Page 98 - CJ 2019 INTEGRATED REPORT

96 TELECOMMUNICATIONS MEDIA AND IT CLUSTER PERFORMANCE OUTLOOK AND STRATEGIES
In 2019 2019 the the the cluster’s turnover grew by by 2% over over 2018 to reach Rs 3 08BN This slower growth is is partly explained by by the the the exit from the the the BPO business in in early 2019 2019 The cluster’s operating profit was negatively impacted by the the the the exit o of of of Multi Contact and the the the the higher costs o of of of the the the the renewed contracts with key content providers at at at at at at the the the the the level o of of of of o of MC Vision in in in in in in 2019 However Emtel recorded an an an increase of of o of 14% in in in in in in its operating operating profit as as a a a a a a a a a a a a a a a a a a a a result of of o of higher penetration in in in in in in the the the enterprise data and and and home broadband markets In In addition to to to this both Screenage and and Currimjee Informatics improved their operating operating operating performance compared compared to to to last year The cluster’s operating operating profit for for for 2019 reached Rs Rs 995M compared compared to to to Rs Rs 1 1 1 04BN in in in 2018 EMTEL
• Growth in in in in in in in in the mobility market in in in in in in in in Mauritius Mauritius is slowing with mobile subscriptions increasing only by 0 0 0 2% between 2018 and and 2019 However consumers worldwide Mauritius Mauritius included continue to show show an an an insatiable appetite for mobile mobile mobile data a a a a a a a a a a a a a a a a a a a trend that shows no sign of of abating As mobile mobile mobile free WiFi and and OTT Apps become increasingly pervasive mobile mobile mobile internet usage has has trickled into the the everyday lives of of of smartphone users users While our number of of of data users users has has has been been increasing at at at a a a a a a a a a a a a a a a a a a very very quick pace the the the related revenue revenue increase has has has not been been sufficient to to offset the the decline in in in in in in revenues from traditional services (Voice VAS and and SMS) The competitive and regulatory environment has become more challenging • The advent of of of 5G 5G 5G is is is is is ushering in in in in in a a a a a a a a a a a world of of of opportunities and challenges for for telecom providers It is is is is is still in in in in in its nascent stages but we are already studying the the launch of of of 5G 5G 5G in in in in in in in the the foreseeable future 5G 5G 5G is is is is is is is poised to to to disrupt industries and and and give rise to to to innovative new products and and and services thanks to to to its promise for for fast speed and and and unprecedented level level of of connectivity but this also necessitates extremely high levels of of capital expenditure This shift requires businesses to to undertake large-scale transformations to to prepare for for a a a a a a a a a a a a a a a a new new network network paradigm: technology and and network upgrades new business business models and and cost-effective offerings OUTLOOK AND PRIORITIES IN 2020
• As we we prepare for the the the the rollout of of of 5G we we intend to to make further capital investment in in in in in in in future-proofing our network infrastructure and and developing the the the the capacity to to manage the the the the complexities of of of managing 2G 3G 4G and and 5G 5G simultaneously • While we we are progressively reaping the the the benefits of our our diversification strategy in in in in our our three core market segments we we we still have potential to grow grow in in in in in in the the the the the home and and mobile data segment segment As second entrants in in in in in in the the the the the enterprise market we we made notable headway in in in in in in in 2019 and and are aiming for even further growth over the the the the the the next few years supported in in in in in in in in large part by the the the the the submarine cable that will come into service towards the the the the the end of 2020
The METISS consortium is is expected to to to boost connectivity in in in in in in the the the the the region enhance business operations across industries and and and and connect connect the the the the economies of the the the the Indian Ocean islands Increased convergence between between telecommunication and and and and and media media companies will necessitate greater collaboration between between Emtel and and and and and MC Vision as as as well as as as the the the the development of of skills to to support this this convergence In line with the the the worldwide trend of of telecom and and and media media companies coming coming together Emtel has acquired a a a a a a a a a a a a a a a a majority stake in in in in in in in MC Vision We are certain that this this strategic move will bring greater synergies and and a a a a a a a a a a a a a a a a a a a a better customer experience in in in in in in in a a a a a a a a a a a a a a a a a a a a world where content is is is is becoming key and and mobile communication is is part of of everyday life We aim to to to focus on on on upskilling our our employees so they can quickly adapt to the changing needs of of our business • We aim to fully ban single-use plastic in in in 2020
both in in in our head office and showrooms • All the the the the major industries of of the the the the world are currently dealing with the the the the devastating effects of of COVID-19 From manufacturing to to marketing early 2020
has started to to see shifts in in in in in in in in the the the the the way businesses and organisations operate in in in in in in in in the the the the wake of this unprecedented event At Emtel several measures have been taken for our our employees customers and other stakeholders including our our business business partners to to to mitigate the the the risk as as as well as as as to to to ensure business continuity OPERATING ENVIRONMENT IN IN 2019 CURRIMJEE JEEWANJEE AND COMPANY LIMITED