Neotel: Revenue grows 23% year on year

Neotel, the fixed-line operator that is the subject of a takeover offer by cellular network giant Vodacom, posted 23 percent growth in revenue for the year to March. Commenting on the annual results, managing director and chief executive Sunil Joshi said the business continued to exhibit strong growth. “While there is considerable growth still to be realised, these results evidence the hard work from Team Neotel over the last 12 months.” He said the business invested R500 million in capital expenditure last year to “expand its network footprint and launched a number of game-changing services, such as usage-based wide area network and usage-based broadband”. Neotel, owned by Tata Communications of India, grew revenue across all its business units, “including managed services, network services, NeoVoice, NeoInternet and NeoBroadband”, he added. – Ayanda Mdluli