Vodafone Qatar reports 7.5% net profit growth to QR540mn in 2023

Vodafone Qatar reported a net profit of QR540mn in 2023, reflecting a 7.5% increase compared to the previous year mainly driven by EBITDA growth.Total revenue, excluding the World Cup’s impact in 2022, increased by 6.1% year-on-year (y-o-y) reaching QR3.1bn due to continued growth across various business segments, including fixed broadband services, managed services, IoT, and others. However, the reported total revenue for the year increased by 1.5%. Service revenue, excluding the World Cup’s impact, grew by 8.9% to QR2.8bn, whereas reported service revenue increased by 5.5%.EBITDA for the period increased to QR1.3bn, reflecting a 4.2% growth compared to last year, positively impacted by the higher service revenue and the continued success of the cost optimisation programme. Consequently, the EBITDA margin reached 41.3%, expanding by 1.1ppts.The total number of mobile customers reached 2.15mn, representing an underlying increase of 2% y-o-y.Based on Vodafone Qatar’s commitment to enhance shareholder value and the strong financial performance, the board of directors have recommended the distribution of a cash dividend of 11% of the nominal share value (QR0.11 per share), which will be presented at the company’s next annual general assembly for approval.Abdulla Nasser al-Misnad, Vodafone Qatar chairman, stated: "2023 has been another exceptional year where we have been able to position ourselves at the forefront of market developments as we also continue to provide consumers and businesses with unparalleled connectivity."A number of successful partnerships with a range of global and domestic institutions, including Nokia, Microsoft, and Qatar Financial Centre have seen the company successfully expand and innovate its portfolio whilst also embracing key sectoral advancements in the likes of AI and IoT."He added: "Vodafone Qatar is also committed to achieving sustainability by making tangible practical efforts to contribute to the nation’s growth and progress. Aligned with the global movement toward a net-zero society, we will ensure sustainability remains at the core of our operations as one of our three fundamental corporate pillars."Rashid Fahad al-Naimi, Vodafone Qatar managing director, said: "2023 has been embodied by our strategic vision, ‘Together We Can’, which exemplifies our focus in delivering connectivity and an unparalleled customer experience."This has been seen in our collaboration with Nokia, where we inaugurated advanced fibre technology in Msheireb’s Downtown Smart City District, thus creating the Middle East’s first ever ‘Gigacity’ with speeds of up to 25 Gbps. Furthermore, our ‘Giga Home’ re-launch brought ‘at least One Gigabit only’ speeds nearly 10 times faster than the average to customers nationwide, showing that we are truly leading the way in terms of innovation, speed and customer experience."He added: "As an organisation deeply committed to the care and development of our employees, we were also heartened to see our human resources teams secure the prestigious ISO 9001:2015 accreditation, solidifying our compliance with international standards. In line with Qatar National Vision for 2030, we look ahead to 2024 with optimism and renew our promise to deliver a world-class service while enhancing and preserving our society, culture and environment."Sheikh Hamad Abdulla Jassim al-Thani, Vodafone Qatar CEO, noted: "In 2018, we launched our Digital 23 Strategy, with the aim of successfully transforming our business from a traditional mobile operator to a diverse, global digital player. Over five years since launch, it is heartwarming to see that we have not only achieved that aim, but we have also helped to establish Qatar as one of the most technologically advanced countries in the world. Our focus on digital transformation remains steadfast and we will continue to prioritise digital-first lifestyles which put our customers and their businesses at the core."He added: "Our company has also garnered a number of global industry awards, including an Ookla Award, which named Vodafone Qatar as having the ‘World’s Fastest Mobile Network’ in 2022. Furthermore, with our company enriched by another year of progress and innovation, we are confident that we have the correct strategies in place to elevate even further in 2024 and deliver further growth for our shareholders."