We noticed you're blocking ads.

Keep supporting great journalism by turning off your ad blocker.

Questions about why you are seeing this? Contact us

Font Size

- Aa +

Thu 5 May 2016 03:52 PM

Font Size

- Aa +

Bahrain's Batelco posts 33% slump in Q1 net profit

Telecom operator says both its subscriber base and revenue fell during the first quarter of 2016

Bahrain's Batelco posts 33% slump in Q1 net profit

Bahrain Telecommunications Co (Batelco) posted a 33 percent fall in first-quarter profit on Thursday as its subscriber base and revenue both declined.

Batelco made a net profit of 9.6 million Bahraini dinars ($25.46 million) in the three months to March 31, it said in a statement. This compares with a profit of 14.2 million dinars a year earlier.

SICO Bahrain had forecast Batelco would make a quarterly profit of 8.4 million dinars.

In Bahrain, Batelco competes with units of Kuwait's Zain and Saudi Telecom Co as well as about 10 Internet providers.

Batelco's first-quarter revenue was 90.9 million dinars, versus 93.7 million dinars a year ago.

Competition at home prompted the state-backed operator to expand abroad. It bought most of the islands division of Cable & Wireless in 2013 and 60 percent of its first-quarter revenue was generated outside Bahrain.

Batelco said its customer base shrank 8 percent in the first quarter versus a year earlier.

The company scrapped plans to sell Jordanian telecom operator Umniah in February, while it also owns minority stakes in Yemeni mobile operator Sabafon and companies in Kuwait and Saudi Arabia.

Arabian Business: why we're going behind a paywall

For all the latest tech news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.