Professional Documents
Culture Documents
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Introduction of PTCL:
PTCL is the largest telecommunications provider in Pakistan. PTCL
also continues to be the largest CDMA operator in the country with
0.8 million V-fone customers. The company maintains a leading position in
Pakistan as an infrastructure provider to other telecom operators and
corporate customers of the country. It has the potential to be an
instrumental agent in Pakistan’s economic growth. PTCL has laid an
Optical Fiber Access Network in the major metropolitan centers of
Pakistan and local loop services have started to be modernized and
upgraded from copper to an optical network. On the Long Distance and
International infrastructure side, the capacity of two SEA-ME-WE
submarine cable is being expanded to meet the increasing demand of
International traffic. With the promulgation of Telecommunication (Re-
Organization)
With this offering, the PTCL not only bringing the benefit of high speed
Internet access to subscribers in major cities but will also generate new
revenue streams for future growth. The company also continued to invest
in infrastructure development and addition of network capacity with a view
to enhance services and to expand its reach across the country.
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‘‘Introduction to me’’
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History Of PTCL
From the beginnings of Posts & Telegraph Department in 1947 and
establishment of Pakistan Telephone & Telegraph Department in 1962,
PTCL has been a major player in telecommunication in Pakistan. Despite
having established a network of enormous size, PTCL workings and
policies have attracted regular criticism from other smaller operators and
the civil society of Pakistan
PTCL launched its mobile and data services subsidiaries in 2001 by the
name of Ufone and PakNet respectively. None of the brands made it to the
top slots in the respective competitions.
Lately, however, Ufone had increased its market share in the cellular
sector. The PakNet brand has effectively dissolved over the period of time.
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In 2009 PTCL launched its new product with the name of EVO
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Corporate Vision
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Mission
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Core Values
Ø Professional Integrity
Ø Customer Satisfaction
Ø Teamwork
Ø Company Loyalty
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Board of Directors
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Management
Mr. Abdul-Aziz
Dr Kamran Saliq
Zeeshan Guffar
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Banker
© Askari Bank
© Habib Bank
© Allied Bank
© Meezan Bank
© United Bank
© Citi Bank
© Faisal Bank
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Auditors
Maan Auditors
Usman Farooq
Charted Accountants & Co.
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Contacts
Head Office:
PTCL Headquarters
Block E
Islamabad
Ph. No. 051-55443322
Email: ptcl@usman.com
Registered office:
PTCL Headquarters
Abdalian Town
Lahore.
Ph. No. 042-55443322
Email: ptclptcl@usman.com
Share Office:
FAMCO Associates (pvt) Limited
Ground floor
Multan Cant.
Ph. No. 061-55443322
Email: ABCptcl@usman.com
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Financial Highlights
2010 2009 2008 2007 2006 2005
Key Indicators
Operating
Gross Margin % 28.67 39.66 47.86 56.58 52.24 48.07
(Operating Profit
Margin)
Pre Tax Margin (EBIT % 37.16 45.32 52.32 59.41 55.93 50.17
Margin)
Net Margin % 23.96 30.07 35.02 39.35 34.35 29.83
Leverage
Debt: Equity Rati 14:86 14:86 13:87 13:87 16:84 25:75
o
Leverage % 27.92 31.27 25.64 23.91 26.14 32:81
Liquidity
Current Times Tim 2.22 1.66 1.91 2.78 2.02 1.72
es
Quick Times Tim 2.06 1.54 1.74 2.67 1.91 1.61
es
Valuation
Breakup Value RS 21.75 20.68 19.63 21.39 19.17 17.39
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Market Price to
Breakup Value Times 1.88 1.96 3.58 1.97 1.48 0.99
Dividend per share Rs. 2.00 5.00 2.00 5.00 3.50 2.70
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Financial Highlights
(Graphs)
Revenue
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CEO MESSAGE
The challenges faced by PTCL became even tougher in the past
year where Pakistan experienced a spillover from the global
recession. However, with unwavering determination and strong
passion we have remained steady and focused on our course –
to be the leading customer oriented ICT Company in Pakistan.
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Best Wishes
Usman Farooq
President & CEO
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Directors Report
PTCL is all set to redefine the established boundaries of the
telecommunication market and is shifting the productivity frontier to
new heights. Today, for millions of people, we demand instant
access to new products and ideas. More importantly we want them
for their better living standards with increased values in this ever-
shrinking globe of ours. We are setting free the spirit of innovation.
PTCL is going to be your first choice in the future as well, just as it
has been over the past six decades.
Nationwide Infrastructure:
We have the largest Copper infrastructure spread over every city,
town and village of Pakistan with over million installed lines.
The network has over 6 million PSTN lines installed across
Pakistan with more than 3 million working. Furthermore installed
capacity of broadband is more than 0.6 million ports spread
across 414 cities and town of the country
National Long-haul Core Network:
We have over 10,400 km fully redundant, fiber optics DWDM
backbone network. It connects over 840 cities and towns with
270G bandwidth.
