01/02/2015 05:38 AST
Zain Bahrain generated revenues of BD71.8 million ($190.5m) in 2014, a decrease of 8.1 per cent on the previous year's BD78.1m ($207.1m).
EBITDA for the period reached BD27m and BD29.3m with percentage change of 7.8pc, reflecting a healthy margin of 36.9pc.
Net income amounted to BD4.1m ($10.9m) in 2014, a decrease of 24pc on the previous year of BD5.4m, reflecting earnings per share of 13 fils for the 12 months ending on December 31, compared with 17 fils per share in 2013.
Zain Bahrain witnessed customer growth of 2.1pc in 2014 to serve 788,000 customers as at December 31.
For the fourth quarter of 2014, Zain Bahrain recorded revenues of BD17.8m, down 11.1pc from 2013 where revenues were at BD18 million.
EBITDA for the quarter reached BD6.9m from BD7.8m in 2013 (11.5pc change), reflecting a strong margin of 38.4pc. Net income for the quarter reached BD1.2m compared with BD1.6m during the same period in 2013 (25pc change), reflecting a 14pc decrease year on year.
Zain Bahrain completed an initial public offering (IPO) of 15pc of its share capital on September 30, which saw 48m ordinary shares offered at 190 fils per share.
It listed on the Bahrain Stock Exchange on December 4 with the share price trading at 200 fils as at December 31.
Net income for the year was impacted by a number of one-off expenses associated with the IPO, including an exceptional penalty of BD543,000.
It completed a $100m investment during 2014, completely revamping its state-of-the-art 4G LTE mobile network, which contributed to a steady growth in data-related revenues by 6pc year on year.
"We attained significant achievements during 2014, one of which was listing on the Bahrain Stock Exchange, from where we believe we can continue to drive value for our widened base of shareholders," Zain Bahrain chairman Shaikh Ahmed bin Ali Al Khalifa said.
"The environment for telecom in Bahrain and the region was challenging during the year, though Zain Bahrain successfully leveraged many of its strategic assets in order to record a reasonable performance investing a huge $100m in building a new 4G LTE nationwide network."
"The board of directors will recommend to the annual general assembly a cash dividend of 5pc at par equalling 5 fils per share totalling BD1.8m subject to regulatory approvals," the chairman added.
Shareholders' equity stood at BD59.3m as at December 31.
"Despite the competitive telecom landscape and a highly penetrated market in Bahrain, we have undertaken many transformational initiatives to drive operational efficiency and innovation across our operation. Our new 4G LTE nationwide network will allow us to fully exploit the growth opportunities in mobile broadband, building on our successes in driving voice and data revenues forward," Zain Bahrain general manager Mohammed Zainalabedin said.
"We are transforming the operation to align with Zain Group's strategy of becoming an integrated digital telecom operator, building on our strong brand, fostering our existing customer base, and developing new business opportunities in the area of enterprise services," he said.
The operator focused its efforts on strengthening its customer care efforts in 2014 by revamping 22 retail shops across the kingdom, supported by a strong team of sales and customer care representatives. The 'enhanced shops' represented an improved retail experience and provided a one-stop destination for customers offering education, support and hands-on demonstrations of products and services along with self-service machines and a dedicated SIGNATURE team member along with a technical support area. A key element introduced is the customer management system, which allows customers to schedule an appointment at any Zain shop.
Gulf Daily News
Please wait...
