Efficient cost cutting reaps rewards for TOT
TOT managed to reap a Bt1 billion profit last year instead of a forecast loss of Bt6.8 billion thanks to better-than-expected revenue from operations and efficient cost cutting.
TOT’s revenue last year dropped to about Bt40 billion from Bt50 billion in the previous year as it started passing its concession revenue of about Bt20 billion a year to state coffers as required by the Frequency Allocation Act.
In 2014, its revenue from operations edged up to Bt29.8 billion from Bt28.9 billion in 2013.
However, its income statement did not include depreciation expenses. TOT is waiting for the Auditor-General’s Office to audit its accounts.
TOT now believes it has a chance to book a profit this year after projecting a huge loss of Bt10 billion.
"We are hoping to see a profit from this year," chairman Surapong Suwana-adth said yesterday.
General Surapong and his board were appointed by the government in August to restructure the state enterprise’s business and lay out a roadmap for the future.
The new board has set a goal for TOT to get financially better within one year by seeking strategic partners. It is considering proposals from all six local telecom operators to be its partners.
They are Advanced Info Service, True Corp, Loxley, Samart, Mobile LTE and Total Access Communication.
