Qtel net profit drops 13 per cent

01 November 2011

Seasonal promotions and foreign exchange losses impact results

Qatar Telecom (Qtel) has recorded a 13 per cent drop in net profit for the third quarter of this year.

Profit fell from QR652m ($179m) in 2010 to QR567 in the same period this year due to losses on the foreign exchange and seasonal promotions that have taken a hit on margins.

Revenues in the third quarter rose by 16.5 per cent from QR6.97bn to QR8.12bn. Revenues for the nine months to September grew by 16.6 per cent to QR23.6bn.

Qtel’s customer base at the end of September stood at 82.4 million, up 19.4 per cent since the same period last year.

“Our focus remains on customer retention and growth. We have undertaken competitive promotions of our products and services across our markets, while also managing costs. This has resulted in strong earnings before interest, taxes, depreciation and amortisation (EBITDA) growth in key markets such as Iraq, Kuwait and Algeria compared with 2010,” says Nasser Marifh, chief executive officer of Qtel Group.

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