Zain Group said revenues decreased by 8 percent to KWD 508 million for the first six months to 30 June. EBITDA for the period reached KWD 212 million, down 17 percent year-on-year, giving an EBITDA margin of 41.7 percent. Net income remained stable at KWD 82 million, and earnings per share for the half-year stood at KWD 0.21. The Middle East mobile operator ended the period with 45.2 million customers.
The results were predominantly affected by the 61 percent devaluation in the Sudan currency, from SDG 6.4 per US dollar in H1 2016 to SDG 16.5 this year, which cost the company USD 305 million in revenue, USD 131 million in EBITDA and USD 58 million in net income. Excluding the currency translation impact, year-on-year revenues and net income would have grown by 8 percent and 21 percent respectively.
In Q2, revenue amounted to KWD 261 million, down 5 percent compared with the same period in the previous year. EBITDA for the quarter reached KWD 104 million, down 21 percent in Kuwaiti dinar terms, reflecting an EBITDA margin of 40 percent. Net income amounted to KWD 44 million, down 2 percent year on year, for earnings per share of KWD 0.11.
The foreign currency translation impact cost the company USD 157 million in revenue in the second quarter, USD 62 million in EBITDA and USD 25 million in net income. Excluding the forex effect, year-on-year revenues and net income would have grown by 12 percent and 15 percent respectively for Q2.
