Ooredoo Kuwait Group net profit soars 209% to reach KD 64 million for H1 2023
KUWAIT: National Mobile Telecommunications Company K.S.C.P “Ooredoo” (Ticker: OOREDOO) announced on Wednesday its financial results for the half year ended 30 June 2023:
Consolidated revenue increased by 4 percent to KD 318 million in H1 2023, compared to KD 306 million in H1 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 24.6 million in H1 2023 compared to24.1 million in H1 2022. * EBITDA increased by 3 percent in H1 2023 to reach KD 116 compared to KD 112 million in H1 2022. * Net profit attributable to NMTC increased to KD 64 million in H1 2023 from KD 21 million in H1 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”.
Sheikh Mohammad Bin Abdullah Al-Thani.
* The consolidated Earnings per share was128fils for H1 2023, compared to 42 fils earned in H1 2022 Sheikh Mohammad Bin Abdullah Al-Thani, Chairman of the board of directors commented: “I am pleased to report that NMTC continued on its growth trajectory achieving consolidated revenues of KD 318 million compared to KD 306 million in H1 2022, a solid 4 percent growth. This performance was driven by steady expansion in our operations in Kuwait as well as a year-on-year improvement in Maldives and Algeria.
Our consolidated customer base grew by 2 percent to 25 million in H1 2023, which reflects our ongoing commitment to delivering high-quality services to our valued customers. Net profit attributable to NMTC grew from KD 21 million in H1 2022 to KD 64 million in H1 2023. This improvement was mainly due to a final court ruling in favor of Ooredoo Kuwait against the Kuwaiti Regulator. This resulted in the recovery of excess regulatory tariffs previously paid. Furthermore, our earnings per share for H1 2023 increased significantly to 128 fils, up from 42 fils in H1 2022.
The increase is attributable to the aforementioned final court ruling. As we continue our efforts to solidify our position as the leading telecommunications provider, we are witnessing notable growth in our customer base. In Kuwait, our customer base increased 7 percent to 2.8 million in H1 2023, while revenue increased 5 percent to KD 123 million in the same period. Meanwhile, Ooredoo Algeria reported robust expansion, with revenue experiencing a solid 9 percent growth and an accompanying increase in its customer base. Palestine and Maldives also recorded increases in their customer bases.
Ooredoo Maldives reported a 6 percent increase to its customer base and a solid 7 percent growth in revenue in H1 2023. In H1 2023, Ooredoo Palestine saw a 2 percent increase in its customer base. “We remain committed to maximizing stakeholder value as we work towards enhancing operational efficiencies to foster growth across the company while providing exceptional services to our customers.” Review of operations The Group’s operational performance can be summarized as follows: Ooredoo – Kuwait Ooredoo’s customer base in Kuwait increased to2.8 million in H1 2023, up by 7 percent compared to H1 2022. Ooredoo Kuwait reported a 5 percent increase in revenue to KD 122.9 million in H1 2023 compared to KD 117.0 million in H1 2022.
Abdulaziz Al-Babtain.
EBITDA increased by 8 percent to KD 38.0 million in H1 2023 compared to KD 35.1 million in H1 2022, driven by operational efficiencies across the business. Commenting on these major milestones during H1 2023, Abdulaziz Al-Babtain, Ooredoo Kuwait CEO, stated that the robust results achieved in Ooredoo Kuwait have contributed to enhancing the group’s financial and operational performance. We are pleased to announce our solid financial performance for the first half of 2023, the company has achieved remarkable growth and demonstrated unwavering resilience in an ever-changing market. During the first two quarters of 2023, we have witnessed robust revenue growth, exceeding previous benchmarks.
This achievement is a testament to the dedication of Ooredoo toward its customer base, we gladly continue to drive innovation and excellence in every aspect of our operations. Furthermore, our commitment to innovation remains at the forefront of our company’s vision. We have continued to invest in research and development, resulting in the introduction of several ground-breaking products and services that have resonated positively with our customers that catered for the consumer and Enterprises Sector. Throughout the first half of 2023, Ooredoo Kuwait remained dedicated to its digital transformation strategy, which led to the successful implementation of user-friendly digital platforms, streamlining the customer journey.
Our efforts were duly recognized, as we received two prestigious awards for the best Mobile App and Website. Specifically, Ooredoo Kuwait was honored with the Stevie Bronze Award for the Ooredoo App and the Asian Telecom Award for our exceptional Mobile App & Website. The Ooredoo App showcased cutting-edge FINTECH capabilities and advanced security measures, making us the first to introduce smart and Google Pay technologies, thus embracing the latest advancements in the industry. Our continues innovation was not only on a customer level but it covers also the Enterprises & Business Sector to digitize and automate all the business needs of the enterprises in Kuwait today through the latest ICT Solutions.
As for our commitment to social responsibility, our program focused on activating sustainable development partnerships with the public and private sectors and strengthening relations with communities in Kuwait, in addition to raising awareness of the concept of social responsibility through partnership with non-profit associations to support humanitarian and community issues with the Al-Rahma International Association. We are proud of the increasing growth and diversity within the framework of Ooredoo’s social responsibility, which addresses fundamental issues across our main pillars: education, health, sports, environment, entrepreneurship and youth empowerment, especially our partnership with the Students’ Union in Kuwait – UK branch and the internship programs for graduates.
Ooredoo – Tunisia Ooredoo’s customer base in Tunisia stood at 6.9 million customers in H1 2023.Revenues decreased to KD 59.5 million in H1 2023 compared to KD 62.0 million in H1 2022. EBITDA decreased to KD 20.8 million in H1 2023compared to KD 27.1 million in H1 2022. Ooredoo – Algeria Ooredoo Algeria’s customer base stood at 13.0 million in H1 2023.Revenue increased by 9 percent to KD 98.5 million in H1 2023 compared to KD 90.7 million in H1 2022. EBITDA increased by 18 percent to reach KD 39.0 million in H1 2023 compared to KD 33.2 million in H1 2022.
Ooredoo – Palestine Customer base in Palestine increased by 2 percent to 1.4 million customers in H1 2023. Revenue decreased to KD 17.1 million in H1 2023, compared to KD 17.5 million in H1 2022. EBITDA increased by 6 percent to KD 6.9 million in H1 2023 compared to KD 6.5million in H1 2022. Ooredoo – Maldives Customer base in Maldives increased by 6 percent to reach 398,000 customers in H1 2023. Ooredoo Maldives reported a 7 percent increase in revenues to KD20.2 million in H1 2023, compared to KD 18.8 million in H1 2022. EBITDA expanded by 8 percent to reach KD 11.2 million in H1 2023compared to KD 10.3 million in H1 2022.
