Bangladesh Submarine Cable Company Limited (BSCCL) posted an 18 percent year-on-year decline in profit to Tk 47.99 crore in the second quarter of the current financial year, owing to a fall in revenues and a rise in bad loans.

The profit stood at Tk 58.54 crore in the October-December quarter of 2022-23, according to the unaudited financial statements. So, the diluted earnings per share fell to Tk 2.91 in the second quarter of 2023-24 from Tk 3.55 a year earlier.

The profit slowdown in the three months to December hit the earnings in the first half of FY24 as it fell nearly 11 percent to Tk 103.89 crore. The profit stood at Tk 116.59 crore in the similar half of FY23.

The diluted EPS was Tk 6.30 in July-December of FY24 compared to Tk 7.07 in FY23.

The decrease in the EPS was mainly due to the reduction in revenue in international private leased circuit (IPLC) rent, IP (internet protocol) transit service, and the increase in provision for bad and doubtful debts.

An IPLC, a private line used by companies to communicate between offices that are dispersed throughout the world, can be used for internet access, data exchange, video conferencing and other forms of communications.

The net operating cash flow per share of BSCCL rose to Tk 10.09 in July-December of FY24 from Tk 8.19 a year earlier on the back of the collection of revenue from customers, the state-run company said in a filing on the Dhaka Stock Exchange.

The net asset value per share rose to Tk 89.71 on December 31 from Tk 85.05 on June 30.

Shares of BSCCL closed 5.09 percent lower at Tk 160.50 on the DSE today.