Zain Saudi Arabia (Zain KSA) reported an 8% increase in revenues to reach SR1,801 million ($USD480) in the last quarter of 2016, up from SR1,672 million (~$USD445 million) a year earlier. The Operator registered a gross profit of SR1.14 billion ($303 million) during the quarter, up 7 per cent over SR1.06 billion ($282 million) for the same period in 2015.
The company which has yet to make a quarterly net profit since launching services in 2008 is facing stiff competition from STC and Etihad Etisalat (Mobily). The Operator has made a net loss of 135 million riyals ($USD36.00 million) in the quarter. Zain KSA, however recorded an operating profit of SAR 87 million ($USD23 million) during Q4 2016, up from a loss of SAR 82 million ($USD22 million) in the same quarter in 2015.
Peter Kaliaropoulos, CEO of Zain KSA said, “The Company’s net losses have decreased significantly due, in part, to the impact of the extension of our license and growth in revenues. The upgrade of the license to a unified license will enable the Company to introduce a wider range of telecommunications services, including fixed services, leveraging Zain’s network and that of new partners. Customers across all sectors will increasingly have more choice for broadband services to the home and communications solutions for their business.”
