Omantel Net Profit Grows by 7% to R.O 96 Million and Revenue grows to R.O 357.6 Million
November 2014: Oman Telecommunications Company S.A.O.G (Omantel. MSM: OTEL) Board of Directors approved today (Wednesday) the Company’s financial results for the period ended 30th Sep 2014, that witnessed an increase in net profit by 7%. The company’s revenue has recorded a growth of 1.7% and reached R.O 357.6 million as of 30th Sep 2014 compared to R.O 351.5 of the corresponding period of 2013, while the net profit has increased to R.O 95.9 million compared to R.O 89.6 million in 2013.
Group Revenue as of September 2014 is RO 357.6 million, an increase of 1.7% compared to RO 351.5 million for the corresponding period of year 2013.
Domestic Retail Revenues has recorded a growth of 3.3% and now reached RO 291 million compared to RO 281.8 million for the corresponding period of 2013 mainly contributed by broadband and corporate data services. Fixed Line and Mobile Business retail revenues recorded a growth of 9.9% and 1% respectively. Revenues from national, international calls and SMS have continued its declining trend due to Over The Top (OTT) services.
Group Operating expenses marginally increased by 0.2% to RO 257.6 million compared to RO 257.1 million for the corresponding period of year 2013. The major reasons for increase in operating expenses are attributed to increase in employee costs, operating & maintenance and depreciation expenses.
EBITDA & Net Profit:
EBITDA and Net Profit after tax both have recorded an impressive growth of 4.4% and 7% respectively. Domestic Net Profit after tax has recorded an increase of 9.4% to reach RO 101.8 million compared to RO 93 million of the corresponding period of year 2013. Group profit has been impacted by the loss of WTL.
Broadband segment both Mobile and Fixed Broadband services have been the key driver for the growth. Mobile and Fixed Broadband subscribers grew by 19% and 33%, while revenue also recorded a growth of 31% and 33% respectively.
Omantel domestic subscriber base witnessed a remarkable growth of 6% as of 30th Sep 2014 reaching 3.260 million (excluding mobile resellers). Including Worldcall, total subscribers base has reached 4.204 million as of 30th Sep 2014 compared to 4 million of the corresponding period of the previous year, a growth of 5%.
Commenting on the results, Omantel Chief Executive Officer, Talal bin Said Al Mamari said: “We are pleased with the steady growth that Omantel made in the first nine months of this year despite the increased market challenges and intensified competition”.
“Our domestic operations particularly fixed and mobile broadband services as well as corporate data services recorded a remarkable growth and has been the key driver behind these results”.
“I would like to thank our loyal customers, visionary Board, committed employees and supportive shareholders who have always been part and in support of Omantel’s journey to excellence” Talal Al Mamari concluded.