MENA's Zain Group net profit zooms up 17% in Q2

MENA's Zain Group net profit zooms up 17% in Q2

The telecommunications giant operating in seven markets across the Middle East and Africa (MENA) region said that its quarterly net profits increased by 17% to reach 41 million dinars (US$138 million).

Revenue was stable at KD369 million ($1.2 billion), while EBITDA for the quarter was down 5% at KD152 million ($506 million).

Meanwhile, for the first six months of 2021 (H1), Zain Group reported consolidated revenue of KD750 million ($2.5 billion), a decrease of 3% year-on-year. Net Income up by 5% to reach USD 285 million.

Vice-Chairman & Group CEO, Bader Al-Kharafi said: “A first in the company’s history, Board’s recommendation to pay a half-year dividend of 10 fils per share (as part of the 33 fils) is a result of our strong balance sheet and solid operational performance.”Data Revenue represents 42% of Group Revenue for H1 ‘21, he said.

Zain also noted that currency devaluations in Iraq and Sudan are continuing to adversely affect revenue and earnings. “To minimize the impact of the currency devaluations, management has proactively undertaken decisive cost optimization initiatives across all markets, and both Zain Iraq and Zain Sudan have revamped prices and are now offering new attractive data monetization packages,” Bader added.

“Operationally, most of our markets recorded growth in Q2 as compared to the same period a year earlier. The healthy growth in Kuwait was powered by its incomparable 5G network that sees the operator capturing the largest market share in the country. Similarly, quality networks were instrumental in the robust profit growth in Iraq, Jordan, Sudan, and Bahrain, while in Saudi Arabia the operator continues to receive international accolades for the reach, speed, and quality of its 5G network,” he said.

Sign-up to our weekly newsletter

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
Subscribe to our FREE weekly email newsletters for the latest telecom info in developing and emerging markets globally.
Sending occasional e-mail from 3rd parties about industry white papers, online and live events relevant to subscribers helps us fund this website and free weekly newsletter. We never sell your personal data. Click here to view our privacy policy.