Telco misses analysts' forecasts despite increasing active customer base by a fifth
Kuwait's Zain reported a 36 percent rise in quarterly profit on Wednesday, but
missed analysts' forecasts despite the telecoms operator
increasing its active customer base by a fifth.
Zain had first-quarter net profit of KD69.9 million ($254.2 million), the firm said in a statement. This compares to
a profit of KD51.5 million in the year-earlier period.
Analysts polled by Reuters had expected the firm to post a
quarterly profit of KD75.3 million.
Zain's consolidated first-quarter revenues were KD324.4
million, up 1 percent from the year-earlier period.
Total active customers rose 20 percent year-on-year to 37.6
million. Zain's operations in Sudan and Iraq both achieved
double-digit growth in customers.
Zain has conditionally accepted a $950 million offer from
joint bidders Bahrain Telecommunications Co (Batelco)
and Kingdom Holding for its quarter-stake in affiliate
In March, UAE's Etisalat withdrew a $12 billion
takeover bid for Zain.