Data revenue now represents 34% of group’s overall revenue
Qatar-based telecom group Ooredoo posted revenue of QAR 8 billion ($2.2 billion) in the second quarter of the year, down 5% from QAR 8.4 billion in the year-ago quarter. The group’s net profits for the period totaled QAR 501 million, a decline of 39% year-on-year.
Ooredoo representatives said that the business during the period was impacted by adverse currency movements and the security situation in Iraq.
The telco ended Q2 with a total 114.2 million subscribers in its global operation, climbing 21% vs. the same quarter in 2014. Ooredoo said that the increase in the customer base was chiefly driven by strong performances in Indonesia, Myanmar and Algeria.
Data represented 34% of the group’s revenue in the first half of the year, up compared to 20% in the first half of 2014. Qatar, Oman, Algeria and Tunisia were the main drivers for the growth, as Ooredoo rolled out high-speed broadband networks, introduced new pricing and bundles, data offers, and services for its consumer and enterprise customers.
“Data revenue and smartphone penetration levels are still relatively low in our markets, offering good growth prospects,” Ooredoo’s CEO Nasser Marafih said. “Data and B2B growth are driving the long-term potential of Ooredoo Group to generate value for our shareholders,” the executive added.
In Qatar, the company ended Q2 with 3.4 million mobile subscribers, up 14% year-on-year. The operation in Qatar accounted for 25% of the group’s overall revenue in the first half of the year.
Ooredoo now has 4G deployed across five of its nine markets. In Qatar and Kuwait, the company currently offers LTE-A services. The telco operates in Qatar, Kuwait, Oman, Tunisia, Algeria, Iraq, Indonesia, Myanmar and the Maldives.
Zain ends Q2 with 46.43 million subscribers
In related news, Kuwait-based telecom operator Zain posted revenues of $1.9 billion in the first half of the year, down 15% year-on-year. Net profits for the period reached $269 million, while the group’s earnings before interest, taxes, depreciation and amortization totaled $806 million, down 34% and 14%, respectively, year-over-year.
The telco said that revenue from the data segment now represent 20% of Zain’s total revenue.
Zain ended June with 46.3 million customers in its global operation, which includes Kuwait, Saudi Arabia, Iraq, Sudan, South Sudan, Jordan and Bahrain. In Kuwait, the firm operates a nationwide 4G LTE network. By the end of June, Zain had 2.9 million subscribers in the country, which accounted for approximately 28.6% of Zain’s global business in the first half of the year.
