Qatari-based telecom service provider Ooredoo Group said Wednesday its first-half revenue rose by 3% year-on-year to $3.2 billion (QAR 11.8 billion), driven by solid operational performance in Iraq, Algeria, Kuwait, Tunisia, and the Maldives.
However, the Group's gains were offset by lower revenues in Qatar and Oman. Ooredoo's net profit attributable to shareholders rose by 4% year-on-year to $512.1 million (QAR 1.9 billion) in the first half of the year, the telecom giant said in its earnings report on Wednesday.
The company, which has operations in several countries, said its earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 6% year-on-year to $1.4 billion (QAR 5.1 billion), with the EBITDA margin up by 43% year-on-year.
The telecom operator's capital expenditure spend increased by 16% year-on-year to $273.7 million (QAR 1 billion), driven by a ramp-up of investment in Algeria, Iraq, Qatar, Tunisia, and Kuwait. The Group's free cash flow inched up by 6% year-on-year to $1.1 billion (QAR 4.1 billion), with increased contributions from Iraq, Qatar, Algeria, Tunisia and Maldives.
Ooredoo Group's customer base fell by 12% year-on-year to 49.7 million in the first half of 2024. However, excluding Myanmar, the customer base increased by 4% year-on-year.
In May, Ooredoo completed the sale of its Myanmar operations after securing all necessary approvals. On the fintech front, Ooredoo Financial Technology International (OFTI), the Group's fintech arm, launched ‘walletii’, a mobile money app. Additionally, the company established the MENA Digital Hub, a carrier-neutral data center company. Ooredoo Group ranks 31st on Forbes Middle East's list of Top 100 Listed Companies 2024.
Ooredoo Group is making steady progress towards achieving its full-year targets, it said. Revenue is expected to remain stable with an EBITDA margin in the low 40s% range.
Additionally, full-year CAPEX is expected to reach approximately $957.9 million (QAR 3.5 billion) as spend ramps up in the second half of the year.
Ooredoo has partnered with NVIDIA to become an NVIDIA Cloud Partner, the company said. This collaboration marks NVIDIA’s first major launch in the region and will enable Ooredoo to deploy advanced artificial intelligence technology across its data centers, accelerating digital transformation in the Middle East and North Africa region.
