Sonatel profits slip as tax holiday ends

Senegalese telecoms group Sonatel has posted net income of XOF75.4 billion (USD161 million) for the six months ending 30 June 2011, down 20% largely due to the end of a tax holiday it enjoyed in Mali. Revenues, however, rose 5.7% to XOF312 billion as the company’s market share grew in Guinea and Guinea Bissau. Sonatel’s market share in its traditional strongholds of Senegal and Mali declined in the face of fierce competition. The telco forecasts positive revenue growth during the second half of 2011.