Zain Bahrain posts net profit in third quarter

MANAMA: Network expansion and investment in cutting-edge technology have driven growth in the third quarter for Zain Bahrain, the company announced alongside Q3 financial results during its board meeting yesterday.

Zain Bahrain reported a net profit of BD1.613 million in Q3, up from BD1.549 million during the same period last year – a steady increase of 4 per cent year-on-year (YoY). Revenue grew by 3pc from BD14.833m in Q3 last year to BD15.291m in 2021’s third quarter, ending September 30, 2021.

“Following Zain Bahrain’s record profit increase in the second quarter of this year, we have continued to see steady growth into the third quarter of 2021,” said Zain Bahrain chairman Shaikh Ahmed bin Ali Al Khalifa.

“Earlier this quarter, we outlined our plans for continued investment in our 4G and 5G network expansions, showing our unwavering commitment to driving further digitalisation in Bahrain, and enhancing our customers’ digital lives.”

Earnings per share remained consistent at 4 fils per share similar to the same period in 2020, while the operating profit in the quarter saw an increase of 5pc to BD1.825m, as compared to BD1.746m recorded in the quarter last year.

In the first three quarters of 2021, Zain Bahrain has reported a net profit of BD 4.387m, representing an 18.36pc increase YoY from BD3.706m. Earnings per share grew to 12 fils for the nine months in 2021 as compared to 10 fils in 2020 for the same period.

The company generated revenues of BD48.020m during the first nine months of this year, an increase of 3.82pc YoY as compared to BD46.252m in 2020.

Operating profit for the nine-month period in 2021 reached BD5.047m, a 14.60pc increase on the BD4.404m recorded in 2020.

At a balance sheet level, Zain Bahrain’s total equity as of September 30, 2021 grew to BD77.686m, up by 5.29pc from BD73.783m for the same period in 2020. The value of the company’s assets at the end of Q3 2021 stood at BD127.675m, a slight increase of 4pc from BD122.780m as of September 30, 2020.

“Moving into the final quarter of 2021, we are firmly focused on continuing our network expansion plans throughout the kingdom, both at a commercial and individual level,” Shaikh Ahmed added.

“We are dedicating significant resources to ensure a seamless customer experience and our team is committed to meeting the surge in digital demand with network efficiency, innovation and sustainability.”

Amongst Zain Bahrain’s key achievements in the last quarter were the deployment of advanced 5G Carrier Aggregation in partnership with Ericsson to expand 4G and 5G coverage, introduction of low and mid-band carrier aggregation for enhanced network capacity and user experience, pushing the implementation of Open Radio Access Network (Open RAN) solutions across the Middle East, investment in the fast-growing FinTech innovators Pipe and Swvl to support their growth across the company’s regional footprint and adoption of sustainable energy-efficient solutions through the use of outdoor enclosures, to improve the company’s environmental impact and encourage smart energy management.

The company also announced that it has expanded its 5G services to new housing areas including Salman Town, Khalifa City, East Hidd and Ramli Housing Area.

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