Ooredoo posts RO23mn net profit for 9 months
Ooredoo Oman reported a net profit of RO23.1mn for the nine months period ended September 30, 2017. This was 38.6 per cent lower compared with a net profit of RO37.6mn reported for the same period of the previous year.
‘Net profit for 2017 is impacted by increase in royalty fee from seven per cent to 12 per cent, increase in income tax rate from 12 per cent to 15 per cent as well as higher depreciation cost due to investment in network modernisation’, Ooredoo said in a disclosure filed with the Muscat Securities Market on Wednesday.
The company’s revenues for the first nine months of 2017 grew by 1.2 per cent to RO204.3mn compared with RO201.9mn in 2016. The growth in revenues was driven by increases in both mobile and fixed data revenue, the company said.
Commenting on the results, Ian Dench, CEO of Ooredoo Oman, said, “We want our customers to enjoy the Internet. This quarter we started the most significant ever network upgrade in our history. With over 1,000 new 4G locations being added between June 2017 and first quarter of 2018, the upgrade will see our 4G coverage rise from 55 per cent to over 90 per cent of the population.
Our ongoing network upgrades and roll-out of our fibre for both homes and businesses also means that more customers across Oman receive a fantastic customer experience.”
He further said, “Our revenue performance in the quarter, driven by mobile and fixed data demand, reaffirms our focus on data experience leadership, delivering market leading products and propositions for both consumers and businesses.”
Ooredoo’s customer base grew 3.9 per cent to 3.03mn customers at the end of the nine months of 2017 from 2.92mn for the same period of 2016.
Fixed service customer base rose 28.9 per cent to 108,277 customers in the third quarter of 2017 compared to 84,006 a year ago.
Mobile post-paid customer base grew 3.7 per cent to 223,607 from 215,729 in 2016, while Mobile pre-paid customer base increased 3.1 per cent to 2.7mn compared to 2.62mn a year ago.
“We will continue our digital transformation to accelerate operational efficiencies and enhance customer experience. We will have a growing focus on our award-winning Ooredoo Oman app giving customers control of their telecom services at their fingertips, and our business self-care portal to put companies of all sizes full access and control of their communications,” Dench added.