BSNL plans Rs 17,000 cr expansion for current fiscal

Mumbai, Sep 29: India's largest telecom service provider Bharat Sanchar Nigam Limited (BSNL) today announced plans to invest over Rs 17,000 crore for the expansion of it's network during the current financial year.

The major area of expansion has been identified as mobile phones and a tender for laying six crore GSM lines has already been floated by the company, said a BSNL release.

The company has over two crore mobile subscribers and it's net switching capacity is about six crore. In the next three years, the company plans to double its net switching capacity.

The company has invested Rs 8892 crore in the expansion of the telecom network and addition of new telephone lines during the last financial year, the release informs.

BSNL has also emerged as the largest service tax payer in the country contributing more than Rs 10,000 crore to the government exchequer by way of taxes and levies.

The company has declared a dividend of Rs 1175 crore, which is inclusive of interim dividend of Rs 375 crore for the fiscal year 2005-06. The company has earned a net profit of Rs 8940 crore on the revenue of Rs 40177 crore for the year 2005-06.

The company has registered a net increase of 11.13 per cent in revenue during the year. The operating profit of the company for the year was Rs 8270 crore showing a growth of 23.69 per cent over the corresponding previous year.

The highlight of the performance in 2005-06 was the net addition of 82 lakh line including 77 lakh new cellular customers and launching of broadband services in all the major towns of the country. BSNL is the main telecom service provider to BPO and KPO industries in the country and also the largest service provider to the rural India, the release added.

UNI