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Broadband Pakistan
PTCL Broadband is the largest and the fastest growing
Broadband service in Pakistan. Since its launch on 19th May
2007, PTCL has acquired approximately 432,821 Broadband
customers in over 414 cities and towns across Pakistan, leading
the proliferation and awareness of Broadband services across
Pakistan.
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there was very little awareness in the country about broadband &
high speed internet services.
International Network
SEAMEWE-3 Submarine Cable System:
PTCL is a member of SEAMEWE 3 Cable Consortium with its
Cable Landing Station at Karachi. SMW-3 cable connects 39
cable landing stations in 33 countries and four continents. SMW-
3 is the longest system of the world with a total length of 39,000
Km.
Satellite Communication:
PTCL has Intelsat Standard Earth Stations near Karachi and
Islamabad. These installations provide the diversity for
International voice connectivity and also work as Hub for
domestic satellite users. There are four Intelsat Standard B Earth
Stations at Islamabad, Gilgit, Skardu and Gwadar.
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Attendance
(of PTCL Board of Members)
02 Sara Rizwan 07
03 Zohaib Mailk 05
04 Wajahat Ali 06
05 Zeeshan Khan 05
06 Sameed Umair 02
07 Abdul Shakoor 04
08 Usama Ahmad 06
09 Nadeem Aftab 04
10 Salman Baloch 05
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(i) The balance sheet and profit and loss account together
with the notes thereon have been drawn up in conformity
with the Companies Ordinance, 1984, and are in
agreement with the books of account and are further in
accordance with accounting policies consistently
applied.
(ii) The expenditure incurred during the year was for the
purpose of the company’s business; and
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Maan Auditors
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Authorized capital
11,100,000,000 “A” class ordinary 111,000,000 111,000,000
shares of Rs 10 each
3,900,000,000 “B” class ordinary 39,000,000 39,000,000
shares of Rs 10 each
Total 150,000,000 150,000,000
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Current liabilities
36,086,322 21,913,959
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Assets
Current assets
Stores and spares 19 5,201,991 4,954,085
Trade debts 20 10,760,974 13,366,216
Loans and advances 21 590,061 888,309
Accrued interest 22 821,027 315,817
Recoverable from tax 23 1,059,608 1,383,766
authorities
Other receivables 24 698,270 1,641,617
Receivable from Government 25 2,164,072 2,164,072
of Pakistan
Short term investments 26 21,017,790 10,344,379
Cash and bank balances 27 11,906,448 4,545,145
54,220,241 39,603,406
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1.2 Activities
The Company provides telecommunication services in
Pakistan.
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2. Basis of preparation
2.1 Statement of compliance
These financial statements have been prepared in accordance
with approved accounting standards as applicable in Pakistan.
Approved accounting standards comprise of such International
Financial Reporting Standards (IFRS) issued by the International
Accounting Standards Board as are notified under the
Companies Ordinance, 1984, provisions of and directives issued
under
the Companies Ordinance, 1984. In case requirements differ,
the provisions or directives of the Companies Ordinance, 1984
shall prevail.
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3. Basis of measurement
These financial statements have been prepared under the historical cost
convention, except for revaluation of certain financial
instruments at fair value and recognition of certain employee retirement
benefits and license fee payable at present value.
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4.3 Taxation
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4.7 Investments
Investments intended to be held for less than twelve months
from the balance sheet date or to be sold to raise operating
capital, are included in current assets, all other investments
are classified as non–current. Management determines the
appropriate classification of its investments at the time of
the purchase and re–evaluates such designation on a
regular basis
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4.9.2.2 Held–to–maturity
Held–to–maturity investments are financial assets with fixed or
determinable payments and fixed maturities that management
has the positive intention and ability to hold to maturity. These
are recorded at amortized cost using the effective interest rate
method, less any amounts written off to reflect impairment.
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Categories of Shareholders
as at Dec, 31st 2010
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1. To confirm the minutes of the last AGM held on 31st October, 2009
2. To receive, consider and adopt the Audited Accounts for the year ended
31st Dec, 2010 together with the Auditors’ and Directors’ reports
3. To approve and declare the interim dividend of 15% (Rs. 1.50 per share)
already announced and paid for the year ended Dec, 31st 2010
Board Of Director
Dated: 31st Dec, 2010 Mr. Usman Farooq
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SWOT Analysis
Of PTCL for the year ended 31 Dec 2010
It refers as
S: Strength
W: Weakness
O: Opportunities
T: Threats
Analysis
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Strengths
Ø Largest operational network and infrastructure within ICT
(Information & Communication Technologies) segment.
Ø An integrated Monopoly.
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Weakness
Ø Not been able to nurture its growth around customer
services oriented strategy.
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Opportunities
Ø Low tele-density of Pakistan.
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Threats
Ø Increased competition in long distance continues to
exert pressure.
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Conclusion
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Recommendations
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Bibliography
For successful completion of this project, I have utilized
different available resources, that proved to be friendly for
gathering the required data.
These resources lie in both digital and analog form.
Most of the information is obtain from Internet, while a visit to
PTCL Multan had made me to get further information. I am
thankful to company management who had welcome and
cooperate in order to provide some basic information and in
arranging for the Annual report of the previous Year.
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