BH Telecom to Distribute 50 million KM Dividend, 45 million Directed to Federation Budget
BH Telecom to Distribute 50 million KM Dividend, 45 million Directed to Federation Budget
BH Telecom, the largest telecommunications provider in Bosnia and Herzegovina, confirmed on Friday that it will pay a total dividend of 50 million convertible marks (KM) to its shareholders. Of this amount, 45 million KM will be transferred directly to the budget of the Federation of Bosnia and Herzegovina, reflecting the entity’s status as the majority owner of the company.
According to the company’s statement, the payout represents the highest regular annual dividend since 2018. The dividend follows what BH Telecom describes as its most profitable year in over a decade. In the 2025 financial year, the operator recorded revenue of 566.1 million KM, an increase of 10.4 million KM compared with the previous year. Net profit approached 70 million KM, while earnings before interest, taxes, depreciation and amortisation (EBITDA) reached 169 million KM.
General Director Amel Kovačević attributed the stronger dividend to the board’s business strategy, operational improvements and staff performance. “The numbers speak for themselves. BH Telecom now delivers record revenues and profit, and we are able to provide shareholders with the largest regular annual dividend in eight years,” Kovačević said.
The dividend distribution will be carried out after the 2025 fiscal year, as stipulated by the company’s governance rules. The 45 million KM allocated to the Federation’s budget is expected to support public‑sector financing, though officials have not detailed specific spending plans.
In addition to the dividend, BH Telecom announced a three‑year investment programme totalling 410 million KM. The capital will be used to modernise the mobile and fixed‑line networks, expand the country’s optical‑fiber infrastructure and develop new digital services. Kovačević emphasized that the investment plan will not be compromised by the larger shareholder payouts. “We do not choose between company development and creating value for our shareholders. We achieve both,” he stated.
Industry analysts view the combined dividend and investment announcements as a signal of the telecom’s financial health and its commitment to improving connectivity across Bosnia and Herzegovina. The planned upgrades are expected to enhance service quality, increase broadband penetration and support the digital transformation of businesses and public institutions in the region.
The move also aligns with broader governmental objectives to boost digital infrastructure, a priority for both the Federation and state‑level authorities. If executed as planned, BH Telecom’s investments could position the company as a key enabler of the country’s economic modernization and competitiveness in the digital age.
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