Thursday, February 9, 2012

Omantel's 4Q surges as its Pakistani unit showed profit



Oman Telecommunications Co., the country's biggest telecom operator, said Tuesday that fourth-quarter net rose 10% on the year to 30 million Omani rials ($78 million), as the telco's Pakistani unit began to make a profit.
The fourth-quarter net profit exceeded the OMR26.60 million that analysts at Muscat-based Gulf Baader Capital Markets had penciled in.
Omantel's fourth-quarter net profit stood at OMR27.3 million in the same period a year ago, Omantel said in a statement. Revenue in the fourth quarter of 2011 increased to OMR119.5 million, compared with OMR100.8 million a year earlier, Omantel added.
"The strategic plan to bring our subsidiary in Pakistan, WorldCall, to profit has been fruitful," Omantel Chief Executive Amer Awadh Al Rawas said in the statement. "The company [WorldCall] has been able not only to reach the break-even point but also to make profit of $3.4 million despite the tough market conditions in Pakistan."
Omantel acquired WorldCall in 2008, but since its acquisition the unit has been hit by local competition and an uncertain political environment.
Omantel said its total subscribers rose 6% on the year to 3.530 million subscribers by the end of 2011. Omantel Mobile, the company's mobile business arm, has increased its subscribers by about 7% with the number reaching 2.28 million.
Nawras is Omantel's main competitor in the local market.
Omantel said that its 3.5G network investments caused mobile and fixed broadband customers to increase by 51% and 16% on the year, respectively, by the end of December 2011.

(C) Total Telecom

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