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Etihad Etisalat Co.’s (Mobily) chief executive officer, Salman Al-Badran, attributed the company’s profitability in Q2 2020 to its operational efficiency, improved customer base, higher sales of business and wholesale segments.
He added in an exclusive interview with Argaam that this has significantly mitigated the impact of the coronaviruson Mobily’s operations this year.
Al-Badran further explained that Mobily witnessed an increased demand on data services that enable the public, private and retail sectors including remote learning, noting that this growth enabled the company to offset the decline in other services hit by the pandemic outbreak.
On the value-added tax (VAT) increase, he said that the impact on the telecom sector is not yet clear, however, it is expected to be minimal due to the government support provided to the corporates and individuals.
Elsewhere, Mobily CEO indicated that there are no updates regarding the memorandum of understanding with Zain Saudi, adding it aims at raising the company’s participation in telecom towers to maximize efficiency and improve Information and Communications Technology (ICT) under the supervision and support of the Communications and Information Technology Commission (CITC).
Al-Badran also said that the agreement related to opening the fixed broadband among all telecom providers came into effect this month and the impact will be reflected in the coming period.
Mobily reported a net profit after Zakat and tax of SAR 315 million for H1 2020, compared to a net profit of SAR 105 million a year earlier, driven by a 9.6% year-on-year (YoY) revenue growth, according to data compiled by Argaam.
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