Etisalat profit surges to Dh2.2bn after sale of stake at XL Axiata

Etisalat enjoyed a big one off gain from the sale of a 9 per cent stake in Indonesian mobile operator XL Axiata last month for $510 million.

Powered by automated translation

Etisalat enjoyed a big one-off gain from the sale of a 9 per cent stake in the Indonesian mobile operator XL Axiata last month for US$510 million (Dh1.87 billion).

The company unveiled a 28 per cent increase in net profit after federal royalty to Dh2.2bn, thanks to the Indonesian sale.

Without the Indonesian boost, however, consolidated earnings rose a more modest 9 per cent to Dh4.2bn.

Revenue from its 15 international operations grew 7 per cent to Dh2.4bn to contribute 30 per cent to total revenues, up by about 2 per cent since the same period last year.

Mobile subscribers grew to 130 million across the group, a 20 per cent rise since the third quarter of last year. Subscribers across its African units grew the most to 11 million, up 29 per cent year-on-year.

"Over the past three months, we have recorded significant growth in our international operations, despite regional socio-economic tensions, and we are pleased with the developments we have made across our key markets," said Ahmad Abdulkarim Julfar, the group chief executive officer of Etisalat, in a statement issued to the Abu Dhabi Securities Exchange (ADX).

The operator is focusing its attention to mobile broadband and rise in data consumption for growth.

Shares of Etisalat closed 0.1 per cent lower to Dh9.70 on the ADX.