Dialog delivers strong 1H 2025 performance

• Revenue up 6% to Rs. 87.4 b, core revenue up 21% YTD
• EBITDA up 50% to Rs. 40.5 b, EBITDA margin up 13.5 pp to 46.3% 
• NPAT up by over 100% to Rs. 9.2 b
• Taxes paid to Govt. at Rs. 28.4 b 
• CapEx at Rs. 13.3 b; OFCF at Rs. 19.9 b

Dialog Axiata PLC yesterday announced strong performance in the first half ended 30 June 2025.

The Group delivered robust results across its Mobile, Fixed Line, Digital Pay Television, and Tele-infrastructure businesses, achieving 6% year-to-date (YTD) revenue growth to Rs. 87.4 billion in 1H 2025. This was despite the strategic scaling down of low-margin international wholesale business, amounting to approximately Rs. 10 billion. On a quarter-on-quarter (QoQ) basis, revenue increased 2% to Rs. 44.1 billion, driven primarily by data revenue expansion. Core revenue for the period reached Rs. 84.2 billion, up 21% YTD.

Group Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) recorded a growth of 50% YTD to Rs. 40.5 billion in 1H 2025, with QoQ EBITDA rising 5% to Rs. 20.8 billion. 



The strong performance reflects both revenue growth and operational efficiencies. The EBITDA margin improved by 13.5 percentage points (pp) compared to 1H 2024, reaching 46.3%, surpassing the pre-crisis margin.

Group Net Profit After Tax (NPAT) was recorded at Rs. 9.2 billion in 1H 2025, more than doubling YTD. QoQ NPAT grew by 23% to Rs. 5.1 billion, supported by improved EBITDA and lower finance costs. In line with improved operational performance, Operating Free Cash Flow (OFCF) improved by 78% YTD to Rs. 22.1 billion.

At the entity level, Dialog Axiata PLC (Company) continued to account for a substantial share of Group performance, contributing 75% of Group Revenue and 73% of Group EBITDA. Company revenue reached Rs. 66 billion for 1H 2025 and Rs. 33.7 billion for Q2 2025, up 28% YTD and 5% QoQ, respectively, driven by growth in Data and Voice segments. Profitability improved significantly, with Company EBITDA rising to Rs. 29.4 billion for 1H 2025 and Rs. 15.3 billion for Q2 2025, up 68% YTD and 8% QoQ. Supported by this EBITDA performance, Company NPAT was recorded at Rs. 6.9 billion for 1H 2025 and Rs. 4 billion for Q2 2025, reflecting strong growth over the corresponding periods.

Dialog Television (DTV) consolidated its leadership position in the Digital Pay Television market, maintaining a subscriber base of over 1.6 million as of end 1H 2025. DTV revenue reached Rs. 6.4 billion for 1H 2025 and Rs. 3.3 billion for Q2 2025, up 5% YTD and 5% QoQ. Growth was supported by higher Subscription and Advertising revenues. DTV EBITDA grew 24% YTD to Rs. 1.2 billion for 1H 2025; however, NPAT was recorded at a negative Rs. 479 million for the period.

Dialog Broadband Networks (DBN), encompassing the Group’s Fixed Telecommunications, Broadband, and International Businesses, posted a revenue of Rs. 17.4 billion for 1H 2025 and Rs. 8.4 billion for Q2 2025, down 38% YTD and 8% QoQ. This decline was primarily due to the scaling down of low-margin international wholesale operations. Nevertheless, DBN EBITDA increased 20% YTD to Rs. 9.6 billion in 1H 2025, driven by growth in Broadband business. NPAT recorded a growth of 67% YTD to Rs. 2.8 billion.

Dialog Group remained a major contributor to national revenue, remitting Rs. 28.4 billion to the Government of Sri Lanka (GoSL) in 1H 2025. This comprised Rs. 7.2 billion in Direct Taxes and Levies, and Rs. 21.2 billion in Consumption Taxes collected on behalf of the GoSL.

The Group continued to invest in broadband and ICT infrastructure to ensure seamless customer experience and maintain market leadership. Capital expenditure on digital infrastructure increased by 43% YTD to Rs. 11.1 billion in 1H 2025. 

Dialog Axiata is keenly awaiting the issuance of 5G spectrum for commercial services, which will enable further upgrades to Sri Lanka’s broadband infrastructure and enhance the nation’s digital connectivity.

In July, Dialog celebrated 20 years since its landmark listing on the Colombo Stock Exchange (CSE). The milestone was commemorated with a ceremonial bell-ringing, attended by senior management of Dialog and the CSE. Dialog remains the largest Foreign Direct Investor in Sri Lanka, with cumulative investments exceeding $ 3.37 billion, supporting the expansion of advanced digital infrastructure and inclusive development.

Dialog is ranked no. 7 among CSE-listed companies by market capitalisation, backed by a broad shareholder base of over 23,000 investors, where 99.46% of whom are Sri Lankan residents. Notably, more than 13,000 original Initial Public Offering (IPO) investors continue to hold Dialog shares today, reflecting long-term confidence in the Company’s vision and leadership.

In Q2 2025, Dialog was once again recognised by LMD as both the Most Loved Service Brand and the Most Loved Telecommunications Brand in Sri Lanka. This marks the second consecutive year securing both of these titles. The accolades were based on an independent survey by PepperCube Consultants, polling a balanced demographic of 400 respondents across the country.

Dialog also became the first company in Sri Lanka to achieve ISO 37001:2016 certification for Anti-Bribery Management Systems (ABMS). This globally recognised standard affirms the Company’s commitment to ethical business practices, effective bribery risk management, and compliance with international anti-bribery regulations.