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Downloadannual Report Return to Contents Annual Report 2019 Sri Lanka Telecom PLC 02 Sri Lanka Telecom PLC Annual Report 2019 Every Step of the Way... With every Fibre of our Being. At the end of the day...it’s always the Big Picture that’s important. Yes – Sri Lanka Telecom is Sri Lanka’s premier “legacy” communications provider over decades; yes – we are today Sri Lanka’s leading proponent and provider of cutting-edge technology inspired solutions in the ICT realm that has transformed Sri Lanka. But...what really is the Big Picture? All of this we have accomplished for a single purpose only...to walk in step with every citizen of this country, providing the products and services they need, anticipating what they will need and value adding...at every turn. CONTENTS 03 23-33 107 About the Report Business Model Financial Reporting 23 - Operating Environment 108 - Annual Report of the Board of 26 - Strategy Directors on the Affairs of the 28 - Value Creation Model Company 30 - Stakeholders 113 - Statement of Directors in relation to 04-09 their responsibility for the preparation of Financial Statements 114 - Independent Auditors’ Report About SLT 118 - Statement of Profit or Loss and 34-75 other Comprehensive Income 119 - Statement of Financial Position Management Discussion 120 - Statement of Changes in Equity – Group and Analysis 121 - Statement of Changes 10-11 in Equity – Company 34 - Financial Capital 122 - Cash Flow Statement 40 - Institutional Capital 123 - Notes to the Financial Statements Highlights of the Year 46 - Investor Capital 49 - Customer Capital 61 - Business Partner Capital 64 - Employees Capital 69 - Social and Environmental Capital 183 12-19 74 - Regulatory Capital Supplementary Information Messages 184 - Ten year progress 12 - Group Chairman's Message 76-106 185 - Portfolio of Lands 14 - Group Chief Executive 191 - GRI Content Index 195 - Abbreviations Officer’s Message Stewardship and 16 - Chief Executive Officer's Review 18 - Chief Operating Officer's Review Governance 76 - Board of Directors Notice of Annual General Meeting 81 - Executive Management Form of Proxy 88 - Subsidiary Chief Officers Corporate Information 20-22 90 - Corporate Governance 98 - Audit Committee Report 102 - Remuneration and Nomination A Roadmap to Committee Report Smart Sri Lanka 103 - Related Party Transactions Review Committee Report 104 - Enterprise Risk Management 02 Sri Lanka Telecom PLC Annual Report 2019 Return to Contents ABOUT THE REPORT This integrated Annual Report The information contained herein, communicates the relationships and as in the past, is in compliance with interdependence of the many aspects all applicable laws, regulations, and of our business – such as strategy, standards. governance, performance and prospects – in the context of creating In preparing this Report we have drawn value over time. on concepts, principles and guidance given in the following where applicable: The approach to reporting we y Global Reporting Initiative (GRI) have adopted balances the need to Sustainability Reporting Guidelines communicate effectively through concise, GRI Standards relevant information (to a large and y International Integrated Reporting diverse stakeholder group), while at the Framework (IIRC) same time providing comprehensive compliance-related disclosures (that y Smart Integrated Reporting would interest only a few). MethodologyTM Report Boundary and Precautionary principle Compliance The Company applies a stringent precautionary principle with regards to A concise integrated annual report in The overall boundary of this Annual social and environmental sustainability. print, PDF and CD formats. Report comprises Sri Lanka Telecom PLC We are highly cognisant that our and its subsidiaries, duly identified as operations cause reciprocal impacts on ‘SLT’ or the ‘Company’ individually, and society and the environment, and we ‘Group’ collectively. Consistent with the take all necessary actions to alleviate framework adopted in the previous year, such risks. key financial aspects are discussed in the This Annual Report is also available on context of the Company and the Group. our website SLT Group’s business is dominated by Queries http://www.slt.lk/en/about-us/investors/ two principal segments, namely, fixed ICT financial-reports/annual operations and mobile ICT operations. We welcome your comments or Our Management Discussion and Analysis questions on this Report. thus treats these two segments either You may contact: separately or as one ‘ICT business’ as appropriate and duly identified as such. Mr Mahesh Athukorale, Company Secretary, This Report covers the 12-month Sri Lanka Telecom PLC, period 1 January to 31 December Lotus Road, Colombo 01, 2019 and is consistent with our usual Sri Lanka. annual reporting