Broadband behind Mobily's 50% Q2 profit boost
Saudi's second-largest mobile phone company says second quarter net profit hit $180m
Etihad Etisalat (Mobily), Saudi Arabia's second-largest mobile phone company, posted a 50 percent rise in second-quarter net profit, driven by growth in broadband services.
Mobily, an affiliate of Emirates Telecommunications Co, said net profit was SR675m ($180m) in the three months ending June 30, after SR448m in the same period a year ago, it said in a statement on the Saudi bourse website.
This was above the average forecast of SR537.76m in a Reuters survey of 5 analysts.
"The reason for the rise in second quarter profit... is constant growth of broadband services where Mobily now has more than 600,000 active customers with each one consuming not less than 1 gigabite a month," it said in a statement.
Operating profit rose 37 percent to SR728m in the quarter.
Earnings per share rose to SR1.65 in the first six months after SR1.55 in the same period a year ago, it added, without giving quarterly data.
Mobily competes with Saudi Telecom Co (STC), the largest Arab telecom firm by market value, and Zain Saudi Arabia for mobile phone users in the kingdom, the world's largest oil exporter where mobile phone penetration exceeds 100 percent. (Reuters)