Zain Saudi Arabia reduces losses
Telco increases revenues and subscriber numbers in third quarter
Zain Saudi Arabia cut its net loss by 15%, year on year, in Q3, posting a net loss of SAR421m ($112m) for the quarter.
The telco’s revenues increased by 7% in Q3 to reach SAR1.57bn compared with SAR1.47bn in Q3 2012.
Zain Saudi Arabia, which competes with incumbent operator STC and second operator Mobily, attributed the rise in revenues to the growth of its overall customer base by around 24%, year on year, to 8.6m customers by end of the third quarter of 2013.
The operator also reported 37% growth in mobile data traffic during Q3, while also reducing its operating expenses by 22% to SAR 239m.
Hassan Kabbani, CEO, Zain KSA said: “The good progress we made during his quarter reflects the costumers’ confidence in the company’s services and its high-performance network. This growing confidence drives us to continue to invest in the development of the network and increase its capacity using the latest communications technologies."
In July, Zain Saudi Arabia strengthened its balance sheet by extending the maturity date of the syndicated Murabaha facility for five years, to July 31, 2018.