Zain Group (KW): 45 mln net profits in first quarter

KUWAIT, May 9 (KUNA) -- Zain Group Kuwait on Sunday announced their first quarterly net income profits for 2021 resulted in KD 147 million putting the stock value at KD 00.010. A Press statement by the corporation said it recorded KD 382 million (USD 1.26 million) in earnings for its financial quarter revenues, compared to last year's KD 409 million (USD 1.34 million). Adding, the company's earnings before deducting taxes and interests amounts to KD 158 million (USD 523 million) which is a 41 percent drop compared with last year's KD 171 million (USD 559 million) earnings. The data service revenues recorded KD 160 million (USD 530 million), around 42 percent of the combined revenues, as the customer base was around 48.5 million active customers being affected by the downturn following the end of the management contract of Touch Lebanon. They pointed out that their main financial indicators were greatly affected by the COVID-19 pandemic since the second quarter period of last year, which still continues to have its effects on the market on a regional and international scale. The company's consolidated financial results were also affected by the currency rate deteriorations with USD 66 million in losses at the level of earnings before taxes and aromatization and USD 177 million at the level of revenue. The Chairman of the Board of Directors of Zain Group Ahmad Al-Tahous said in a press release today that the company was able to preserve its lively work amidst these challenging times that the world market is enduring as they continue to focus on their set strategies in the digital sector. Al-Tahous was able to help in taking necessary steps to budgetize and reduce spending, in turn contributing to the processes of overcoming this difficult period. "The telecommunications sector is still off the most important lines of defense in facing the challenges presented by the pandemic, if the growing trends of the business sector, towards digital transformation are met," said Bader AL-Kharafi, Zain Vice Chairman and and Group CEO.
Al-Kharafi also added that these challenges have stemmed out some competitive advantages in the ongoing economic and business ventures. (end) aq