The SLT Group experienced significant growth in the first half of 2026, with a remarkable 54.4% increase in consolidated Profit After Tax (PAT), reaching LKR 6.6 billion compared to LKR 4.3 billion in the same period of the previous year. This surge was attributed to heightened demand for broadband and enterprise services, which helped counterbalance rising costs linked to currency depreciation and increasing fuel and utility expenses. The robust performance of SLT PLC and Mobitel bolstered the positive momentum that began in the first quarter of 2026, leading to double-digit revenue growth and improved profitability.
In H1 2026, the Group’s revenue totaled LKR 61,314 million, marking an 11.1% increase from LKR 55,167 million in H1 2025. This growth was primarily driven by a significant rise in broadband subscriptions at both SLT PLC and Mobitel, resulting in a 13.7% increase in Group EBITDA, which reached LKR 24,126 million. Operating profit soared to LKR 10,165 million, reflecting a 34.6% growth from LKR 7,551 million in the prior year, while Profit Before Tax (PBT) advanced by 51.4% to LKR 8,555 million. The Group’s contribution to the Sri Lankan government during this period was LKR 18,559 million.
Group operating expenses, excluding depreciation and amortization, increased by 9.6% to LKR 37,188 million, largely due to external pressures such as a 10% depreciation of the rupee, inflation exceeding 6%, rising electricity tariffs, and surging global fuel prices. These factors particularly affected costs related to imported equipment and repairs, which are priced in dollars.
Dr. Mothilal De Silva, Chairman of the SLT Group, commented on the results, stating, “The first half of 2026 is a critical period for SLT-MOBITEL. I want to express my heartfelt appreciation to our staff for their outstanding contributions, which have been fundamental to our success. Every team member has shown remarkable dedication to achieving excellence, allowing us to surpass our goals and establish new industry standards. We take great pride in these collective accomplishments.”
SLT PLC’s performance was bolstered by its core services, with revenue rising by 10.7% to LKR 39,309 million in H1 2026 from LKR 35,513 million in the previous year. The broadband segment was a key driver of this growth, with EBITDA increasing by 11.3% to LKR 14,854 million. Profitability metrics showed substantial improvement, with operating profit climbing by 39.8% to LKR 6,663 million, PBT increasing by 66.5% to LKR 6,127 million, and PAT rising by 74.9% to LKR 4,630 million compared to LKR 2,647 million in H1 2025. Operating expenses, excluding depreciation and amortization, saw a 10.3% rise, which was comfortably outpaced by the growth in revenue and profits, demonstrating effective cost management amid inflationary pressures.
Riyaaz Rasheed, CEO of SLT-MOBITEL, noted, “Our strong performance in the first half of 2026 was fueled by sustained demand for broadband, along with significant contributions from both the enterprise and carrier divisions, and continued growth at Mobitel. As we advance our 5G and FTTH initiatives, the SLT Group is dedicated to providing essential connectivity and digital infrastructure to support the growth of Sri Lanka’s digital economy, in alignment with government objectives.”
Mobitel also maintained its growth trajectory, with revenue increasing by 12.9% to LKR 26,340 million in H1 2026, driven primarily by ongoing broadband expansion. EBITDA rose by 16.9% to LKR 8,739 million, while operating profit improved by 30.3% to LKR 2,595 million. PBT surged by 60.5% to LKR 2,086 million, and PAT increased by 62% to LKR 1,724 million. Operating expenses rose by 11.0%, largely due to network-related costs, including license fees associated with the 5G spectrum acquired in December 2025, as well as increased input prices across various sectors.
SLT-MOBITEL is also advancing the integration of 5G and Artificial Intelligence (AI) technology, enhancing its 5G network to provide improved speed, reliability, and connectivity for customers and businesses. This initiative is part of their strategy to ensure that Sri Lankans remain competitive in the global digital landscape, as demonstrated by their collaboration with the Ministry of Digital Economy to host Sri Lanka AI Week 2026, the country’s leading AI event.
The positive trends continued into the second quarter of 2026, with Group revenue increasing by 11.7% to LKR 30,517 million compared to Q2 2025. Mobitel’s revenue growth was even more pronounced at 16.0%, buoyed by strong broadband performance. Group EBITDA for the quarter grew by 10.9% to LKR 11,960 million, while operating profit rose by 30.4% to LKR 5,033 million.
SLT PLC’s Q2 performance was particularly robust, with EBITDA up by 9.4% to LKR 7,219 million, operating profit rising by 44.1% to LKR 3,212 million, PBT soaring by 83.5% to LKR 3,228 million, and PAT increasing by 97.2% to LKR 2,570 million. Operating expenses, excluding depreciation and amortization, grew by 11.6%. Meanwhile, Mobitel’s Q2 EBITDA improved by 11.8% to LKR 4,369 million, with operating profit rising by 11.7% to LKR 1,266 million, PBT up by 44.3% to LKR 1,104 million, and PAT growing by 60.6% to LKR 943 million, although operating expenses increased by 18.0%.
For Q2, the Group’s PAT increased by 55.3% to LKR 3,533 million, while operating expenses, excluding depreciation and amortization, rose by 12.2% to LKR 18,557 million, reflecting the same cost pressures experienced in the first half of the year.
Financial Chronicle Biz English | Sri Lanka Business News.
