Ooredoo’s Third-Quarter Profit Plunges 58%

Analysts polled by Reuters had expected only a 12 per cent drop in Ooredoo’s third-quarter profit.



Net profit at Qatari telecoms company Ooredoo plunged in the third quarter mainly because of foreign exchange losses from its Indonesian affiliate Indosat, the company said on Wednesday.

Profit fell 58 per cent to 337 million riyals ($92.6 million), from 804 million riyals in the same period a year earlier. Indonesia’s rupiah fell sharply during the quarter, from around 9,900 against the U.S. dollar to about 11,500.

Analysts polled by Reuters had expected only a 12 per cent drop in Ooredoo’s third-quarter profit.

Excluding foreign exchange factors, net profit for the third quarter of this year would have been flat from a year earlier, the company said.

Consolidated revenue in the third quarter fell 1.4 per cent to 8.51 billion riyals.

For the first nine months of this year, net profit dropped 4.0 per cent to 2.07 billion riyals, while revenue rose 2.6 per cent to 25.65 billion riyals. Operations in Qatar, Algeria and Iraq performed well while conditions were challenging in Kuwait and Tunisia, the company said.