Mobile operator Orascom Telecom’s first-half revenues fell 2.3 percent over the previous year to USD 2.48 billion, which the company put down to currency devaluations in key operations. EBITDA fell 3.5 percent to USD 1.1 billion, and net income was also down, at USD 184 million from USD 276 million a year ago. The sharp decline was mainly due to unrealised foreign exchange losses and hedge losses in Pakistan for a total of approximately USD 65 million. The regional Arab mobile operator said total subscribers exceeded 84 million at end-June, an increase of 8.7 percent compared with more than 80 million at the end of March. This was driven by customer growth in Egypt (31%), Bangladesh (17%) and Tunisia (13%). ARPU was USD 6.0 in the second quarter, compared to USD 5.8 in the first quarter. CEO Naguib Sawiris said the first half was characterised by a weak first quarter followed by a stronger Q2, but warned that the economic environment is still challenging and the company sees “only timid signals of economic growth returning”. Orascom said it remains focused on cash control, and will reduce capex further in the rest of the year.
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