Profits of Bangladesh Submarine Cables PLC (BSCPLC) declined in the second quarter of fiscal year 2024-25 as revenues decreased while operational expenses soared. 

The company posted a profit of Tk 41.89 crore for the October-December quarter, a 23 percent year-on-year decline, according to a disclosure on the Dhaka Stock Exchange (DSE) website.  

Shares of BSCPLC dropped 3.55 percent to Tk 122.1 as of mid-day trading today on the DSE. 

The company's diluted earnings per share (EPS) stood at Tk 2.24 for Q2, down from Tk 2.91 in the same period a year ago. 

The decline was attributed to reduced revenue from IPLC rent and IP transit services, increased operation and maintenance expenses, and a rise in the weighted average number of shares due to the issuance of 2.21 crore new shares to the government in September 2024.  

An IPLC offers organisations continuous bandwidth that is both private and secure, providing end-to-end connectivity, and IP transit is where an internet service provider allows traffic to cross its network to reach a destination. 

For the six months ending December 2024, the company's diluted EPS dropped to Tk 4.74 from Tk 6.30 in the corresponding period of the previous fiscal year. 

The diluted EPS calculation incorporated 1.7 crore potential shares issued against equity received from the government over multiple years to fund the "Installation of 3rd Submarine Cable" project.  

Itss net operating cash flows per share (NOCFPS) fell to Tk 4.98 in July-December 2024, compared to Tk 10.09 in the same period last year.

The company attributed the decrease to lower revenue collections and customer dues, alongside the issuance of additional shares.  

The company's net asset value per share also fell due to routine business activities and the impact of issuing new shares to the government.  

Bangladesh Submarine Cables PLC (BSCPLC), under the Department of Posts and Telecommunications, manages Bangladesh's submarine cable systems, enhancing global connectivity since 2008. 

With projects like SEA-ME-WE 4, 5, and the ongoing SEA-ME-WE 6, BSCPLC has expanded bandwidth capacity to 7220 Gbps, reduced internet costs, and strengthened the efficiency of the country's international telecommunication networks, according to its website.