Ooredoo reports revenue of KD 698 million for FY 2017

Customer base up by 4% to exceed 26 million

Sheikh Saud Bin Nasser Al-Thani

KUWAIT: National Mobile Telecommunications Company K.S.C.P “Ooredoo” announced yesterday its financial results for the year 2017:

Financial highlights
* Consolidated customer base increased by 4% to reach 26.3 million in 2017, compared to 25.2 million in 2016.
* Revenues for 2017 stood at KD 697.6 million, compared with KD 706.8 million for the same period in 2016, representing a decrease of 1 percent. Revenues in KD were impacted due to 11 percent depreciation of the Tunisian Dinar and 1 percent depreciation in the Algerian Dinar. In local currency terms Kuwait, Tunisia, Maldives and Palestine recorded growth. Excluding Foreign Exchange (FX) translation impact, revenues would have increased by +1 percent year on year.
* EBITDA increased by 6 percent for 2017 to KD 255.6 million, compared to EBITDA of KWD 240.2 million for the same period in 2016, due to cost efficiencies offsetting FX depreciation.
* The Net Profit Attributable to NMTC for 2017 was KD 39.5 million compared with KD 46.7 million for the same period last year. Net profit was negatively impacted by FX developments.
* The consolidated earnings per share was 79 fils compared to 93 fils per share earned for the same period last year. The Board of Directors recommended a dividend of 70 fils per share.

Sheikh Saud Bin Nasser Al-Thani, Chairman of the Board of Directors commented:
“In all, 2017 was a transformative year for Ooredoo, as we made great progress in our mission to enrich the digital lives of customers across our footprint. Working together, we have grown our customer base and increased EBITDA by delivering strong performances in some highly competitive markets and focusing on efficiency and cost optimization.
We served 26.3 million customers in 2017, compared to 25.2 million in 2016, and revenues stood at KD 697.6 million, compared with KD 706.8 million for the same period last year. EBITDA increased by 6 percent for 2017 to KD 255.6 million, compared to EBITDA of KD 240.2 million for the same period in 2016.
We have grown our customer base in Tunisia, Algeria, Palestine and the Maldives, boosted revenue in Kuwait, completed the most successful IPO in the history of the Maldives, sponsored the national football team in Tunisia as they qualified for the FIFA World Cup and continued to enhance our networks and increase access to digital services for all. We have enhanced 4G services in Kuwait, Algeria, Tunisia and the Maldives, and officially launched operations in Gaza – remarkable achievements made possible by our investment in a state-of-the-art network. Most importantly, we have listened to the voices of our customers, and developed services and solutions that enrich their digital lives.”

Review of Operations
The Group’s operational performance can be summarized as follows:
Ooredoo – Kuwait
Ooredoo’s customer base in Kuwait stood at 2.2 million for 2017, representing a 6 percent decrease compared to the same period in 2016 due to intense competition and the overall market condition. Revenues for 2017 were KD 222.7 million, an increase of 13 percent compared to KD 197.8 million for the same period in 2016. EBITDA was KD 54.3 million, up from KD 51.0 million for the same period in 2016.

Ooredoo – Tunisia
Ooredoo’s customer base in Tunisia reached 8.4 million for 2017, an increase of 5 percent compared to the same period in 2016. Revenues stood at KD 127.5 million, compared to KD 142.3 million for the same period in 2016. EBITDA was KD 50.5 million compared to KD 57.0 million for the same period in 2016. Tunisian Dinar depreciated by 11 percent year on year. In local currency terms, revenue increased by 1 percent in 2017.

Ooredoo – Algeria
Ooredoo’s customer base in Algeria increased to 14.3 million customers for 2017, up by 4 percent compared with the same period in 2016. Revenues for 2017 decreased to KD 285.1 million compared to revenues of KD 309.8 million for the same period in 2016, negatively impacted by the increase in VAT and a weak economic environment. Despite revenue decrease, EBITDA increased, due to cost efficiencies, to KD 125.5 million in 2017, representing a 16 percent growth compared to KD 108.5 million for the same period in 2016.

Wataniya – Palestine
Wataniya Mobile Palestine increased its customer base by 31 percent for 2017, to reach 1.0 million customers. 2017 Revenues stood at KD 26.0 million compared to revenues of KD 25.4 million for the same period in 2016. EBITDA for 2017 was KD 5.7 million compared to an EBITDA of KD 6.6 million for the same period in 2016.

Ooredoo – Maldives
Ooredoo Maldives reported a 15 percent increase in Revenues for 2017 to reach KD 36.3 million, compared to KD 31.6 million for the same period in 2016. EBITDA for 2017 was KD 19.7 million, an increase of 15 percent compared to an EBITDA of KD 17.1 million for the same period in 2016.
Ooredoo Maldives now serves a total of 440k customers, an 11 percent increase compared to the same period in 2016.


This article was published on 05/02/2018