Mobily's Q1 profit grows 21%
Mobily has said that it attributes its rise in profits to revenue generated from voice services and business customers
Saudi Arabia's Mobily has reported a 21% rise in its first quarter net profit. It stated that this increase came from improved revenue generated by voice services and business customers.
A statement issued by Mobily said that the telco has made a profit of 1.207 billion riyals ($322mn) in first three months of 2012, ending March 31. This is up from 998 million riyals ($266.12mn) in the same period last year. Gross profit was 2.613 billion riyals ($697mn) compared to 2.289 billion riyals ($610mn) in 2011.
The statement read: "The increase in revenue is attributable to the higher revenue from voice services with the increase in the number of minutes of use, the continued increase in the number of post-paid subscribers and the increase in business sector revenue."
Mobile penetration in Saudi Arabia is extremely high with each person owning at least two mobile phones.
In February this year, Mobily secured a $2.6bn refinancing agreement with seven banks, to refinance existing loans and grow revenues.