Batelco announces jump in profits
Batelco, Bahrain’s telecommunications provider, has announced a sixteen per cent rise in net profits for the first quarter of the year compared to Q1 last year.
Batelco, Bahrain’s telecommunications provider, has announced a sixteen per cent rise in net profits for the first quarter of the year compared to Q1 last year. The company made BD14.9 million on gross revenues of BD46.1 million. Revenues incresased by twenty per cent over the same period.
“In a market still reeling from the global downturn in technology and telecoms, Batelco continues to produce strong results,” said Sheikh Ali bin Khalifa Al Khalifa, Minister of Transport and chairman of Batelco. “Coupled with state-of-the-art technology, Batelco’s twenty years in the industry offers accumulated skills and experience that have enabled the company grow and diversify based on sound business principles and market knowledge,” he added.
The company points to the growth of the mobile phone market as a major contributory factor in the growth. There are 330,000 subscribers in Bahrain, half the population. The company puts this down to a reduction of 40% in the cost of line rental and call charges being reduced by 26%, in January this year.
It also emphasised the growth in the use of email in the Kingdom. User numbers have increased from 32,000 in March 2001 to 47,000 a year later since a new system was rolled out in January.
“The success of this expansion is attributable to the level of technological and business sophistication Batelco has achieved as a group. The unique relationship we share with Cable & Wireless, one of the world’s most advanced IP network providers has also contributed to this success,” concluded Sheikh Al Khalifa.