Emirates Based Du Breaks into Net Profit During Q1

The UAE based telco, Du has reported a 54% rise in first quarter revenues to AED1.17 billion (US319 million). The company also broke into net profit, reporting earnings of AED47 million (US$12.8 million), compared to a net loss of AED 62 million in Q1 2008

The firm also added 252,000 active mobile customers during the quarter, up from 181,100 in Q1 2008; which brings total active subscribers at 31 March 2009 to 2.75 million.

Commenting on the results, Ahmed Bin Byat, Chairman of du, said, "With significant year-on-year revenue growth translating into uplift in gross margin, these results are testament to du's strong performance. In the first quarter of 2009 we have continued to build upon our considerable success in 2008 and I firmly believe that the company is well positioned to prosper throughout out 2009 and into 2010.

Revenues for du's fixed business, including fixed telephony, TV and Broadband, amounted to AED 230 million - a 37% year on year increase, reflecting 311,000 lines.

du's ongoing capital expenditure programme is anticipated to exceed AED 2 billion (US$545 million) in 2009, with AED 638 million (US$174 million) accounted for during Q1 2009.

Posted to the site on 30th April 2009