Kuwait's Zain telecom profit rises slightly in Q1
02 May 2017 - 17:12
Kuwait City: Kuwaiti telecoms giant Zain's net profit rose slightly in the first quarter of 2017 due to difficulties in some regional markets, the company said on Tuesday.
Zain, one of the largest mobile operators in the region, posted a net profit of 38 million dinars ($125 million) in the first three months, up three percent from the same period in 2016.
A statement released by the company said profit was negatively impacted by both the devaluation of the currency in Sudan and the ongoing conflict in Iraq.
But Zain's unit in Saudi Arabia recorded its first-ever quarterly profit after years of losses.
Besides Kuwait, Zain has operations in Bahrain, Iraq, Jordan, Lebanon, Saudi Arabia and Sudan. It also manages a unit in Morocco.
Consolidated revenues in the first quarter dropped to $810 million (742.8 million euros), down 11 percent from 2016.
In the past 12 months, the company's total subscribers rose by 1.4 percent to 46.1 million.
Zain, in which the government holds a stake of almost 25 percent, is one of three mobile operators in the emirate, alongside National Telecommunications Co (Wataniya) and Kuwait Telecommunications Co (VIVA).