KUWAIT: National Mobile Telecommunications Company K.S.C.P "Ooredoo” (Ticker: OOREDOO) announced Monday its financial results for the nine months ended Sept 30, 2023:
• Consolidated revenue increased by 5 percent to KD 486 million in the nine months ended Sept 30, 2023, compared to KD 465 million for the same period in 2022. Revenues benefited from efficient operations in Kuwait and a year-on-year improvement in Maldives and Algeria.
• Consolidated customer base increased by 2 percent to 25.2 million for the nine months ended Sept 30, 2023 compared to 24.7 million for the same period in 2022.
• EBITDA increased by 7 percent in the nine months ended 30 September 2023 to reach KD 184 million compared to KD 173 million for the same period in 2022.
• Net profit attributable to NMTC increased to KD 81 million for the nine months ended Sept 30, 2023 from KD 33 million for the same period in 2022. Net profit growth came mainly from Ooredoo Kuwait after winning a final court ruling related to recovery of excess regulatory tariff paid amounted to KD 43.8 million in a case against Kuwait’s Ministry of Communication "MoC” and Communications and Information Technology Regulatory Authority "CITRA”.
• The consolidated earnings per share was 162 fils for the nine months ended 30 September 2023, compared to 65 fils earned for the same period in 2022.
Sheikh Mohammad Bin Abdullah Al-Thani, Chairman of the Board of Directors commented: "NMTC has maintained its robust momentum and sustained growth into the third quarter, delivering a strong set of results for the first nine-months of 2023. Consolidated revenue was up by 5 percent to KD 486 million. This was supported by the good operational performances in Kuwait, Maldives, and Algeria.
Our steadfast dedication to delivering unparalleled service to our customers has led to our consolidated customer base increasing by 2 percent to reach 25 million customers. We delivered a net profit attributable to NMTC of KD 81 million compared to KD 33 million in the same period last year. This improvement was supported by a final favorable court ruling for Ooredoo Kuwait, resulting in the recovery of paid excess regulatory tariffs.
Additionally, our consolidated earnings per share reached 162 fils for the nine months of 2023, compared to 65 fils earned for the same period in 2022. The continued operational efficiencies in Kuwait, led to impressive results marking an increase in revenue and EBITDA of 5 percent and 13 percent year-on-year respectively, while the customer base expanded by 5 percent.
Ooredoo Algeria recorded a healthy performance, with revenue up by 9 percent coupled with a 2 percent increase in its customer base. Ooredoo Maldives increased its revenue by 9 percent while the customer base grew by 4 percent. Amidst the challenging operating conditions, Ooredoo Palestine delivered a 3 percent increase in its customer base. Ooredoo Tunisia marked a 1 percent increase in its customer base.
We remain steadfast in our commitment to maximize stakeholder value by continually improving operational efficiencies, fostering company-wide growth while providing exceptional customer service.”
Review of operations
The Group’s operational performance can be summarized as follows:
Abdulaziz Yaqoub Al-Babtain, CEO of Ooredoo Kuwait commented: "These outstanding results are a testament to the power of collaboration and innovation, made possible by the dedicated efforts of our team. The journey we’ve embarked on wouldn’t have been feasible without significant upgrades in our services, customer care, continuous digital adaptation and integration, and the incorporation of innovative infrastructure technologies. Our unwavering commitment to excellence drives us to surpass customer expectations, delivering the best the industry has to offer.”
He added: "The company’s substantial investments in advancing our 5G network underscore our dedication to excellence. This commitment recently bore fruit when we proudly received the ‘Outstanding 5G Industry Partnership’ award, solidifying our position as industry leaders. Notably, these achievements have earned Ooredoo Group prestigious recognition at the 2023 International Business Awards, showcasing our commitment to innovation and excellence on a global scale.”
Our progress extends beyond technology alone. We are deeply committed to tailoring our services to the diverse needs and lifestyles of our valued customers. As Al-Babtain emphasized, ‘With a diverse customer base, we adapted our approaches to meet their needs, innovating multiple solutions and services to reach different segments of society, ultimately increasing customer satisfaction, and reinforcing their trust in us. We’ve digitally enhanced all aspects of our products, services, and promotional offerings, ensuring they receive the best market experience. This growth was made possible by the dedication and determination of every individual at Ooredoo Kuwait, surpassing customer expectations.’
Ooredoo – Kuwait
Ooredoo’s customer base in Kuwait increased to 2.9 million in the nine months ended Sept 30, 2023, up by 5 percent compared to the same period in 2022. Ooredoo Kuwait reported a 5 percent increase in revenue to KD 185.0 million for the nine months ended Sept 30, 2023 compared to KD 176.6 million for the same period in 2022. EBITDA increased by 13 percent to KD 59.9 million in the nine months ended Sept 30, 2023 compared to KD 53.1 million for the same period in 2022, driven by operational efficiencies across the business.
Ooredoo - Tunisia
Ooredoo’s customer base in Tunisia grew by 1 percent to reach 7.3 million customers in the nine months ended Sept 30, 2023. Revenues decreased to KD 92.4 million in the nine months ended Sept 30, 2023 compared to KD 94.1 million for the same period in 2022. EBITDA decreased to KD 35.1 million in the nine months ended Sept 30, 2023 compared to KD 41.8 million for the same period in 2022.
Ooredoo – Algeria
Ooredoo Algeria’s customer base increased by 2 percent to reach 13.2 million in the nine months ended Sept 30, 2023. Revenue increased by 9 percent to KD 152.2 million in the nine months ended Sept 30, 2023 compared to KD 139.2 million for the same period in 2022. EBITDA increased by 18 percent to reach KD 61.7 million for the nine months ended Sept 30, 2023 compared to KD 52.5 million for the same period in 2022.
Ooredoo – Palestine
Customer base in Palestine increased by 3 percent to 1.4 million customers in the nine months ended Sept 30, 2023. Revenue decreased to KD 25.7 million in the nine months ended Sept 30, 2023, compared to KD 26.7 million for the same period in 2022. EBITDA increased by 5 percent to KD 10.5 million in the nine months ended Sept 30, 2023 compared to KD 10.0 million for the same period in 2022. Post quarter end, there has been severe damage to the network in Gaza negatively impacting Ooredoo Palestine business.
Ooredoo - Maldives
Customer base in Maldives increased by 4 percent to reach 391,000 customers in the nine months ended Sept 30, 2023. Ooredoo Maldives reported a 9 percent increase in revenues to KD 30.6 million in the nine months ended Sept 30, 2023, compared to KD 28.2 million for the same period in 2022. EBITDA expanded by 11 percent to reach KD 16.9 million in the nine months ended Sept 30, 2023, compared to KD 15.3 million for the same period in 2022.