Mobily reduced its losses by more than half for the second consecutive quarter and succeeded for the first time in the last five years in growing its quarterly revenues (YoY), the company has announced.
Mobily reduced its net losses to SR172 million ($46 million) in H1 2018 from SR352.7 million in H1 2017, representing a decrease in net losses of 51.2 percent. This is mainly due to the increase in gross profit driven by revenue increase, and decrease in cost of sales due to the reduction of mobile termination rates.
The H1 2018 revenues increased slightly by 0.14 percent to SR5,727 million versus SR5,719 million in H1 2017. This has been achieved despite the market, regulatory and economic challenges, including:
(1) The reduction of mobile termination rates.
(2) The continuous impact of the VoIP application on international calls revenue.
Taking out the impact of the decrease of the mobile interconnection rates, revenues would have grown by 2.1 percent.
The H1 2018 gross profit increased by 4.2 percent to SR3,438 million versus SR3,298 million in H1 2017. This is mainly due to the reduction of cost of sales as a result of mobile termination rates.
The company successfully improved its EBITDA to reach SR2,103 million for H1 2018 compared to SR1,832 million for H1 2017, resulting in an increase of 15 percent. This is due to the company efficiency in managing its expenses, the reversal of certain provisions, and the implementation of IFRS 15 and 9. The H1 2018 EBITDA margin reached 36.7 percent versus 32 percent for H1 2017.
The H1 2018 operational profit amounted to SR228 million versus SR30 million in H1 2017.
Despite the company’s success in deleveraging net debt, the H1 2018 interest and financial charges increased to SR380 million. This is mainly due to the ceasing capitalization of some expenses related to the debt and the increase in SIBOR.
The H1 2018 total comprehensive losses decreased by 43 percent, to SR196 million versus SR346 million losses for H1 2017.
Mobily succeeded for the first time in the last five years in growing its quarterly revenues (YoY), as Q2 2018 revenues amounted to SR2,895 million versus SR2,854 million for Q2 2017, reflecting an increase of 1.4 percent.
Mobily reduced its net losses to SR172 million ($46 million) in H1 2018 from SR352.7 million in H1 2017, representing a decrease in net losses of 51.2 percent. This is mainly due to the increase in gross profit driven by revenue increase, and decrease in cost of sales due to the reduction of mobile termination rates.
The H1 2018 revenues increased slightly by 0.14 percent to SR5,727 million versus SR5,719 million in H1 2017. This has been achieved despite the market, regulatory and economic challenges, including:
(1) The reduction of mobile termination rates.
(2) The continuous impact of the VoIP application on international calls revenue.
Taking out the impact of the decrease of the mobile interconnection rates, revenues would have grown by 2.1 percent.
The H1 2018 gross profit increased by 4.2 percent to SR3,438 million versus SR3,298 million in H1 2017. This is mainly due to the reduction of cost of sales as a result of mobile termination rates.
The company successfully improved its EBITDA to reach SR2,103 million for H1 2018 compared to SR1,832 million for H1 2017, resulting in an increase of 15 percent. This is due to the company efficiency in managing its expenses, the reversal of certain provisions, and the implementation of IFRS 15 and 9. The H1 2018 EBITDA margin reached 36.7 percent versus 32 percent for H1 2017.
The H1 2018 operational profit amounted to SR228 million versus SR30 million in H1 2017.
Despite the company’s success in deleveraging net debt, the H1 2018 interest and financial charges increased to SR380 million. This is mainly due to the ceasing capitalization of some expenses related to the debt and the increase in SIBOR.
The H1 2018 total comprehensive losses decreased by 43 percent, to SR196 million versus SR346 million losses for H1 2017.
Mobily succeeded for the first time in the last five years in growing its quarterly revenues (YoY), as Q2 2018 revenues amounted to SR2,895 million versus SR2,854 million for Q2 2017, reflecting an increase of 1.4 percent.
