Viva reports annual profit, four years after launching service

A rapidly increasing customer base helped mobile operator Viva Kuwait make an annual profit for the first time in 2012, four years after the STC Group affiliate launched services.

Unlisted Viva reported a net profit of KWD3.9 million (US$13.69 million) for 2012. This compares with a net loss of KWD14.4 million in 2011.

The operator, which competes with Zain and Ooredoo subsidiary Wataniya, said its customer base rose by 60 per cent to 1.6 million in 2012, enabling it to boost its market share to 29 per cent from 20 per cent.

Kuwait has no telecom regulator and market share figures are disputed by the rival operators – former monopoly Zain puts its share at 42 per cent, with Viva and Wataniya on 21 and 37 per cent respectively.

Viva said its 2012 cash flow was KWD32.2 million, up from KWD72,000 a year earlier. It did not publish its annual revenue.

STC owns 26 per cent of Viva, which has yet to list on the Kuwait bourse.