Qtel's profits decline in Q1

Qtel attributes 36.5% decline in profit to one-off royalty payment
Dr Nasser Marafih said Qtel was well positioned to grow in its emerging markets.
Dr Nasser Marafih said Qtel was well positioned to grow in its emerging markets.


Qtel, Qatar’s incumbent telecom operator, experienced a 36.5% decline in net profit in the first quarter of the year compared with the same period last year.

The telco’s Q1 net profit reached QR800 million compared with QR1.2 billion in Q1 2010.

Qtel attributed the decline to a one-off royalty payment of QR554 million to the Qatari government.

“Net profit attributable to Qtel Shareholders increased by 15.7% when normalised for a one-off favourable decision on the royalty regime in Qatar in 2010,” Qtel said in a statement.

Qtel said that it has “continued strong revenue and profit momentum” during the first quarter, fuelled by a strong performance from its international operational portfolio.

Group revenue increased by 16.5% to QAR 7.5 billion in Q1 compared with QAR 6.4 billion a year earlier.

Meanwhile, Qtel’s group customer base grew by 13.9% to reach 75.6 million in the first three months of the year, compared with 66.4 million at the end of Q1 2010.

Dr. Nasser Marafih, CEO, Qtel Group said the company was well positioned to “capture the high growth offered by emerging economies”.

“Our mature markets have delivered good returns; our operations in competitive markets continue to efficiently manage the increasing competition; and our emerging markets remain rich in opportunity, both for customer growth and service innovation,” Marafih said.

He added that Qtel was investing in “key service areas” including digital services and social media.


REGISTER NOW | Webinar Event | Security you can bank on – Safeguarding the Middle East’s financial sector

Presented in partnership with security and network specialist Cybereason, the second in the three part webinar series will bring together a panel of experts to discuss how banks and financial institutions are evolving their service offering while simultaneously staying one step ahead of the cyber criminals who seek to bring their operations crashing to the ground.

Editor's Choice

Emerson expands analytics platform for industrial enterprise-level wireless infrastructure management
Plantweb Insight platform adds two new Pervasive Sensing applications that manage wireless networks more efficiently with a singular interface to the enterprise
Digitalisation seen as a competitive advantage by Middle East private businesses
Nearly 80 per cent of private business leaders acknowledge that digitalisation can impact business sustainability
Etisalat introduces Multi-Access Edge Computing architecture delivering best-in-class video streaming performance for 5G networks
MEC architecture achieves performance gains of as much as 90% in video streaming, validating how ultra-low-latency applications will be delivered over 4G and 5G networks

Most popular

Don't Miss a Story