Oman Telecommunications Company (Omantel) revealed a significant year-on-year rise in its group net profit for the first half of 2023, marking a growth of 31.3% compared to the corresponding period in 2022.
The company’s financial report showcased a net profit of RO168.9mn for H1 2023, a substantial climb from the RO128.6mn recorded in H1 2022. Adjusted for minority interest, the net profit for the same period stood at RO38.5mn, reflecting an 11.2% increase from the RO34.6mn achieved in 2022.
Omantel’s group revenues also experienced a notable 11.2% surge, reaching RO1.439bn during January to June this year, compared to RO1.294bn during the same period in the prior year. Notably, the contribution from the acquired business of Zain Group played a significant role, adding RO1.149bn to the group revenues in H1 2023.
The company’s total operating expenses, including depreciation, showed a rise to RO709.4mn in H1 2023, marking a 12.3% increase from the corresponding period in 2022.
Despite a competitive landscape in mobile and fixed segments, Omantel maintained stable net profit figures due to sustained growth in postpaid mobile revenue, fixed broadband revenue, and reduced financing costs.
The growth was driven by a 37.7% increase in wholesale transit voice revenue and a 56% increase in device revenue. Core revenues, including mobile postpaid revenue and fixed broadband revenues, also contributed to the positive performance.
Omantel’s domestic subscriber base, including mobile and fixed businesses, witnessed a 5.6% increase to 3.3 million in June 2023. Meanwhile, Zain Group reported a 3.3% growth in its subscriber base, reaching 53.4 million by June 2023, with revenues rising by 12.4%.