cycle for financial and sustainability reporting, with our +94 11 239 9478 most recent report published in 2019 covering the 12-month period 1 January [email protected] to 31 December 2018. www.slt.lk Scan here to view the Online Report 03 Return to Contents Annual Report 2019 Sri Lanka Telecom PLC ABOUT SLT Sri Lanka Telecom PLC is the national infrastructure services provider in into a digital service provider has Information and Communications Sri Lanka for over 162 years. SLT enables seen the Company move beyond Technology (ICT) solutions provider and opportunities that empower Sri Lankans telecommunications services to provide the leading broadband and backbone and elevates the country’s standing in a variety of services and solutions that the global arena. SLT’s transformation cater to a digital lifestyle. Vision Mission All Sri Lankans seamlessly Your trusted and proven partner for connected with world-class innovative and exciting communication information, communication and experiences delivered with passion, entertainment services. quality and commitment Values Customer Caring Teamwork We put our customers at the centre of We are one team with a common purpose everything we do to achieve common goals Trustworthy Excellence We are true to our promises We are committed to exceptional performance Innovative Results Driven We continuously invent new opportunities We are committed to enhancing through creative thinking shareholder value Responsive We are ready to listen and act promptly. 04 Sri Lanka Telecom PLC Annual Report 2019 Return to Contents About SLT Group Structure 100% 99.99% SERVICES Mobitel (Pvt) Ltd. Sri Lanka Telecom Mobile Service Provider (Services) Ltd. Network & System integration solutions provider 87.59% eChannelling 100% Pioneer software development and ICT service provider to the Healthcare industry SLT Digital Info Services 100% (Pvt) Ltd. Digital marketing, directory information publishing (SLT Rainbow Pages), web development, event management, and activation services. Mobit Technologies (Pvt) Ltd. Provider of software solutions 100% 100% SLT Campus (Pvt) Ltd. Higher Education Services SLT Human Capital Solutions (Pvt) Ltd. Total HR solutions provider 100% 100% SLT VisionCom (Pvt) Ltd. Talentfort (Pvt) Ltd. Internet Protocol Television (IPTV) service provider Total HR solutions provider 100% 40% Galle Submarine SLT Property Management Cable Depot (Pvt) Ltd. (Pvt) Ltd. Submarine cable depot Managing SLT’s real estate resources service provider 05 Return to Contents Annual Report 2019 Sri Lanka Telecom PLC About SLT Principal lines of business Products and markets Mobitel’s coverage extends nationwide and includes international roaming with The Sri Lanka Telecom Group provides Fixed ICT operations the partnership of a global web of over diversified services and an entire range of 650 networks. ICT solutions that cover fixed and mobile The Group’s holding company, SLT, operates in the fixed ICT business. It telephony, broadband, data services, As the only 4.5G/4G+ mobile network in provides telecom networks and ICT Internet Protocol Television (IPTV), Sri Lanka, Mobitel offers an unparalleled services to organisations of all sizes cloud computing and hosting services, broadband network experience delivering across all economic sectors, other and networking solutions to its varied burst speeds up to 300 Mbps and has telecommunications operators and customers via the latest technologies. been recognised by Ookla Speedtest internet service providers (ISPs), Awards as the fastest mobile network in public sector institutions, and The SLT Group primarily focuses on Sri Lanka. three operating segments which are the domestic customers. Group’s strategic segments: Mobitel was the first mobile network ICT facilities and services provided y Fixed ICT operations operator to deploy a Sub-1G mobile include voice, data, broadband, broadband network utilising 850 MHz y Mobile ICT operations wholesale, enterprise, cloud, international, spectrum in Sri Lanka, increasing 4G LTE and IPTV. One of the SLT Group’s key y Other segment operations coverage across the island. In 2018, strategic objectives is to drive adoption Mobitel commenced rolling out its largest of broadband-based consumer and Fixed and mobile ICT operations ever 4G LTE expansion project with enterprise services by expanding constitute the SLT Group’s core business. over 1,600 LTE sites across the nation the broadband footprint through the In 2019, they collectively accounted for together with Voice over LTE (VoLTE), Next Generation Network (NGN) and 98% of revenue, 98% of total assets, and enabling customers to make high quality National Backbone Network (NBN). nearly 100% of capital expenditure of the voice calls over the LTE network. SLT Group.
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