MANAMA: Batelco’s total subscriber base has grown to 9.1 million across the 14 geographies of the expanded operation, representing 2% growth since Q4 2013 and 19% year-on-year.
Mobile subscriber numbers grew 19% year-over-year and 2% quarter-on-quarter. This increase was supported by strong performance in Bahrain and Jordan as well as across the majority of the Group’s other JV’s. Broadband customers increased by an impressive 27% year-over-year and by 2% since the previous quarter with results supported by excellent progress in Jordan. Additionally, fixed line subscribers have risen by 41% year-over-year, boosted by the addition of the Island Portfolio.
Batelco Group announced in February 2014 that it had entered into a Share Purchase Agreement with Ali Alghanim & Sons General Trading and Contracting Company W.L.L. (the “Alghanims”) to acquire their 46% shareholding in Quality Net. The acquisition increases Batelco Group’s equity stake in Quality Net from 44% to 90%.
Chairman of the board Shaikh Hamad said that part of the Batelco Group’s growth strategy is Portfolio Optimisation and that topping up existing investments such as Quality Net is consistent with such strategy.
“The acquisition provides the right kind of fit for the Group to enhance future value of its international operating companies by realising cost efficiencies and further telecom upside opportunities.”
Jordan: Umniah continues to demonstrate a significant presence in the Jordanian telecom market due to its strong strategy by offering high quality integrated services, with the best value, while keeping abreast with sector developments and customers’ various needs and expectations. In Q1 2014, Umniah’s mobile subscriber base grew to 2.9 million, an increase of 19% year-over-year and 5% since last quarter. Similarly its broadband services witnessed a 50% growth year-over-year and 6% since last quarter.
Kuwait: Batelco Group has increased its equity stake in Quality Net from 44% to 90% following its purchase of the 46% shareholding belonging to Ali Alghanim & Sons General Trading and Contracting Company W.L.L. in April 2014. Qualitynet, which delivers total ICT solutions, remains the market leader in Kuwait’s Data Communications and Internet Services industry. In Q1 2014, it maintained market share and position delivering steady results and ending the period with around 41,000 customers, reflecting a quarter-on-quarter gain of 3%.
Channel Islands and Isle of Man: During the period revenues on a like for like basis were 4.6% higher than the same period in 2013, driven by increases in wholesale services and informatics. Subscriber numbers remained in line with the previous quarter with a 3% increase in broadband subscribers in Q1 2014.
South Atlantic & Diego Garcia (Sure S&D): Sure S&D continues to perform as expected across all of its operations. Significant operational highlights include Sure Ascension being awarded a 10 year extension of its licence, now valid through to 2024, Sure Falklands continuing investments in fixed infrastructure to keep pace with oil related developments and all the Sure South Atlantic operations providing improvements in broadband speeds for customers following major increases in International bandwidth being secured at the end of 2013.
Dhivehi Raajjeyge Gulhun Plc (DHIRAAGU): Dhiraagu has made a strong start to the first quarter of 2014, posting a 2% revenue increase and a 16% increase in operating profits due to lower costs compared to Q4 2013. In line with strong financial performance, subscriber numbers remained steady compared to the previous quarter.
Other JVs: Sabafon (Yemen), in which the Group has a 26.942% shareholding, maintained steady results in Q1 2014 following rationalisation of the customer base. Sabafon ended the period with more than 4.3 million users reflecting growth of 6% year-on-year and a 1% decline quarter-on-quarter. Atheeb (Saudi Arabia), in which Batelco holds a 15% stake, reported a decline of 5% year-over-year in subscriber numbers and 1% decline since the last quarter.
In Bahrain, Batelco continues to respond to intense competition by striving to be first in delivering innovative products and services in addition to ensuring the Company remains a leader in customer care. For the period in Bahrain, mobile subscribers increased by 4% quarter-on-quarter and 25% year-over-year, to reach approximately 905,000 subscribers. The positive results reflect a focus on delivering top quality products and services with best value, great offers and prize winning promotions. Batelco Bahrain’s broadband subscriber base remained steady since the previous quarter but showed a slight decline of 1% year-on-year.
“Building on its launch of superfast 4G LTE for its customers in February 2013, Batelco continues to evolve its product and services portfolio. The Company has developed an unbeatable range of high speed packages, featuring free calls and unlimited data, and delivering the fastest browsing and streaming experience for its customers, at great value for money.
“The opening of a state-of-the-art new Call Centre at Batelco Headquarters in Hamala in early 2014 supports Batelco’s customer centric strategy. The new Centre features an innovative, customised call centre solution which has been designed and developed to enhance the experience for customers dealing with the Centre. The Centre, which is the largest in Bahrain, is operational 24 hours a day, every day of the year.
“During the quarter Batelco entered into a number of partnerships and signed agreements with other leading enterprises. The various deals will lead to the provision of Batelco’s innovative Business solutions to support the growth and transformation of Bahrain as a leading business hub. Batelco continues to invest in the development of a state-of-the-art fibre optic network with the aim to make available its portfolio of enterprise and consumer products across the Kingdom.
Thanks to its commitment and investment in its customer care initiatives, Batelco was presented with the Best Contact Centre award at the 3rd Customer Experience Management (CEM) in Telecoms: Middle East Summit awards ceremony, held in Dubai in March. The prestigious Best Contact Centre Award recognises the operator that has designed and developed services that help to retain customers in the face of new competition and higher customer expectations. Batelco has implemented a number of new mechanisms and systems which have raised customer satisfaction levels by up to 90%.
“Batelco is recognised as one of the leading companies in Bahrain when it comes to Corporate Social Responsibility. The Company shows its appreciation to the residents of the local communities for their ongoing loyalty towards Batelco’s products and services, by rewarding them through a well thought out sponsorship and donation programme. It is still early in the year, but already Batelco has committed significant sums to benefit sports, social, health and education related initiatives and charitable organisations in the Kingdom.”