Powertel, A Zimbabwe Electricity Supply Authority (ZESA) subsidiary, and Internet Access Provider has recorded marginal growth in revenue of 3% as the year ended 2016
Their last year revenue of $25 520 350 marginally jumped to a new height of $25 760 021 as the state-owned Internet Service provider improves its revenue stream with new product launches and better market visibility.
We have registered a marginal 3% growth, which is a positive towards our growth, but we are not excited as this was not enough to move our balance sheet northwards and we have set aggressive target for the next season” said Powertel.
However, Powertel registered a major trading loss decline of $352 634 for the year 2016 which was another decline compared to 2015, where the state-owned enterprise registered $549 000 loss.
Their financial figures are closer to profitability compared to other state-owned enterprises who have huge loss gaps, should they up their game to improve revenue streams.
Their parent company ZETDC, tops the list with a whopping $115 million loss running into a cumulative loss of $515 million while TelOne a converged state-owned ISP and fixed telecommunication service provider tops the list with a $25million loss, NetOne is also on the list with $2.7 million loss.
Their revenue would have been better if they had been cushioned with some loans compared to the same operators in their industry.
When Powertel was formed, it was solely for the purpose of servicing ZESA, their parent company, but budding out to go mainstream as a business was a major positive growth for them, save for not making profits.
They made big news recently when they integrated vendors on the electronic prepaid system which allowed many players to act as ZESA agents, cutting down long queues country wide and forced ZESA to even close some banking halls which became irrelevant.
This ultimately became a revenue creation model for hundreds across the nation who are now running a sustainable business out of profit margins for collecting prepaid electricity on behalf of ZESA.
The move landed them Zimbabwe Investment Award, for plowing employment opportunities back into the community. Powertel scooped the investor of the year award following its creation of employment through the electricity aggregation.
To turn around their profits, Powertel said they are now embarking on key projects on network expansion, electricity aggregation advancement, retail network expansion, network improvement projects and running new services to add value to their existing customers.