GO Telecom reports net loss of SAR36.6m in 1H15

22 Oct 2015

Saudi Arabian fixed line and broadband operator Etihad Atheeb Telecom (GO Telecom) has published its financial results for the six months ended 30 September 2015, announcing a net loss of SAR36.58 million (USD9.75 million), down from a net profit of SAR25.15 million reported in the corresponding period of 2014. The telco blamed the loss on higher sales and marketing expenses, as well as lower prices for broadband services, prompted by intense competition in the market. Moreover, in 1Q14 the telco completed the sale of property with a book value of SAR60.0 million, giving Atheeb a gain of SAR94.0 million (SAR63.4 million reflected in that quarter, with the remainder deferred). The operator’s revenues increased by 40.8% (or SAR46.2 million) year-on-year from SAR113.2 million to SAR159.4 million. GO Telecom highlighted that revenues generated by its business sector operations were up 40% y-o-y, while interconnection revenues increased 133.5%.

Saudi Arabia, Etihad Atheeb (GO Telecom)