Zain's results hit by foreign exchange losses

Kuwait’s largest telecoms group by subscriptions and revenues, Zain, has posted sales for the third quarter of KWD311 million (USD1.1 billion), down 5.4% year-on-year. Net income slipped by 15% to KWD59.7 million. The company cited foreign exchange losses as a primary reason behind the results. ‘During this period Zain Group operations came under significant pressure with respect to extreme currency fluctuations in some of the markets in which we operate,’ chairman Assad Al Banwan said. The company’s group subscriber base fell by less than 1% year-on-year to 41.3 million at 30 September 2012. According to TeleGeography’s GlobalComms Database, Zain owns equity stakes in operators in Kuwait, Iraq, Sudan, Saudi Arabia, Jordan, South Sudan, Bahrain and Morocco. In addition, the company manages MTC Touch Lebanon under a state contract.