Etisalat's first quarter profit declines
Etisalat loses mobile subscribers but gains internet users as Q1 profit slips 8.4%.
Etisalat's net profits slipped 8.4% in the first quarter of 2010 compared with the same period in 2009, while the operator reported the loss of 31,000 mobile subscribers in the first three months of the year.
Etisalat announced net profits of AED1.99 billion ($543 million) for the first quarter of 2010, an 8.4% drop compared with the same period in 2009 when the company reported a profit of some AED2.18 billion.
Meanwhile, net revenues rose by 5% to AED7.9 billion compared AED7.5 billion in Q109.
The UAE incumbent reported 7.71 million mobile subscribers in the first quarter, a drop of 31,000 compared with the end of 2009, while fixed line subscribers continued the decline experienced last year, with the company reporting 1.3 million subscribers for the first quarter of the year, compared with 1.31 million at the end of 2009.
Internet services gave more room for optimism, with Etisalat gaining 50,000 internet subscribers in the first quarter to reach 1.38 million subscribers, compared to 1.33 million in December 2009.
The results come as Etisalat faces increasing competition from the UAE's second operator Du, which is due to release its first quarter results on May 11th.