The mobile phone provider Mobilezone achieved slightly higher turnover in the 2023 financial year, but generated less profit. In the future, the company wants to pay a higher dividend to its shareholders.
In the 2023 financial year, Mobilezone increased turnover by 1.1 percent to 1,013 million francs, the company announced on Friday. Adjusted for currency influences, Mobilezone realizes more than two-thirds of its turnover in Germany; turnover is said to have increased by 3.9 percent.
Mobilezone grew in both Switzerland and Germany. After a relatively weak start to 2023, the company in Germany was able to catch up significantly in the second half of the year. The turnover increase in Germany, at 1.7 percent, was even slightly higher than in Switzerland, where Mobilezone was able to increase by 0.9 percent.
Annual goal almost achieved
Operating profit at EBIT level fell from 70.6 million francs to 65.7 million francs. The company thus reached the lower end of its own expectations of 65 to 72 million francs. The corresponding operating margin was 6.5 percent (previous year 7.0%).
The end result was a 9.3 percent lower net profit of 49.5 million francs. With its figures, Mobilezone met the analysts’ profit expectations. However, in terms of revenue, it significantly exceeded expectations.
Higher dividend promised in the future
Based on the annual results, the Board of Directors proposes a dividend of 90 cents per share, which is unchanged compared to last year. However, for the coming years, the Board of Directors has decided to slightly increase the dividend payout ratio to 60 to 80 percent compared to the previous 60 to 75 percent of consolidated profit.
Mobilezone also announced that it would also suspend its share buyback program in 2024. The three acquisitions Digital Republic, SIGA and ENO from the previous year are cited as the reason.
Full of confidence for 2024
With a view to the current financial year 2024, Mobilezone was confident. There is still a “high demand for telecommunications products” among the population, the statement said.
For 2024, Mobilezone aims for an EBIT between 68 and 75 million francs. The company also reiterated its target to increase EBIT margin to 8.0 percent by 2025. (rbu/sda/awp)
Soource :Watson
I am Amelia James, a passionate journalist with a deep-rooted interest in current affairs. I have more than five years of experience in the media industry, working both as an author and editor for 24 Instant News. My main focus lies in international news, particularly regional conflicts and political issues around the world.
