By Andy Sambidge
UPDATE 1: Chairman hails performance, adds company 'well positioned' to prosper in 2009/10.
UAE telecom company du on Wednesday announced a net profit of AED47 million ($12.8 million) in the first quarter of 2009.
The figures compared to a AED62 million loss in the same period of the previous year, the firm said in a statement.
The company also reported total revenues for the quarter of 1.166 billion dirhams, up 54 percent in the same period of 2008.
Commenting on the results, Ahmed Bin Byat, chairman of du, said: “With significant year-on-year revenue growth translating into uplift in gross margin, these results are testament to du’s strong performance.
"In the first quarter of 2009 we have continued to build upon our considerable success in 2008 and I firmly believe that the company is well positioned to prosper throughout out 2009 and into 2010."
He added: “However, we are not complacent and are fully aware of the challenges presented by both a global economic recession and a highly competitive telecommunications market."
Over the first quarter, du added a further 252,000 active mobile customers. As of March 31, 2009 du’s active subscriber base stood at 2,750,000 and corresponding mobile revenue of AED795 million, a 71 percent increase year-on-year.
Revenues for du’s fixed business, including fixed telephony, TV and Broadband, amounted to AED230 million – a 37 percent year on year increase, reflecting 311,000 lines, the company said.
Osman Sultan, du’s chief executive officer, said: “Against an undeniably challenging backdrop and following a solid start to the year evidenced by our continued success in acquiring significant levels of new customer numbers in the quarter, we are poised to take du into the new phase of its growth."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.
how could they not make money!? When Du and Etisalat are robbing people of around 350 AED per month for only a 2Mb internet connection, how can they not be making money.