SaskTel revenues rise by $26.7M but no talk of potential sale, minister says

Growth in maxTV, internet and data helped increase SaskTel's revenues in 2015-16 fiscal year.

It rose 2.2 per centto the tune of $26.7 million. The figures are contained in thecompany's annual report released on Wednesday.

Overallnet income of the provincially-owned phone company is $126.7 million, bolstered by that 2.2 per cent increase in revenues.The company also reporteda 0.6 per cent decline in operating expenses.

"As changes to customer demands, technology, competition, data traffic and regulations continue their rapid advance, we are extremely pleased to report a higher than anticipated net income,"said SaskTel CEO Ron Styles.

SaskTel exceeded its net income target by $20.9 million.

"If we are anything less than being the best in the market here in Saskatchewan,we are going tohave problems," Styles said.

Government awaiting internal review

SaskTel'srecent risk assessment was again a topic of conversation Wednesday.

• Premier asks SaskTel to respond to report that says profits at risk

The report released in June showed the potential sale of MTS to Bell couldcut into SaskTel's net income. The minister responsible for SaskTel,Jim Reiter, said he has had no conversations about a sale of the company.

"If we did get an unsolicited offer tomorrow we don't have a mandate to accept that. We also don't really feel likeif it wasa lucrative offer, we really don't have a mandate to reject that," said Reiter.

The province has asked Styles and theSaskTelboard to conduct a review of the risk analysis and share it at their next meeting in late August or early September.

• Too early to fear for the future of SaskTel: analyst

"We're optimistic about the future but it's a rapidly changing industry and it's important to continue to look forward to try and determine what that future will be," said Reiter.