The safety of our shareholders, our people and the broader community are key considerations for our Board. The Covid-19 pandemic has required us to quickly adapt to new ways of doing things, and similar to last year, our 32nd Annual General Meeting (AGM) was held this afternoon using ‘Fahivote’, an online General Meeting Management System developed by Maldives Security Depository Pvt Ltd. With 46 shareholders representing 717,373,704 shares, 32nd AGM concluded successfully by passing all the resolutions proposed.
In these unprecedented times, as the world emerges from the Covid-19 global pandemic that has disrupted lives and livelihoods, our services have helped establish a new normal and transformed the way we work, study, transact and interact with each other. The significant investments we have made towards achieving our vision to enrich lives by connecting the entire country and expanding our services to remote corners, has been pivotal in enabling our people, communities and businesses to quickly adapt to the challenges faced by last year’s disruptions. As the pandemic started to unfold, the utmost priority was given to ensure the safety and well-being of our colleagues, and implement business continuity management measures, to ensure that the connectivity and service we provide to our customers was not interrupted.
Our financial performance in 2020 was significantly impacted due to the pandemic with total revenue for the financial year 2020 reduced by 13.1% compared to 2019. Reduction in revenues came from all key areas of the business, but the most significant impact was felt from the tourism sector which was severely hindered due to the closure of borders and interruptions to travel throughout most of the year. The impact on revenue also resulted in a reduction in profit after tax by 22.2% compared to 2019 and ending with a profit of MVR 732m, despite prudent cost control measures.
In consideration of the challenging financial performance, but in line with the Company’s commitment to provide returns to its shareholders, it was resolved to approve a full year dividend of MVR 7.23 per share which compromises of MVR 2.07 per share paid as interim dividend in 2020 and MVR 5.16 per share approved by the shareholders as the final dividend during the 32nd AGM. The 2020 dividend is a reduction of MVR 4.77 per share, which is a 39.8% reduction compared to last year.
Revenue
Profit After Tax
Dividend per Share (MVR)
2020
2,483
732
7.23
2019
2,859
942
12.39
12.00
% Change
-13.1%
-14.4%
-22.2%
-22.2%
-39.8%
We created value for our customers and our communities by investing in resilient network infrastructure for the future of the Maldives and creating products and services that enrich lives and empower communities. In line with our strategy to enhance network diversity and resilience, we invested 45% to the Maldives Sri Lanka Cable (MSC) which was commissioned late last year. As a result, we hope to enhance internet connectivity, help reduce price, improve network diversity and resilience, and facilitate innovation for future growth.
Despite the challenges, we focused on being agile and continued to roll-out of our high-speed fibre broadband network across the country to reach 80% of households and enhance customer experience. We encouraged more customers to reach us through digital channels by increasing our portfolio of digital services for consumers, businesses and communities.
While the digital transformation journey continues to accelerate, Dhiraagu remains committed to building a more resilient and sustainable way to move forward. Additionally, as per our values and our mission, ‘to enrich lives through digital services’ - it continues to guide us as we create long term value to our shareholders.
To read our full Annual Report 2020, please visit https://bit.ly/33VGpbF
