Riyadh - Mubasher: Saudi Mobile Telecommunications Co.’s (Zain KSA) losses widened 53.6% year-on-year to SAR 135 million ($36 million) in the fourth quarter of 2016 from SAR 291 million ($77.6 million).
The increase in net loss was attributed to higher revenues increased by 8% reaching SAR 1,801 million (highest since inception), despite the decrease in MTR and biometric fingerprint requirement, according to a bourse filing on Wednesday.
Gross profits grew by 7% reaching SAR 1,142 million, with gross margin reaching 63%, adding to lower distribution and marketing expenses by 5% reaching SAR 554 and higher EBITDA by 21% reaching SAR 490 million.
On the twelve-month level, the company’s losses increases to SAR 980 million from SAR 972 million in 2015.
Depreciation and amortization expenses rose by 4% reaching SAR 1,850 million compared to SAR 1,770 million, while financial charges went up by 14% mainly due to cost increase in SAIBOR, the statement said.
Zain KSA results in Q4 beat the estimates of Saudi research companies the expected the company to post net losses of SAR 136.7 million, with a 1.2% retreat.
