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Du reports record quarterly revenues

Dubai telco exceeds AED3bn in gross quarterly earnings for first time

Du reports record quarterly revenues

Dubai-based telecoms operator du posted revenues of AED3.024bn ($823m) for the second quarter of 2014, a year-on-year surge of 13.7% from AED2.660bn in Q2 2013.

The figure marked the first time du had seen quarterly revenues exceed AED3bn. The telco attributed the growth to a 9.5% year-on-year rise in mobile sales to AED2.263bn, including mobile data earnings of AED680m, which represented a bump of 18.6%. Fixed revenue leapt 30.1% to AED541m and wholesale business saw a 33.7% rise to reach AED177m.

EBITDA increased 17.9% from AED1.094bn in Q2 2013 to AED1.280bn and net profit before royalty payments totalled AED949m, up 22%, year on year. After federal royalty deductions, net profit grew 15.5% to AED548m.

Du said the Telecommunications Regulatory Authority's (TRA) SIM registration campaign forced the carrier to disconnect 468,000 pre-paid subscribers when the 16 July registration deadline expired. The company said that "further attrition is possible in the coming quarters".

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