Zain reports impressive net profit growth in 2010

Zain announced its group consolidated financial results for the twelve months ending December 31, 2010, which showed growth in several key performance indicators, with a consolidated net profit of USD3.675 billion. This figure is inclusive of the capital gain of KWD 770.3 million (US$2.653 billion) from the sale of Zain Africa assets on June 8, 2010.

If the capital gain from the Africa assets sale is not taken in account, net income reached KWD 293 million for the year, representing a notable 50 per cent increase on 2009 net income of KWD 195 million.

For the 12 months of 2010, Zain Group recorded consolidated revenues of KWD 1.35 billion, an increase of seven per cent year-on-year. The company’s consolidated EBITDA increased by six per cent for the same period to reach KWD 616 million, reflecting an EBITDA margin of 46 per cent.

The board of directors have recommended a cash dividend of 200 fils per share.

Year-on-year customer growth across all the Middle East countries in which Zain operates was 23 per cent, whereby the company served 37.24 million managed active customers as of December 31, 2010. Zain Group added seven million new active customers over during 2010.