Telecom Lead Middle East: Saudi Telecom’s revenue rose 3.7 percent to 11,474 million riyals in the first quarter of 2013.
Gross profit increased 2.6 percent to 6,494 million riyals.
Net profit declined 38.5 percent to 1,550 million riyals.
The decrease in net profit was due to a drop in the value of non-current assets in Aircel India to the tune of 500 million riyals.
Revenue from wireless broadband services increased 32 percent.
Number of mobile broadband customers increased 69 percent.
Fixed broadband customers increased 15 percent.
Abdul Aziz bin Abdullah Sugair, chairman of the Group of Saudi Telecom (STC) and managing director, said: “Despite recording a custom drop in the value of non-current assets of Aircel India during the first quarter, the results were generally good.”
The group consolidated its position on the local and regional levels as one of the largest telecom services providers in the region through the provision of innovative services.
Saudi Arabia
In Saudi Arabia, STC posted 4 percent increase in the number of mobile clients (postpaid and prepaid) in the first quarter.
Wireless broadband in Saudi Arabia has recorded 32 percent increase in service revenue. Number of wireless broadband users in the first quarter has increased by 69 percent.
Data services increased by 24 percent, STC said in a statement.
International operations
At the level of international operations, Saudi Telecom and subsidiaries have exceeded 170 million customers.
Growth in earnings of subsidiaries (controlled by the STC) was 23 percent.
This is because of the significant growth in market shares for postpaid mobile services, prepaid and broadband services.
However, the company continues to focus on the recruitment of a larger effort and continuing to improve operations and performance in the Aircel (India), Cell C (South Africa) and Axis (Indonesia).
