Ooredoo Reports QR16bn H1 Revenue

Telecom giant Ooredoo recorded a revenue of QR16bn for the first half of 2015 (H1, 15), 3 percent down from the revenue reported during the same period in 2014.

Ooredoo’s customer numbers are up by 21 percent, exceeding 114million in H1, 2015 from a year ago. The Group’s net profit attributable to shareholders for H1, 2015 stood at QR1bn compared to QR1.7bn recorded in H1, 2014.

Excluding the impact of foreign currency depreciation, Group revenue would have increased by 3 percent. The Group’s net profit for the first half of 2015 was also impacted by adverse currency movements and the challenges in Iraq, Ooredoo’s financial statement suggested.

Group earnings per share in H1, 2015 stood at QR3.13 from QR5.32 posted in H1, 2014.

Commenting on the results, Sheikh Abdulla bin Mohammed bin Saud Al Thani, Chairman of Ooredoo said:”Ooredoo has shown strong growth in its customer numbers reaching over 114 million customers during the first half of the year. Ooredoo’s international brand, high speed broadband networks and services are increasingly building a compelling and valued range of services for our customers. Our investments across our markets into a digital future with a focus on data services will further enhance the lives of our customers and their local economies. As access to information, content and services is increasingly made available, new opportunities are being created for individuals and businesses. Ooredoo is increasingly at the heart of our customers’ shift to a digital world. Our ability to create value for our customers is, in turn, generating value for our shareholders.”

Dr Nasser Marafih, Group Chief Executive Officer said: “The first half of 2015 reflects the continued successful execution of our strategy. Customers have grown by 21 percent to over 114 million driven by the appeal of our ultra-fast broadband networks as customers increasingly demand fast access to digital content. Our group revenues and EBITDA reached QR16bn and QR6.5bn, respectively in the period. Excluding the adverse FX impact, Ooredoo Group revenue would have actually increased by 3 percent”.

Data revenue grew by 64 percent compared to the first half of 2014, and now delivers 34 percent of the Group’s total revenue. Data revenue and smart phone penetration levels are still relatively low in our markets offering good growth prospects.

“We have seen revenue grow in local currency terms in Qatar, Indonesia, Algeria, Kuwait and Oman during the period. Our Myanmar operations sustained its healthy growth performance. Ooredoo Tunisia maintained its market leadership position in a challenging macro environment. The security situation in Iraq and currency depreciation in Indonesia, Algeria and Tunisia continued to impact our results. Data and B2B growth are driving the long term potential of Ooredoo Group to generate value for our shareholders,” the Group CEO said.

Ooredoo Qatar delivered a strong performance in the first half of 2015, seeing significant growth in customer numbers and revenue market share. Revenue increased by 14 percent to QR4bn (H1, 2014: QR3.5bn), while EBITDA increased by almost 16 percent to QR2.02bn (H1, 2014: QR1.7bn). Net Profit increased by 25 percent to QR1.1bn (H1, 2014: QR910m) due to higher revenue and EBITDA.

Ooredoo Oman’s investment in its network continued to deliver strong growth with revenue increasing by 12 percent to QR1.1bn for the first half of 2015, compared with QR1.06bn for the first half 2014.

Ooredoo Kuwait’s turnaround strategy generated customer, revenue and EBITDA growth in the period. Driven by its LTE Advanced network, the fastest network in the country, Ooredoo Kuwait’s customer base reached over 2.5 million at the end of 1H 2015, an increase of 8 percent on the same period in 2014.

Asiacell’s customer base was 11 million at the end of H1, 2015 supported by the launch of Iraq’s first 3G service. The ongoing security situation in Iraq and the high level of competition impacted Asiacell’s results for the period. However, the aggressive pricing which has been prevalent in the market started to moderate towards the end of the quarter.

Ooredoo Algeria continues to grow its market share in Algeria with a 13.2 million customer base at the end of H1 2015, an increase of 21 percent compared with the same period last year. Ooredoo Tunisia maintained its market leadership position with a total customer base of 7.3 million.

In Asian market, Indosat increased its customer base by 24 percent to 68.5 million compared with 55 million in H1, 2014. Ooredoo Myanmar continued its strong growth performance and generated revenue of QR510m in H1, 2015.

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