In terms of the Listings Requirements of the Malawi Stock Exchange, a listed company is required to publish a trading update as soon as there is a reasonable degree of certainty that the financial results for the period to be reported upon next will differ by at least 20% from that of the previous corresponding period.
Further to the previous Trading update published in the media on 17th December 2012 Telekom Networks Malawi Limited accordingly advises that the Net Profit after Taxation for year ending December 2012 is expected to be approximately 45% to 55% lower than the previous corresponding period instead of approximately 20% to 30% as earlier reported. This is largely due to foreign exchange losses incurred following the recent sharp devaluation of the Malawi Kwacha during the second quarter of the year, coupled with the continued depreciation of the currency during the third and fourth quarters of the year, and the resultant increase in finance charges.
The information, on which this Trading Update is based, has not yet been reviewed or reported on by the external auditors of Telekom Networks Malawi Limited.
Telekom Networks Malawi Limited’s Annual Financial Statements for the period will be published in the press by March 2013 following their review and approval by the Board of Directors.
Date: 20th February 2013