⚡ Flash Summary

Telecard’s FY 2024-25 corporate briefing highlights a strategic merger with Supernet Limited approved by both boards, aiming to unlock value and list Supernet Technologies (SNL) on the PSX Main Board. The merger application is pending adjudication by the Sindh High Court. The company has also secured key commercial deals including a PKR 833 Mn+ contract, MNO Network Operations SLAs worth PKR 1,940 Mn+, and a cybersecurity business generating USD 1.76 Million. The industry outlook is positive with strong growth in the IT/ITeS and e-commerce sectors.

📌 Key Takeaways

• 1. 🤝 Strategic merger of Supernet Limited and Supernet Technologies approved, awaiting court adjudication.
• 2. 🏢 SNL listing on PSX Main Board to unlock value. 🚀
• 3. 🔒 Secured PKR 833 Mn+ contract for 1,800 bank branches. 🏦
• 4. 🌐 Won MNO Network Operations SLAs worth PKR 1,940 Mn+. 📡
• 5. 🛰️ Won MEO Satellite Services worth PKR 1,030 Mn+. 📡
• 6. 🛡️ Cybersecurity business generated USD 1.76 Million. 💻
• 7. ✅ Telecard renewed PKR 600+ million agreement for Value Added Services. 📞
• 8. 💳 Secured 81 Million in monthly billing for long-term bank contracts. 🏦
• 9. 📈 IT/ITeS sector growth at 18%. 💻
• 10. 💸 Digital finance transactions grew by 38%. 📱
• 11. 🛒 eCommerce market revenue projected at US$6.71bn by 2029. 🛍️
• 12. 🌍 Telecard aims to be a key enabler of digital adoption in Pakistan. 🌐
• 13. 🛡️ Focusing on the defense sector to diversify products and services. 🪖
• 14. 🚀 Telecard is Going Global by entering International markets.
• 15. ⚖️ LDI & LL Licenses up for renewals; matter sub judice.

🎯 Investment Thesis

Based on the analysis, a HOLD recommendation is appropriate. The company shows growth potential and successful deals, but regulatory risks and pending legal issues warrant caution. A more bullish stance would require greater clarity on license renewals and sustained profitability.