Du Q3 profit up at Dh476M on surge in postpaid users
dubai — Emirates Integrated Telecommunications Company, or du, announced on Tuesday a four per cent increase in net profit after royalty to Dh476 million in third quarter as its postpaid mobile subscribers grew by 14 per cent during the same period.
Revenue for the quarter was stable at Dh3.13 billion, compared to Dh3.14 billion in the same 2016 quarter, the telecoms operator said in a statement.
“The third quarter of the year marked a milestone for EITC with the official launch of the Virgin Mobile brand,” said Osman Sultan, EITC’s chief executive officer.
“Featuring an innovative, alldigital platform, Virgin Mobile is ushering a new era of connectivity and simplicity for our customers, while also reinventing the traditional telecom business to a more efficient and lower cost base operating model,” he said.
He said the revenue was steady despite more pressure in the prepaid market. “We continue to see pressure on mobile rates, with mobile revenue decreasing 3.3 per cent to Dh2.30 billion. We remain on track with our strategy of attracting higher quality customers and are pleased to report that the post-paid segment increased 14 per cent in third quarter compared to the same period last year.” The telecom operator’s earnings before interest, taxes, depreciation, and amortization (Ebidta) was
The third quarter of the year marked a milestone for EITC with the official launch of the Virgin Mobile brand Osman Sultan, chief executive officer, EITC
Dh1.33 billion in the quarter, compared to Dh1.38 billion for the same period last year, showing a decline year on year as the company invests in adjacent business areas to transition to its next phase of growth. “As we look towards a smart future, we are investing in pushing forward our digital transformation agenda and driving EITC to its next phase of growth as a fully integrated ICT player. Our increased reliance on the IoT has fundamentally changed the way people interact and we therefore must change the way we do business,” said Sultan.
He said du had announced a significant change in its organisational structure with the creation of three new business divisions to support EITC’s growth. The newly formed ICT Solutions division will provide UAE government entities and enterprises with advanced end-to-end ICT infrastructure and services; the Digital Lifestyle and Innovation division will be focused on the development of innovative products and services for UAE consumers, including smart home services, and the Infrastructure division will consolidate all infrastructure, network and data center operations under the EITC umbrella, Sultan said.
“As part of the new organizational model, it gives me pleasure to announce the nominations of Fahad Al Hassawi and Farid Faraidooni as Deputy CEOs, each with oversight and mandate on specific areas. I have the upmost confidence that together we will successfully drive EITC’s transformation agenda and allow expansion into new areas of growth,” said Sultan.