Zain Saudi Arabia has reported revenues of SAR1.48 billion (USD395.6 million) for the three months ending 31 March 2011, representing an increase of 36% on the revenues generated during 1Q10. During the same period Zain reported that operational losses decreased by 46% to SAR233 million, compared to losses of SAR435 million for the first quarter of 2010. His Royal Highness Prince Dr Hussam bin Saud bin Abdul Aziz, chairman of Zain Saudi Arabia, credited the improved first quarter results to a strong marketing campaign that has helped to reinforce customer confidence and retain brand loyalty.
Dr Saad Al Barrak, managing director and CEO of Zain Saudi Arabia, added that the improved figures reflect the company’s rapid growth – both operationally and terms of its investment – in the Kingdom. Further, Al Barrak pointed out that Zain’s successful expansion of its infrastructure boosted efficiency, indicating that its broadband and product packages contributed to ‘the company’s impressive momentum in the Saudi market’. TeleGeography notes that Kuwait-based parent company the Zain Group has yet to release full 1Q11 financial results. Zain Saudi Arabia’s Q1 announcement follows last week’s news that the Zain Group signed a term sheet agreement with Saudi investment vehicle Kingdom Holding Company (KHC) and Bahrain Telecommunications Company (Batelco) to sell its 25% stake in Zain Saudi Arabia for between USD950 million and USD1.2 billion.