Telecom Egypt has reported a 41% year-on-year increase in revenues for the quarter ended 30 June 2017, pointing to the uptake of its fixed broadband services as the key driver behind the growth. In the three-month period under review, Telecom Egypt generated a total turnover of EGP4.64 billion (USD261 million), up from EGP3.29 billion in 2Q16. The company’s ‘Home Services Business Unit’ accounted for a significant portion of revenues; reporting annual growth of almost 32% it recorded turnover of EGP1.33 billion, of which EGP969 million was from data services (up 45% y-o-y). Meanwhile, Telecom Egypt’s EBITDA in 2Q17 totalled EGP1.48 billion, representing an increase of 39% against the corresponding period a year earlier, with the company posting a net profit after tax of EGP1.27 billion (2Q16: EGP1.04 billion).
As at 30 June 2017 Telecom Egypt had a total of 3.44 million residential fixed broadband subscribers, up from three million a year earlier, while business broadband accesses numbered 212,000, up from 181,000. Residential fixed voice lines in services were also up, standing at 5.53 million at the end of June 2017, compared to 5.16 million at mid-2016. Business fixed lines remained relatively static at 1.14 million (2Q17: 1.11 million).
Commenting on the quarterly performance, Telecom Egypt CEO Tamer Gadalla said: ‘Our second quarter results demonstrate a continued momentum across the business with revenue growth and improved EBITDA … Retail services are once again the real driving force behind our top-line growth as our fixed broadband services and offerings continue to set the standard in the market.’ Plans for the company’s impending mobile launch are also understood to be moving forward, meanwhile, with the executive adding: ‘Management paved the way [for the] mobile launch in the second half of 2017 with the crucial milestone of signing the national roaming agreement and currently finalising its operational readiness.’