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VIVA reports KD 37.4m net profit; a growth of 29.8%

October 30, 2018

Revenues during 9-month period ended 30 Sept 2018 reach KD 214.8 million

KUWAIT: VIVA, Kuwait’s fastest-growing and most developed telecom operator, announced the financial results for the nine-month period ended 30 September 2018; whereby VIVA’s net profit grew to reach KD 37.4 million recording growth of 29.8 percent compared to the same period in 2017. Whereas the revenues during the first nine-month period of 2018 reached KD 214.8 million recording a growth rate of 2.6 percent compared to the same period in 2017. These results reflect VIVA’s focus on achieving outstanding customer experience, high quality of services, innovative promotions and solutions to meet its customers’ needs and aspirations, inspired by their confidence which motivates us to provide the best services with the highest possible quality.

Commenting on the nine-month’s financial results, Dr Mahmoud Ahmed Abdulrahman, VIVA’s Chairman said: “Despite the high competition witnessed in Kuwait Telecommunication Market, VIVA was able to achieve growth in profitability and revenues to sustain the operational efficiency to ensure generating positive return to our shareholders. These Results were achieved by an integrated management approach from a highly professional team that promotes VIVA’s substantial and positive role as a leading telecommunications company that always provides intelligent communications solutions to meet its customers’ needs”.

He added: “VIVA has demonstrated its ability to achieve growth in the net profit amid the current fierce conditions in Kuwait Telecommunication sector and the decline in telecom tariffs thus pressurizing the growth of revenues. VIVA managed to achieve net profit of KD 37.4 million (earnings per share of 75 fils) during the nine month period ended 30 September 2018 compared to net profit of KD 28.8 million (earnings per share of 58 fils) during the same period in 2017.”

On his part, Eng Salman bin Abdulaziz Al-Badran, VIVA’s CEO said: “Results of the nine-month period ended 30 September 2018 came in line with VIVA’s goals and boundless ambitions to achieve an increase in its operational revenues, profitability and strengthen its leadership in the telecommunication market. It is noteworthy to mention that, VIVA has won many awards including “Leading Corporate for Investor Relations in Kuwait” and third in the Middle East by MEIRA, “Best Network Development” in the MENA region presented at the third annual 5G MENA Awards 2018 Ceremony, “Speedtest Award Winner 2017 – Kuwait’s Fastest Mobile Network” by Ookla, launched Voice over Long Term Evolution Plus ‘VoLTE Plus’ technology, and was the first telecom company in Kuwait that has physically demo its “5G” services to its customers.”

He added: “VIVA has achieved good levels of revenues and increase in the profitability which improved the company’s financial and operational efficiency. As a result, VIVA recorded revenues of KD 214.8 million during the nine-month period in 2018 and achieved net profit of KD 37.4 million (earnings per share of 75 fils) recording growth of 29.8 percent compared to the same period in 2017, whereas EBITDA reached KD 57.7 million compared to KD 48.5 million during the same period in 2017. On the other hand, VIVA customer base has reached 2.20 million at the end of September, 2018”.

On his part, Mohammed Bin AbdulMohsen Al-Assaf, VIVA’s CFO, said: “VIVA’s financial results reflect its ability to compete, sustain revenues and maintain its position as the second largest telecom operator in the Kuwaiti market in term of market share in the telecommunication sector. Al-Assaf said,” we started to observe the impact of the cost optimization program adopted by the company during the current year on profitability, as the company adopted a balanced and effective financial policy in managing CAPEX and operating expenses”. He added: “We will continue our hard work in implementing our strategy to maintain our competitive edge and achieve further growth and success in the Kuwaiti telecom market through offering innovative products and services in line with the latest technology to meet our customers’ needs”.

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