Riyadh – Mubasher: Albilad Capital expected a 12.3% decrease in FY 2016 revenues of Etihad Etisalat Company (Mobily) and the continuance of losses in the fourth quarter of 2016.
The company’s Q3 results came below the estimates of the research firm of achieving net profits of SAR 4.3 million in average.
Mobily reported a 5.94% increase in net losses to SAR 167.7 million in Q3-16 from SAR 158.3 million in the same quarter last year.
Albilad Capital attributed the decline in Q3 sales to the enforcement of fingerprinting documenting and the suspension of unregistered customers lines.
Moreover, lower interconnection rate ceiling and slowdown in devices sales as the economic downturn weighed on discretionary consumer spending also contributed to the drop, Albilad Capital said.
Doubtful debt provisions escalated to SAR 152 million in Q3-16 rising from SAR 76 million in the year-ago period.
