|21 October, 2019

Saudi-based Mobily posts 14.4% growth in Q3 revenue to $905mln

The company continued delivering positive net results for the fourth consecutive quarter

A Saudi man inspects a screen showing stock prices at ANB Bank in Riyadh, Saudi Arabia September 16, 2019.

A Saudi man inspects a screen showing stock prices at ANB Bank in Riyadh, Saudi Arabia September 16, 2019.

REUTERS/Ahmed Yosri

Mobily, a leading telecom provider in Saudi Arabia, has posted a revenue of SR3.4 billion ($905 million) in the third quarter (Q3) of 2019 with a year-on-year (YoY) growth of 14.4%, marking growth in revenue for the eighth consecutive quarter.

This is mainly attributed to the growth of subscribers’ base, the growth of revenues of business, and wholesale units and the growth of FTTH active base, a Mobily statement said.

In addition, the company continued delivering positive net results for the fourth consecutive quarter, as Q3 2019 net result highlighted a YoY growth by 82 million to reach SR51 million compared to a loss of SR31 million in Q3 2018, and a QoQ improvement by 13 million compared to a profit of 38 million in Q2 2019. This is mainly due to improvement of topline and operational performance, and to the strong and healthy EBITDA.

Moreover, Mobily succeeded in increasing its EBITDA to reach SR1,277 million in Q3 2019, with YoY increase of 17.4%. The EBITDA increase is attributed to the growth of revenues, the improvement in operational performance, and the implementation of IFRS16.

Capex in the first nine months of 2019 decreased to reach SR1,464 million due to capitalization of spectrum. Excluding the spectrum fees, capex intensity reflects the company's continuous commitment to improve its infrastructure and continue to develop its services, and improve the quality of services and customer experience.

Moreover, Mobily substantially improved its 9M 2019 operational cash flow (EBITDA-CAPEX) by 114% to reach SR2,307 million; contributing to the company's ability to deleverage its debt levels and meet its obligations to its creditors and suppliers. – TradeArabia News Service

Copyright 2019 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.

More From Equities