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FINANCIAL NEWS
Zain extends earnings slump as Q3 profit falls 18%
25 Oct 2015
(MENAFN) Zain, Kuwait’s No 1 telecom operator by subscribers, reported an 18% fall in third-quarter profit yesterday, extending a sustained earnings slump as increased taxes in Iraq and foreign exchange losses weighed on the bottom line.
The former monopoly, which operates in eight countries in the Middle East and Africa, made a net profit of 38mn dinars ($125.50mn) in the three months to September 30, down from 46mn dinars in the year-earlier period, it said in a statement.
Two analysts polled by Reuters had forecast Zain would make a quarterly profit between 37.0mn dinars and 46.1mn dinars.
The firm had posted falling profits in 10 of the preceding 12 quarters, partly due to tougher domestic competition, service interruptions and higher costs in war-torn Iraq and foreign exchange volatility.
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