Telkom has warned that its profits for the year ended 31 March 2011 will be substantially lower than expected due to its disposal of the Nigerian Multi-Links CDMA business.

The company has issued a trading statement warning of lower profits for this and a number of other reasons.
Among these is the inclusion of approximately R1,1 billion operating loss relating to the start-up of its 8ta mobile business.
It has also spent about R739-million on voluntary employee severance package expenditure, partially offset by lower taxation mainly as a result of lower profit levels and tax concessions.