DUBAI: UAE-based telecom provider du has posted revenues of Dh3.14 billion for the third quarter of 2016 marking a rise of 2.9 per cent over Dh3.05 billion for the same period in the previous year. Year to date, revenue is up by 1.1 per cent compared to the nine months to 30 September 2015. EBITDA was steady at Dh1.38 billion versus Q3 2015 (Dh1.38 billion) and up 2.6 per cent year to date compared to 2015.
Net profit for the quarter before royalty grew 2.4 per cent to Dh995.1 million compared to Q3 2015 (Dh971.7 million). Net profit before royalty is up 3.9 per cent to Dh2.99 billion year-to-date compared to 2015. Net profit after royalty stood at Dh457.2 million, down from Dh489.8 million in 2015 due to an increase in year-on-year royalty of 11.6 per cent. Mobile revenue totalled Dh2.22 billion, a 2.7 per cent increase on 2015 (Dh2.16 billion) with mobile data revenue remaining largely flat at Dh737.3 million versus 2015 (Dh741.8 million).
Mobile data now represents 33 per cent of mobile service revenues compared to 2015 (32.9 per cent). Osman Sultan, du’s chief executive officer, said: “Our consistent focus on improving the entire customer experience, while providing the right mix of products and services to the market, has resulted in a steady performance during the quarter. Revenue and EBITDA remain at healthy levels and free cash flow is robust, despite an increase in the amount of royalty paid to the government. A 10.9 per cent increase in post-paid mobile customers during the quarter shows our commitment to ‘quality’ growth remains intact.”
“du is an enabler of the economic development of the UAE as well as a facilitator of communication between the Emirates and the rest of the world. We are proud to support residents and citizens of the UAE, as well as those who travel here, to communicate with each other and their families as well as do business. This quarter, du reduced roaming rates during Hajj, expanded its retail network and continued to create innovative tools for business customers with the launch of du’s Enterprise Mobility Management Solutions,” he added.
“As demand for digital services and data continues to grow significantly, the challenge for the entire telecommunications industry is finding ways to better monetise this structural shift. Nevertheless, as we move towards becoming a truly integrated digital enabler, we remain focused on delivering more innovative data solutions for our customers and continue to see data and digital services, as well as managed services, as key areas of growth for our business,” Sultan explained.
“In this fast-evolving digital world we continue to align our business with the UAE’s Smart Government initiative in accordance with Vision 2021. As a strategic partner we are particularly excited to help promote the smart future agenda, and through new-to-market innovation we have a prominent role to play in establishing Dubai as the Smartest City of the future,” he concluded.
