Muscat – Oman Telecommunications Company (Omantel) announced that its group net profit increased by 18.4 per cent year-on-year for the six months period ended June 30, 2022.

Omantel Group reported a net profit of RO128.6mn for the first six months of 2022 compared with RO108.6mn posted in the corresponding period of 2021, according to the company’s preliminary financial results submitted to the Muscat Stock Exchange.

Group revenues increased by 8.4 per cent to RO1.294bn during January – June period of this year from RO1.194bn recorded in the same period of last year. Net profit margin of the group increased to 9.9 per cent for the first half of 2022 compared with 9.1 per cent reported for the same period of 2021.

Net profit attributable to the shareholders of Omantel came at RO34.6mn in the first six months of 2022, an increase of 6.8 per cent from RO32.4mn in the same period of 2021.

Omantel said its subsidiary Zain Group generated consolidated revenue of US$2.7bn for the six months period ended June 30, 2022, while Zain Group’s consolidated net income reached US$321mn during the same period.

Domestic performance

Omantel’s net profit from domestic operations recorded a relatively slow growth of 3.3 per cent during the first half of this year. The company’s domestic net profit increased to RO37.3mn in January – June period of 2022 compared to RO36.1mn reported for the same period of the previous year.

Omantel’s domestic net profit margin remained at 13.5 per cent for the first half of this year against 13.6 per cent reported for the same period of last year.

The company’s total revenue from domestic operations increased by 4.2 per cent to RO276.8mn for the six months period ended June 30, 2022 against RO265.7mn in the same period a year ago.

‘The increase in net profit is predominantly on account of sustainable revenue growth in postpaid mobile revenue (11.7 per cent) and fixed broadband revenue (2.1 per cent), cost optimisation measures, reduction in impairment provision against receivables and depreciation,’ Omantel said in its disclosure.