 billion for doubtful debts
  • Rs 2.705 billion for repairs and maintenance
  • Rs 1.701 billion for subscriber’s acquisition cost
  • Rs 3.014 billion for licenses and regulatory charges
  • Rs 1.317 billion for marketing expenses
  • Rs 469 million for rent, rates and taxes
  • Rs 771 million for USF
  • Rs1.464 billion under the head of other expenses.
  • Rs 400 million under the head of medical expenses for 29,381 employees
  • Rs 134 million as productivity incentive for the employees.

The PTCL also continues its downsizing policy of employees, including senior management to mid and junior managers and it will lay off another 83 employees during the financial year 2010/11.

Aftab claims that the total lay off employees include two posts of executive vice presidents, five posts of general managers, five posts of senior managers and mangers each, 17 posts of assistant mangers, management trainees and 49 posts of non-management trainees.

Tech reporter with over 10 years of experience, founder of ProPakistani.PK


  • Anas

    HOW COULD IT BE RS 2.284 FROM WLL REVENUE I THING SOMETHING MISSING A BILLION OR MILLION

  • yasir

    Why the plans are kept secret and the work force is kept in the dark .

    Arabs are failed investors in telecom sector .

    These Badouins have totally destroyed the PTCL which was the only golden egg laying hen for the Govt of Pakistan.

    Even now , if ptcl raises it self and tries to satnd up , there is no one to beat it in the market but alas , this is not the case now . People at the top slot are totally devoid of the sense of the telecom buisiness.

    Arabs are not good employers. See how the ptcl have been transformed into such a state today that the lay offs are being carried out.

    Why Lay offs ?

    It is totally a stupid and anti human idea which cannot be supported by any sane and humanity loving person.

    Is it not a matter of great shame for the once profitable organisation like ptcl, to be doing the lay offs today ????

    It is the absolute failure of the top management and thier incompetency ability that today the lay offs are being held .

    But the people at the top management are such shameless and adamnt people that it is not sensable and realizable to them the plight and exploitation of the human capital.

    Also , at Govt level , it was a bid deal which a few people in the govt slot are getting advantage. Like out Mr zardari and his close croonies who are robbing the national wealth with both hands , where they will escape from the rath and anger of the people of pakistan after coming out of the power cooridoors . Definitely they will find their hidding resort in Dubai . So how can they go agaisnt the Dubai masters, and Etisalat especially in Pakistan .

    May Allah do the mercy and get rid us from the opressors,

  • Ahmed

    Aamir: Pls change title of your post. It should be Rs. 9 billion profit not revenue. Project revenue is Rs.60.39 billion.

    Regards

  • Corporate Wars

    investigative journalism should be different then exposing private & internal strategy.. the reporter should be sued for putting PTCL’s competitive position at risk…

    if a semi public company is making profits or rightsizing because it has over employment tan to public ownership, it would result in betterment of society in a longer run..

    i hope SNGPL, WAPDA and other Public utility companies follow the suit

  • SSR

    @coprate war you are right i agree with you..

  • Faqir-e-Danish

    The Newspaper Journalist and Pro Pakistani have done their job within their right. The corporate warrior should see to it that companies put their house in order and stop these leaks.

  • TRUTH

    @corporate wars

    There is no basis to sue the reporter……..it is good that the truth has been exposed to everyone….

    & there is nothing corporate in this company except for some corporate like show put up inside the walls of the H/Q………

  • Telecom Specialist

    Few top men will be fired on this leakage
    In the days to come other telecom Companies planning for the execution of lay off lists
    Wateen, Wi tribe,PTCL, Qubee,and Worldcall
    Soon you will see admit

  • Yasir Ahmad

    why Etisalat is not making investment in PTCL.

  • Yasir Ahmad

    Amir can u confirm how much tax PTCL used to pay before privatezation, And how much PTCL paid after privatezation.

  • Shadid Rahman

    I am horrified to read all about PTCL, It seems that our strategic asset is in enemy hands, I think its right time that GOP, must CANCEL the privatization deal with ETISALAT, to save this(PTCL) strategic asset

    • yasir

      Well PTCL Privitization is the biggest financial gamble in the history of pakistan after pakistan steel mills.

      These are the remarks of His Honourable Chief Justice Of Pakistan Mr Iftakhar Muhammad Choudry.

      It is a strategically weakning the strenght of pakistan.

      The way ptcl was handed over to the Arab Badouins was sold like cheaper to the peanuts.

      There were vested interests of the rulling junta in this financial gamble even then and also now.
      The rulling junta has the interests in the lawish and stylish life in Dubai and else where in the world. Who can dare or confront or cancel this fradulent deal and go agaisnt the arabs badouins.
      No one can make eye ball to eye ball contact from our govt with the Arabs as all these corrupt rulling people will finally find thier hiding place in Dubai only after escapping from this country at the ending of thier rule in Islamabad.

      Etisalat is more than a king like in pakistan . To whom it is answerable ?
      No body !!!!!!!!!!!!!!
      So whatsoever they like to do , they are doing without being held accountable or answerable to the people of pakistan as the top rulling junta has jioned hands with them in the corruption.

  • Jamil Ansari

    Funny how corporate wars puts the burden on PTCL to protect information. This logic can be advocated by thieves as well..journalists must know what to report and what not to steal.

  • Budgeting For Hard Power Books. Budgeting For Hard Power Books.