Jump to content

Cell C makes R7.5-billion loss

Spreadsheet Ranger
 Share

Recommended Posts

Spreadsheet Ranger Newbie

Spreadsheet Ranger

Posted
Posted

Cell C has published its interim results for the six months ended June 2020, reflecting a R7.5-billion net loss after tax.

 

The company said this loss was mainly as a result of once-off costs and adjustments, and also reflects impairments to the value of R5 billion.

 

R5 billion worth of Cell C’s network and right-of-use assets were impaired due to the new MTN network arrangement.

 

The company’s reported EBITDA is lower than the same period last year at R1.2 billion, and EBIT was declared at a loss of R.53 billion compared to a profit of R90 million in the first half of 2019.

 

Cell C said that excluding once-off recapitalisation and restructure costs, EBIT for H1 2020 would have been at R162 million – an improvement of 80%.

 

“We remain focused on restructuring the balance sheet and optimising the business for long-term competitiveness,” said Cell C CFO Zaf Mohamed.

 

“We have a legacy debt challenge in our balance sheet, rather than an income statement one which will be addressed with the recapitalisation.”

Cell C CEO Douglas Craigie Stevenson said the company is on track with regards to its turnaround plan.

 

He said he expects operating margins to improve over the medium term as Cell C transitions to its new business model.

 

Source: MyBroadband

Join the official JSE Discord Channel

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Restore formatting

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

×
 Share
Go to topic listing

  • The JSE Investment and Finance Forum

    Platinum Wealth is a leading financial forum with an eye on the future of our country and the citizens of South Africa.  Even though the era of trading exclusively with physical goods is in the distant past, we as a civilization have always looked for new ways to prosper. Simply put, ways to get a better deal.  To have more, for less.  At Platinum Wealth we have created a bigger platform for you to do exactly that - a connected network of your peers giving the tips and tricks that have helped them reach their financial and investment goals.

    From personal finance and creating wealth, to financial news and small business, we cover it all at Platinum Wealth.  Pose your money and investment questions in our money and investment forums, we'll make sure they get answered.  We want to guide a new generation of money conscious readers.  We are here to share tips and practical knowledge that will help you live large without sacrificing your financial independence.

  • Tell a friend

    Love Platinum Wealth: The JSE and ZAR X Financial and Investment Forum? Tell a friend!

  • Topics

×
×
  • Create New...