Zain Saudi reports 7% growth in revenues to SAR1.6bn in 3Q13

28 Oct 2013

Zain Saudi Arabia, a subsidiary of Kuwait’s Zain Group, has published the company’s consolidated financial results for the three months ended 30 September 2013, reporting 7% year-on-year growth in revenues to SAR1.573 billion (USD419.42 million) from SAR1.472 billion in 3Q12, mainly attributed to a surge in the overall number of subscribers and ‘significant growth in data traffic’. The company reported a net loss of SAR421 million for 3Q13, a 14.6% improvement on the SAR493 million generated in the year-ago period, while gross profit increased by 6.9% to SAR761 million in the period under review. Further, EBITDA increased by 44% y-o-y to reach SAR220 million by end-September 2013, up from SAR153 million reported in 3Q12. The company attributed the strong EBITDA growth to the increase in gross profit and the progress made in reducing its operating expenses. Fahd bin Ibrahim Al-Deghaither, chairman of Zain Saudi’s board of directors, said: ‘[Zain’s] Q3 2013 performance was primarily driven by a healthy 24% customer growth, reaching a total of 8.6 million customers, enhanced mobile internet usage, the implementation of greater operating efficiencies throughout the business and lowered net financing costs.’

Saudi Arabia, Zain Group, Zain Saudi Arabia