Ooredoo Group posted a net profit of nearly QR1.1bn in the first nine months of this year.
In the same period last year, the group had earned a net profit of QR1.5bn.
Ooredoo’s nine-month results were “significantly negatively impacted” by the overall foreign exchange weakness in emerging markets as well as the market situation in Indonesia, following the new SIM card registration regulation.
The group’s nine-month revenue stood at QR22.8bn, driven by “strong” contributions from Qatar, Kuwait, Oman, Iraq and Myanmar, but offset by reductions in Indonesia and Algeria. 
Group revenue before the foreign exchange impact decreased by 5%, while “reported revenue” decreased by 7% year-on-year. 
Group EBITDA stood at QR9.3bn with a corresponding EBITDA margin of 41%. Group EBITDA decreased by 11% year-on-year mainly due to lower revenue, while pre-FX EBITDA decreased by 9%.
Revenue from data contributed QR10.5bn in the nine-month period under review.
“Increased monetisation of data business, with significant data growth coming from consumer and enterprise customers saw data revenue increasing to 46% of the group revenue,” Ooredoo said.
Ooredoo Group chairman HE Sheikh Abdulla bin Mohamed bin Saud al-Thani said, “Ooredoo Group maintains its global leadership in telecom innovation, being the first telecom operator to test the world’s first self-driving 5G connected aerial taxis, in line with our mission to support Qatar’s digital transformation vision. 5G technology is now a reality in Qatar, where we have 80+ live 5G sites and counting. 
“We continue to enrich people’s digital lives in our countries of operation and I am pleased to say that during the period our outstanding efforts were recognised with world-class awards. Our network has been voted Qatar’s fastest mobile network in 2018 by Ookla. In Oman, we were awarded the “Best National Network Operator” and the “Best Digital Content Creator” by Telecoms World Middle East, while in Iraq we were awarded the CARE Award for Excellence in Customer Service. 
“Digital enablement is the future and we remain committed to making the right investments to deliver new technologies to our customers, unlocking more of their potential and helping them prosper in a digital world. 46% of our revenues are now generated from our data and digital business.
“Revenue generated from the traditional telecom services remains under pressure, in line with regional and global trends for our industry, and our financial results for the period reflect these challenges. However, I am pleased to report good growth in profitability across a number of our key markets.”
Ooredoo Group chief executive officer Sheikh Saud bin Nasser al-Thani said, “Group revenue was QR23bn, supported by strong contributions from our key markets in Qatar, Kuwait, Oman, Iraq and Myanmar. We continue to see challenging market conditions in Indonesia and Algeria and the overall structural changes in our industry, including the pressure on voice revenue, have impacted our financial results for the 9M 2018 period. 
“Furthermore, a general weakness of currencies in emerging markets impacted our results negatively. Despite those challenges, Ooredoo Group delivered a net profit of QR1.1bn and a solid EBITDA margin of 41%, supported by digital growth and cost optimisation.
“In Qatar, we made significant progress in advancing our digital transformation agenda which positively impacted our results. We delivered growth across the board in Oman, with improvements in revenue and EBITDA and a strong EBITDA margin of 53%. Ooredoo Kuwait increased revenue by 14%, driven by customer additions and an increase in handset sales. 
“In Tunisia we increased our customer base by 5% and our continued focus on cost optimisation helped to improve EBITDA for the nine-month period. Ooredoo Algeria maintained its mobile data leadership, with a solid growth in 4G data users during the third quarter driving record data usage. In Iraq we are benefiting from the stabilisation of market conditions and reported a 3% increase in revenue and 8% increase in EBITDA for the nine-month period. 
“Sequential top-line growth is returning in Indonesia, with improvements in quarterly revenue and EBITDA. We are beginning to see the impact of the SIM registration regulation subdue and a positive shift in market dynamics. Myanmar reported another strong set of results, with 10% top-line growth for the nine months ended 30 September 2018, compared to the same period last year.”