Zain makes $469 million investment in nine months

Zain Group top executives
Telecom network operator Zain Group has made an investment of $469 million in the first nine months of 2015 primarily focusing on expanding 3G and 4G LTE networks.

The telecom network operator has invested $87 million in Kuwait, $131 million in Iraq, $188 million in Sudan, $315 million in Saudi Arabia, $40 million in Jordan, $12 million in Bahrain and $8 million in S. Sudan in the first nine months of 2015.
ZAIN Group Capex in 9 months of 2015
Zain Group CEO Scott Gegenheimer said the company’s primary focus is to upgrade its networks and deliver an affordable and compelling digital lifestyle experience to customers.

Gegenheimer said Zain Group’s Bahrain and Jordan operations grew their customer base and data related revenues on the back of their respective upgraded and newly installed 4G networks. It could not capitalize on its 3G network in Iraq due to unrest.

Zain group will be making an investment of $600 million in 2015 towards Capex (capital expenditure) against $730 million in 2014 and $705 million in 2013, indicating a significant drop in its investments for the current year.
ZAIN Group Capex forecast
For the third quarter of 2015, Zain Group revenue fell to $968 million from $1 billion, while net income dipped 18 percent to $125 million.

Zain group generated revenues of $2.8 billion and net income of $394 million for first nine months of 2015.
Customer base of Zain Group rose 4 percent to 45.6 million.

Data revenues excluding SMS and VAS rose 14 percent in the first nine months of 2015, representing 20 percent of the Group’s total revenues.

Zain Kuwait customer base grew 9 percent to 2.9 million on its 4G network. Data revenues represent 36 percent of Zain Kuwait revenues, which grew by 2 percent in USD terms.

Zain Iraq is rolling out 3G services across the country and 3G contributed to 39 percent increase in data revenues.
Zain Saudi Arabia revenues rose 9 percent to $1.4 billion. Data revenues of Zain Saudi Arabia grew 48 percent, representing 23 percent of total revenues.

In Sudan, data revenues increased 87 percent to reflect 10 percent of total revenues.

Zain Jordan is investing substantially in the expansion of 4G services in 2015.

Zain Bahrain invested $100 million for network revamp and upgrade to 4G LTE. As a result, data revenues rose 10 percent.

Baburajan K
[email protected]