Telco Zain Saudi says losses narrowed in Q3

  • Share via facebook
  • Tweet this
  • Bookmark and Share

Zain Saudi, Saudi Arabia's third-largest telecoms operator, reported a narrowing loss for the third quarter on Sunday, missing analysts' forecasts, as its customer base rose by nearly a quarter.

It said in a bourse statement it made a net loss of SR421m ($112 million) in the three months to Sept. 30, compared with a net loss of SR493m a year ago.

Five analysts polled by Reuters on average had forecast Zain Saudi would make a quarterly loss of SR339m.

The company has yet to make a quarterly profit since launching operations in 2008, but has taken significant steps to ease its debt burden this year, in July extending a $2.3 billion Islamic loan facility at a lower profit rate.

It also agreed a deal with the government in June that would allow it to defer payment of licence-related fees, which could total around $1.49 billion over seven years, and appointed industry veteran Hassan Kabbani as chief executive in September.

Quarterly revenue rose by 7 percent to SR1.57bn from SR1.53bn a year ago. The company attributed its better performance to the 24 percent growth of its customer base and a 37 percent jump in data traffic.

Zain Saudi added in its statement that it had reduced its operating expenses by 22 percent compared to a year ago.

Related:

Market Performance

Zain - Saudi Arabia
5.95
0.0 0.0 (%)
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

All comments are subject to approval before appearing

Further reading

Features & Analysis
What has caused the renaissance of a can-do attitude among Egyptian entrepreneurs?

What has caused the renaissance of a can-do attitude among Egyptian entrepreneurs?

In the midst of terror attacks and economic upheaval, Egypt is...

Busy times at Google-partnered tech hub AstroLabs

Busy times at Google-partnered tech hub AstroLabs

Between its launch event, its first roadshow and a 54-hour-long...

Dubai's first tech hackathon

Dubai's first tech hackathon

Inside the ideas in the AstroLabs competition

Most Discussed
sponsoredTracking