• Group EBITDA is stable at QAR 10.5 billion with an increase in EBITDA margin now at 43%, indicating an improvement in operational performance from 9M 2016 (42%). Excluding Foreign Exchange translation impact, Group EBITDA would have increased by 4% year-on-year.
• Group Net Profit to Ooredoo shareholders decreased by 15% to QAR 1.6 billion. Excluding foreign exchange impact, Net Profit attributable to Ooredoo shareholders would have decreased by 8%. Additional government levies in Oman, challenging market conditions in Qatar and unfavourable foreign exchanges rates in Tunisia impacted the Group Net Profit. Net Profit at 9M 2016 benefitted from significant Foreign Exchange gains of QAR 200 million in 2016. However, these temporary gains were reversed in Q4 2016.
• Strong data growth from consumer and enterprise customers: data revenue increased to 45% of Group revenue. Revenue from data contributed QAR 11.1 billion in 9M 2017.


Operational highlights:

• Customer base reached a milestone of 150 million, representing an increase of 13% driven by strong growth in Indonesia,Iraq, Algeria,Tunisia, Oman,Qatar and the Maldives.

• Ooredoo continues to be a data leader in its markets with 4G networks now available in 8 of Ooredoo’s 10 markets.

• Ooredoo has completed the de-listing process of Ooredoo GDR (Global Depositary Receipt) from the London Stock Exchange, effective from 31 August, 2017. The primary reason for the delisting is the fact that international investors can now easily trade Ooredoo securities on the Qatar Stock Exchange.

• Ooredoo Maldives completed the listing of its shares on the Maldives Stock Exchange on 9 August, 2017. Selling approximately 10% of the company shares resulted in IPO proceeds of MVR 421 million (QAR 100 million), making the Ooredoo Maldives IPO the most successful listing in the country.

• Post period: Wataniya Palestine launched services in Gaza on October 24. Gaza constitutes about 40% of the Palestinian market.



Commenting on the results, H.E. Sheikh Abdulla Bin Mohammed Bin Saud AlThani, Chairman of Ooredoo, said:

“Ooredoo Group reported good results for the nine months of 2017, with growth in Revenues, EBITDA and customer numbers.

I am proud to announce that we have reached a milestone of 150 million customers during the nine months of 2017, testament to the company’s relentless focus on delivering world class infrastructure and innovative products.

We are delighted and very excited to have launched our services in Gaza in October 2017, as part of our efforts to become the leading integrated ICT provider in Palestine. We have worked tirelessly for a long time to launch our servicesin Gaza, and now we have succeeded.

We maintain our leadership position and commitment to connecting and developing the citizens of emerging economies where we operate and are very proud to be making good progress in this area.”

Operational Review

Middle East

Ooredoo Qatar
Ooredoo Qatar continued to maintain clear market leadership through 9M 2017, with customer numbers increasing by 3% year-on-year, reaching 3.5 million (9M 2016: 3.4 million). Revenue decreased by 2% to QAR 5.9billion and EBITDA stood at QAR 3.0billion, 3% below 9M 2016.

Revenue was impacted by lower revenue from mobile voice services and mega projects, and a drop in roaming revenue during the Eid holiday month. This was partially offset by increased revenue from Ooredoo TV digital entertainment services. Ooredoo Qatar’s Fibre rollout programme passed more than 500,000 homes and has now connected more than 347,000 homes.

The company participated in a number of initiatives designed to show solidarity with the country’s people and leadership during the period, further reinforcing its strong connection with the communities of Qatar.

Ooredoo Oman
Ooredoo Oman increased Revenues and customer numbers, reaffirming its leadership position in the market. Revenue reached QAR 2.0 billion, up 1% compared to QAR 1.9 billion at 9M 2016, driven by growth in mobile and fixed data revenues. Customer numbers increased 4% to reach a total of 3 million.

EBITDA for 9M 2017 stood at QAR 1.1 billion in line with the previous year. Omani results were impacted by increase in royalty fee from 7% to 12% and an increase in income tax rate from 12% to 15%.

Ooredoo Kuwait
Ooredoo Kuwait delivered good results, with increases in revenues and EBITDA. Revenues at 9M2017 were QAR 1.9 billion, an increase of 7% compared to QAR 1.8 billion for the same period in 2016. EBITDA was QAR 474 million, up 9% from QAR 434 million for the same period in 2016.

Ooredoo's customer base in Kuwait stood at 2.3 million for the nine months ended 30 September 2017, representing a 4% decrease compared to the same period in 2016 due to intense competition and the overall market conditions.

Asiacell - Iraq
During the period, more areas were liberated in Mosul leading to reactivation of those sites, which contributed to an 11% increase in Asiacell’s customer base (12.5 million customers) for the 9M 2017 period.

Revenue increased 6% to QAR 3.3 billion, demonstrating Asiacell’s leadership in the market despite the difficult political and economic situation. EBITDA also increased 2% for the period, reaching QAR 1.5 billion, positively impacted by the increased revenue and good control of operating expenses. Good operational efficiency and cost control helped to maintain the EBITDA margin at 45%.


North Africa

Ooredoo Algeria
Ooredoo’s customer base in Algeria increased to 14.2 million customers for the nine months ended 30 September 2017, up by 5% compared with the same period in 2016. Revenues for the period decreased to QAR 2.6 billion compared to revenues of QAR 2.8 billion for the same period in 2016, due to the increase in VAT and a weak economic environment.As cost optimizations materialised, EBITDA increased to QAR1.2 billion at 9M2017, representing a 15% growth compared to QAR 1.0 billion for the same period in 2016.


Ooredoo – Tunisia
Ooredoo’s customer base in Tunisia reached 8.3 million for the nine months ended 30 September 2017, an increase of 6% compared to the same period in 2016.Revenue was QAR 1.2 billion, compared to QAR 1.3 billion for the same period in 2016. EBITDA was QAR455 million compared to QAR 504 million for the same period in 2016. In local currency terms, revenue and EBITDA increased by 2% for the nine months ended 30 September 2017.

Asia

Indosat Ooredoo – Indonesia
Indosat Ooredoo delivered a good set of results for the period, with growth in revenues and customers.

Revenue increased 5% to reach QAR 6.2 billion, up from QAR 5.9 billion at 9M 2016. EBITDA increased 6% to QAR 2.9 billion, driven by growth in revenues and a steadfast cost efficiency program.

With excellent network quality and innovative products, IndosatOoredoo attracted 19% more customers, now proudly serving a total of 97 million.

Ooredoo Myanmar
Ooredoo Myanmar continued to build on its success in driving forward its efficiency programme and cost reduction initiatives. As a result, EBITDA increased significantly to reach positive QAR 93 million compared to last year’s loss of QR 7 million.

Unfavourable foreign exchange rates and increased competition impacted revenues to QAR 961 million at 9M 2017, from QAR 1,105 million at 9M 2016. An adjustment for inactive customers lead to a 12% reduction of the customer number, now serving 7.7 million customers.