CAIRO: Orascom Telecom (OT) said on Monday its first-half net profit grew 12 percent to LE 1.9 billion ($331 million), in line with analysts expectations. Telecoms analysts had anticipated net profit of LE 1.76 to LE 2.10 billion. The company, which has mobile phone subsidiaries in the Middle East, Africa and Pakistan, said earnings before interest, taxes, depreciation and amortization (EBITDA) grew 41 percent to LE 5.3 billion in the period. Orascom Telecom said its first half results reflected a strong performance by its subsidiaries. Algerian arm Djezzy contributed 35 percent of revenues, followed by Mobilink in Pakistan with 24 percent and Iraq s Iraqna with 13 percent. In July, Iraqna was granted a three month extension of its license to the end of September. Iraqna s subscriber increase on last year of 240 percent was beaten only by Bangladeshi subsidiary Bangalink, at 363 percent. OT s Egyptian arm Mobinil showed the lowest subscriber increase on last year. OT praised Mobinil s e-mail enabled mobile service that uses the company s EDGE technology. However, the service could be stopped by Egypt s telecoms watchdog in a dispute over whether the technology is allowed under Mobinil s current 2G license. The watchdog says the technology is a 3G service. Mobinil has deferred making a decision on applying for a license, saying its high cost made the terms unattractive. Total subscribers at the end of June stood at 41 million, an increase of 93 percent on a year earlier. But average revenues per user (ARPU) continued to decline as OT aggressively expanded its subscriber base among lower income customers. Shares in the company had barely moved by the end of trade on Monday, slipping LE 0.27 to LE 282. Reuters
Orascom Telecom says H1 net grows 12 percent
